|
Forecast
Period
|
2026-2030
|
|
Market
Size (2024)
|
USD
715.50 Million
|
|
Market
Size (2030)
|
USD
1135.10 Million
|
|
CAGR
(2025-2030)
|
8.10%
|
|
Fastest
Growing Segment
|
Hospitals
|
|
Largest
Market
|
North India
|
Market Overview
India Medical Gases Market was valued at USD 715.50 Million in 2024 and is
expected to reach USD 1135.10 Million by 2030, growing with a CAGR of 8.10% in
the forecast period.
The India medical gases market is experiencing significant
growth, driven by the expanding healthcare infrastructure and increasing demand
for high-quality medical treatments. Medical gases, including oxygen, nitrous
oxide, carbon dioxide, and medical air, play a critical role in patient care
across hospitals, clinics, and homecare settings. The COVID-19 pandemic
underscored the importance of reliable oxygen supply, accelerating investments
in gas production, distribution, and storage infrastructure. Technological
advancements and automation in gas delivery systems have also contributed to
the market’s evolution. Healthcare providers are increasingly adopting
centralized pipeline systems for improved efficiency and safety.
Also, the
growing number of surgeries, critical care procedures, and chronic respiratory
conditions such as COPD and asthma continue to drive the consumption of medical
gases. Private sector participation and public health initiatives are helping
expand access to medical gases in tier 2 and tier 3 cities, which were
previously underserved. This regional expansion is supported by local
manufacturing and collaborations between healthcare institutions and gas
suppliers. In addition, the government's push toward self-reliance in medical
essentials has encouraged domestic production of oxygen plants and related
equipment.
While
the market shows promise, it also faces challenges, including inconsistent
regulatory compliance and logistical constraints in remote areas. However, with
the increasing focus on healthcare quality and emergency preparedness, the
medical gases market in India is expected to maintain a robust growth
trajectory. Continued innovation, policy support, and infrastructure investments will be pivotal in shaping its future.
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Key Market Drivers
Rise in Chronic and
Respiratory Diseases
India is witnessing a sharp rise in chronic and respiratory diseases, which is significantly driving the medical gases market. Conditions such as asthma, chronic obstructive pulmonary disease (COPD), and cardiovascular diseases are becoming common due to air pollution, where cities frequently experience AQI levels between 300 and 500, smoking, and aging demographics. Nearly 7% of individuals aged over 30 in India suffer from COPD, making it one of the most prevalent chronic respiratory conditions. This equates to an estimated 55 million people nationwide, with the WHO projecting that COPD-related deaths could reach 1.6 million annually by the end of 2025.
The frequent need for oxygen therapy in COPD management creates a sustained demand for medical oxygen. Asthma is another escalating concern; the Global Asthma Report identifies India as home to 35 million asthma patients, carrying more than one-tenth of the global disease burden. In major urban centers, asthma-related hospital admissions have increased by a fifth in the past five years, reflecting the impact of climate-induced smog and particulate matter. These clinical demands have forced hospitals to expand intensive care units and invest in centralized gas pipeline systems, while home healthcare providers are rapidly stocking portable oxygen concentrators for long-term respiratory support.
Aging and Growing Geriatric Population
India’s aging population is emerging as a primary driver of medical gas demand. As the population transitions, the need for surgical recovery and chronic care increases, areas where oxygen, nitrous oxide, and medical air are indispensable. Data from the National Commission on Population (PIB 2022/2025) indicates that the number of senior citizens (aged 60 and above) is expected to reach 173.2 million by 2026, eventually surging to 230 million by 2036. This demographic shift places immense pressure on healthcare infrastructure, particularly as one in ten Indians now falls into this age group.
With advancing age, the frequency of surgical interventions such as cataract surgery, hip replacement, and cardiac procedures increases significantly. Research in Springer Medizin (2024) on urban surgical needs found that the maximum number of procedures occurred in the 60-69 age decade. This heightened surgical volume necessitates a reliable supply of anesthesia gases and post-operative oxygen. Furthermore, the NITI Aayog Senior Care Reforms (2024) highlight that elderly patients now account for nearly 30% of ICU occupancy in many urban hospitals. This concentration of high-acuity patients reinforces the need for bulk oxygen storage, on-site generation (PSA plants), and automated distribution networks to ensure clinical safety.
