Proposal to open new entry gateways for import of drugs and medical devices

India is planning to increase the number of designated entry points to make the import of drugs, medical devices, and cosmetics faster and cheaper. The Union Ministry of Health has proposed adding inland container depots, a special economic zone, and the upcoming international airport to the list of authorised clearance points. The move aims to reduce delays in local transit and bring clearance hubs closer to manufacturing centres, ensuring medical supplies reach hospitals and factories without any unnecessary hurdles.

Under the Indian Drug Rules, drugs, diagnostic tools, and cosmetics can only enter the country through designated ports, airports, rail links, and land border posts. The Union Ministry of Health has proposed the expansion of this list by issuing a draft gazette notification. This proposal includes eight inland container depots (dry ports that process maritime cargo in interior regions), a special economic zone, and an international airport. Before the formal announcement of the rules by the government, comments have been invited from drug manufacturers, medical-device importers, and the public within 30 days.

As per the proposal, the cargo-clearance locations are spread across various states. In Haryana, this includes dry ports at Sonipat, Piyala, and Harsaru. In Uttar Pradesh, Dadri dry port and Noida International Airport for air freight are included. In Telangana, Sanath Nagar and Thimmapur in Hyderabad are included. In Karnataka, Whitefield and Bommasandra special economic zones in Bengaluru have been included. These hubs will connect with existing authorised entry points, which include major airports and the dry ports of Dhannad and Tihina near Indore.

Currently, companies importing healthcare products have to clear shipments at coastal ports or distant metro airports, even if their factories are hundreds of kilometres away. This leads to long road journeys, high trucking costs, and significant storage costs when shipments are stuck. The proposed dry ports are located near major manufacturing clusters. The Hyderabad hub can serve local active pharmaceutical ingredient (API) and formulation units, while the Bengaluru locations are linked with medical technology and biotech plants. Dadri, Sonipat, Piyala, Harsaru, and Noida together form a clearance network in the Delhi-NCR region.

Allowing goods to be cleared closer to their destination could reduce freight costs and decrease reliance on congested coastal ports. According to a report by Mint, reliance on coastal ports can put the supply chain at risk due to bad weather, labour protests, or terminal congestion. Delays at entry points can impact hospital stocks, including diagnostic kits and medicines required for emergency treatment. Adding entry points in the northern, western, and southern industrial hubs will provide more options to the supply chain.

According to Rajeev Nath, Forum Coordinator of the All India Medical Device Association (AiMeD), by expanding the authorised import gateways, the government is removing logistics and regulatory hurdles, which will promote efficiency and the timely delivery of healthcare products. He expressed hope that this would also facilitate exports. He further added that while robust controls are necessary, excessive or duplicate processes could damage the efficiency that this initiative seeks to achieve.