Leading global medical technology player Medtronic has rolled out a plan to expand its Hyderabad research and development (R&D) centre into its second largest research hub in five years. The company has committed an investment of Rs 1,200 crore for the purpose. "Medtronic Engineering & Innovation Centre (MEIC) will be the largest global R&D centre outside of the United States for Medtronic," Madan Krishnan, Vice President Indian Subcontinent said.
The investment planned for a span of five years will see its employee strength go up from the existing 350 to about 1,000. The MEIC will provide software and engineering services across four key verticals - cardiac, neuro, renal and minimally invasive surgery - of the company.
Krishnan said the state government of Telangana and Medtronic have been in discussion for the last two years regarding the modalities of investment. "The investment is a vote (of trust) for India and Telangana. The state government has been consistent and persistent in their approach over several years," he said.
According to Krishnan, India should capitalise on its core competency - skilled technical manpower and technology prowess of the local IT firms - to attract investments in medical technology. The country should also get increasingly integrated with the global supply chain to turn into an attracting sourcing hub, and in the process a production base of medical technology products, he added.
The company's investment in R&D has come at a time when Central government is trying hard to boost domestic manufacturing of medical devices through a production-linked incentive scheme and establishment of greenfield med-tech parks. "The medical device parks should be complementary in nature. The industry supports the government vision," Krishnan said.
Earlier, making the announcement at a virtual function, Omar Ishrak, Executive Chairman and Chairman of the Board, Medtronic said: "Medtronic's investment in India is a testament to our commitment to the region and we are proud to be collaborating with the Telangana government on this major investment in the country. The expansion of MEIC will help us serve the Medtronic Mission to use medical technology to alleviate pain, restore health and extend life for patients around the world, which is also aligned with the government's vision to improve access to healthcare for patients in India."