Expanding Healthcare
Infrastructure
India’s
expanding healthcare infrastructure is playing a crucial role in driving the
growth of the medical gases market. As the country invests in strengthening
medical services across urban and rural areas, the demand for essential medical
supplies especially gases like oxygen, nitrous oxide, and medical air is rising
rapidly. In recent years, the number of government and private hospitals in
India has grown significantly. The country currently has over 70,000 hospitals
and healthcare centers, with many new facilities being developed in tier 2 and
tier 3 cities. This expansion is increasing the need for centralized gas
pipeline systems and bulk storage solutions, particularly in newly established
intensive care units and operating theatres.
Another
key driver is the increase in hospital beds per capita. India has added
thousands of hospital beds in both public and private sectors to improve
patient care and emergency preparedness. During periods of peak demand, such as
the COVID-19 crisis, many hospitals scaled up their oxygen infrastructure,
highlighting the critical role medical gases play in emergency response and
critical care. New healthcare policies and funding programs are also supporting
the establishment of medical colleges and district-level facilities, each of which requires fully functional gas delivery systems. The rise in day-care
surgeries, diagnostics, and specialty clinics is driving a steady increase in medical gas consumption.
As
healthcare access broadens and facilities become more technologically advanced,
medical gases are becoming integral to daily clinical operations. This
infrastructure-driven growth is ensuring strong, sustained demand across
India’s expanding medical landscape.
Key Market Challenges
Regulatory Inconsistencies
Regulatory
inconsistencies present a significant challenge to the growth of the medical
gases market in India. While medical gases are categorized as drugs under
Indian law, their regulation and enforcement vary widely across states and
institutions. This lack of uniformity in compliance, licensing, and inspection
can create confusion for manufacturers, distributors, and end users alike. Different
states often interpret or implement guidelines differently, leading to
fragmented compliance standards. For example, one region may require detailed
purity and packaging checks, while another might have minimal oversight. This
disparity can affect product quality, safety, and reliability across the supply
chain. It also makes it difficult for manufacturers to operate seamlessly on a
national level, increasing the administrative burden and limiting scalability.
Licensing
procedures are another area of concern. Some gas suppliers face delays due to
unclear or overlapping regulatory processes, which slow down their ability to
expand or enter new markets. Smaller players in particular struggle to meet
compliance requirements due to a lack of regulatory clarity or technical
knowledge, often operating without adequate quality control systems. These
inconsistencies also raise safety risks. Improper storage, labeling, or
handling of medical gases due to non-compliance can lead to contamination,
incorrect usage, or accidents. Such incidents not only endanger patients but
also damage trust in the healthcare system. For the medical gases market to
grow in a structured and safe manner, a unified regulatory framework with clear
guidelines and strict enforcement is essential. Standardization will ensure
product quality, encourage investment, and support long-term growth across
India’s healthcare sector.
Supply Chain Bottlenecks
Supply
chain bottlenecks present a critical challenge to the growth of the medical
gases market in India. While demand for oxygen, nitrous oxide, and other gases
continues to rise with the expansion of healthcare services, the supply chain
has struggled to keep pace, especially in remote and underserved regions.
Efficient distribution is essential to ensure that hospitals, clinics, and
homecare providers have uninterrupted access to life-saving gases. One of the
main issues is the lack of adequate transportation infrastructure. Many rural
and semi-urban areas do not have the required facilities for safe and timely
delivery of cryogenic oxygen or compressed gas cylinders. Limited availability
of cryogenic tankers and delays at filling stations often result in supply
shortages during high-demand periods, such as during public health emergencies.
Storage
infrastructure also remains a concern. Not all hospitals are equipped with
large-volume tanks or oxygen generation systems, making them dependent on
frequent cylinder refills, which can be delayed due to logistical
inefficiencies. Urban centers may experience fewer issues, but even in major
cities, traffic congestion and handling limitations can affect timely
deliveries. There is also a shortage of skilled manpower for managing gas
logistics, including cylinder handling, storage, and quality checks. This can
result in leakages, contamination, or delivery errors, impacting patient safety
and increasing operational costs for healthcare facilities. To support the
growing medical gases market, investments in distribution networks, trained
logistics personnel, and regional storage hubs are needed. Strengthening the
supply chain is essential to meet rising demand and ensure reliability across
India’s diverse healthcare landscape.
