Team siliconindia

• The India-UK FTA drops tariffs on Indian medical device exports to zero, enhancing global competitiveness.
• Devices certified by CDSCO/ICMED will gain smoother access to the UK market under a Mutual Recognition Agreement framework.
• The deal paves the way for joint ventures, technology transfers, and increased exports in a $69 billion UK MedTech market.

In a major development set to reshape the medical technology sector, the recently concluded India-UK Free Trade Agreement (FTA) has opened new horizons for Indian medical device manufacturers. Central to the deal is a Mutual Recognition Agreement (MRA) framework that enables Indian-certified medical devices to gain easier access to the UK market. As per reports, devices certified by India's Central Drugs Standard Control Organisation (CDSCO) or the Indian Certification of Medical Devices (ICMED) will now enjoy streamlined entry into the UK, significantly easing regulatory hurdles.

The FTA eliminates tariffs on Indian exports of medical devices and instruments to the UK, reducing them from the earlier 2%–6% range to zero. This sharp tariff cut is expected to benefit manufacturers of surgical and diagnostic equipment and boost their competitiveness on a global scale. The UK’s medical devices market, currently valued at USD 32 billion and projected to reach USD 69 billion by 2035, presents a lucrative growth opportunity for Indian companies.

The pact also proposes bilateral regulatory cooperation between India’s CDSCO and the UK’s Medicines and Healthcare products Regulatory Agency (MHRA), with the potential to evolve into a full-fledged MRA. This regulatory alignment is anticipated to enhance trust, facilitate smoother trade, and promote innovation across borders.

A government statement highlighted the pact's emphasis on trust and transparency, stating, “The free trade agreement includes a mutual recognition agreement framework allowing medical devices certified by the Central Drugs Standard Control Organisation (CDSCO) or the Indian Certification of Medical Devices (ICMED) to access the UK market more freely”.

To safeguard the integrity of the deal, strict Rules of Origin (RoO) provisions, including digital certificates of origin and customs-backed monitoring, will be implemented. This mechanism ensures that only goods genuinely produced or significantly transformed in either country benefit from the trade pact, thereby preventing rerouting through third countries.

Industry stakeholders have widely welcomed the agreement. Pavan Choudary, Chairman of the Medical Technology Association of India (MTaI), remarked, “The UK-India FTA is a landmark agreement that goes beyond tariff reductions; it signals India’s strategic ascent as a trusted partner in the global healthcare and technology value chain”. He added that the agreement will reduce import duties on MedTech products from about 15% to around 3%, significantly lowering costs and enhancing access to advanced medical technologies.

Choudary further pointed out that the FTA sets the stage for long-term collaboration through technology transfers, joint ventures, and upskilling, which are crucial for strengthening the bilateral healthcare ecosystem.

Sanjaya Mariwala, Executive Chairman and Managing Director of OmniActive Health Technologies, echoed the sentiment, saying, “The India–UK FTA is a welcome move. Our exports to the UK rose by 12.6% last year, and this deal gives us a chance to build on that growth. What stands out is the scope it opens up in healthcare”. He noted that with regulatory barriers coming down, Indian healthcare companies would find it easier to operate in the UK, fostering affordability and collaboration.

Also Read: Steris Healthcare Expands to Tamil Nadu with New Distribution Center

However, Mariwala also stressed the importance of domestic preparedness. “FTAs only work well when businesses at home are strong”, he said, urging for policy clarity, infrastructure support, and financing for MSMEs. “With other FTAs also on the horizon, it’s time to turn inwards as much as outwards. The potential is mind-boggling, so is the need for Indian industry to succeed not just because of the deal, but with it”.

As the agreement comes into effect, the Indian MedTech industry stands poised for accelerated growth, innovation, and a stronger global footprint.