Haryana Drafts INR 5,000 Cr Plan to Power MedTech Manufacturing

While the targets and incentives are ambitious, the draft policy is yet to be formally notified.

The Haryana Government has announced a major push into the pharmaceutical and medical device sectors with a draft policy targeting INR 5,000 Cr in fresh investment.

The initiative, titled the Haryana Pharmaceutical and Medical Device Manufacturing Policy, is designed to create a competitive base for production and exports while reducing dependence on imports.

According to details reported by gov officials, the draft policy proposes a mix of fiscal and non-fiscal incentives. Companies investing in the state may be eligible for capital expenditure support of up to INR 200 Cr and operational expenditure support of up to INR 20 Cr.

Startups stand to benefit through reimbursement of 50% of prototype development costs, capped at INR 10 lakh per year. In addition, the policy outlines measures to promote R&D facilities, incubation centres, and the development of dedicated industrial clusters and parks.

Officials said the policy aims to expand Haryana’s role in India’s growing medtech sector, which currently depends heavily on imports for critical equipment and components.

The state is looking to attract both established manufacturers and emerging firms, with a focus on in-vitro diagnostics, imaging devices, implants, anaesthesia and critical-care equipment, surgical instruments, disposables, and electro-medical devices.

The draft proposes facilitation measures such as streamlined approvals and easier land allotment for industrial projects. It also highlights the importance of developing testing and certification facilities, which are essential for companies seeking international regulatory approvals.

Skill development programs are expected to be part of the ecosystem, aimed at training biomedical engineers and technicians to meet industry requirements.

The timing of the state’s move coincides with national initiatives. The Union government has rolled out the Promotion of Research & Innovation in Pharma MedTech Sector (PRIP), a INR 5,000 Cr programme that supports R&D in pharmaceuticals and medical devices.

Alongside this, the Production-Linked Incentive (PLI) scheme for medical devices is already operational, offering subsidies for high-value device categories. Haryana’s draft policy is expected to align with these central schemes to maximise benefits for investors.

The policy also marks a step up from Haryana’s earlier draft, which had targeted around INR 3,000 Cr in investments. The revised figure of INR 5,000 Cr reflects both the growing scale of India’s medtech sector and the competition among states such as Uttar Pradesh, Himachal Pradesh, and Tamil Nadu, which are developing their own medical device parks.

While the targets and incentives are ambitious, the draft policy is yet to be formally notified.

The final version is expected to clarify the eligibility criteria, disbursement process, and timelines for implementation.

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