Key Market Trends
Growth of Home Healthcare
The growth of home healthcare is playing a vital role in driving the expansion of the medical gases market in India. As more patients opt for treatment and recovery at home, especially those with chronic respiratory conditions, demand for portable medical gas solutions, such as oxygen concentrators and cylinders, is steadily increasing. This trend is largely fueled by the aging population, rising cases of chronic obstructive pulmonary disease (COPD), asthma, and heart-related ailments. The number of cases of COPD in India increased from 28.1 million in 1990 to 55.3 million in 2016, an increase in prevalence from 3.3% to 4.2%. There were 37.9 million asthma cases in India in 2016. COPD and asthma accounted for 75.6% and 20.0% of the chronic respiratory disease DALYs in India in 2016, respectively. Of the total global DALYs due to chronic respiratory diseases in 2016, 32.0% occurred in India.
These conditions often require long-term oxygen therapy, which can be effectively managed at home with the right equipment. Patients and caregivers are seeking convenience, comfort, and cost-effective care without compromising on treatment quality. Healthcare providers are responding by offering comprehensive homecare packages that include regular oxygen supply, equipment maintenance, and remote monitoring. The growth of telemedicine and digital health platforms has also supported this shift, enabling medical professionals to oversee oxygen therapy and adjust treatment protocols without in-person visits.
As a result, suppliers of medical gases are expanding their reach to serve residential customers. Companies are developing lighter, more efficient oxygen concentrators and refillable cylinders that are easy to operate and maintain at home. Leading brands in India include Nidek Nuvo Lite (made in USA), Devilbiss 5-LPM, Philips Respironics Everflo, Evox 5s (made in India), and Oxymed Mini (made in China), all providing service networks across major Indian cities. For higher capacity needs, 10 LPM models include Nidek Nuvo-10, Devilbiss 10-LPM, Evox 10s, Oxymed 10-LPM, and BPL Oxy-10 Neo, which has service centers in all major metro cities of the country. The price range of medical-grade oxygen concentrators starts from Rs 36,000 and goes up to 2 Lakh, with good-quality 5 Liter Oxygen concentrators costing around this range.
In the pre-COVID-19 period, India produced 6900 MT of oxygen, with only 1000 MT designated for medical use; this rose to 19940 MT due to improved in-house oxygen production, affordable innovations, and better storage capabilities. Logistics systems are also being adapted to support doorstep delivery and timely refills. The increasing preference for home-based treatment is transforming the market dynamics. It is encouraging manufacturers, distributors, and healthcare providers to focus on innovation, accessibility, and service reliability, all of which are essential for sustaining the rising demand for medical gases in the home healthcare segment across India.
Shift Toward On-Site Oxygen
Generation
The
shift toward on-site oxygen generation is becoming a defining trend in the
growth of the medical gases market in India. Hospitals and healthcare
facilities are increasingly moving away from traditional cylinder-based supply
systems and adopting in-house oxygen production through Pressure Swing
Adsorption (PSA) plants. This shift is largely driven by the need for
uninterrupted oxygen availability, cost efficiency, and better control over
supply chains. During the COVID-19 pandemic, many healthcare providers faced
critical shortages of medical oxygen due to transportation delays and limited
external supply. These challenges highlighted the vulnerability of depending
solely on centralized suppliers. In response, hospitals began installing
on-site oxygen plants to ensure a stable and continuous supply for critical
care units and general wards.
On-site
generation enables healthcare facilities to produce oxygen to the required purity
levels, reducing reliance on third-party vendors and eliminating the logistical
hurdles of cylinder refills. The technology has become more affordable and
scalable, making it viable for both large hospitals and smaller regional
facilities. This trend is not limited to urban centers. Many district hospitals
and government-run institutions in tier 2 and tier 3 cities are now equipped
with PSA plants to enhance emergency preparedness and routine patient care. It
also aligns with national efforts to strengthen healthcare infrastructure and
reduce supply chain bottlenecks.
As
on-site generation becomes standard practice, the medical gases market is
evolving to support installation, maintenance, and technical training services.
This transition is improving the resilience and efficiency of oxygen supply
systems across India’s diverse healthcare landscape.
Segmental Insights
Gas Type Insights
Based
on gas type, in the India medical
gases market, pure gases hold a dominant position over gas mixtures. This is
primarily due to the widespread and consistent demand for pure oxygen across
various levels of healthcare, from primary care centers to advanced tertiary
hospitals. Oxygen is essential for a wide range of medical applications
including surgery, emergency care, intensive care units, and chronic
respiratory therapy. Its critical role in life-saving interventions ensures its continued and widespread use. Pure nitrous oxide and medical air also
contribute significantly to this segment, commonly used in anesthesia and
ventilatory support. These gases are integral to daily hospital operations,
which makes their supply and storage a top priority for healthcare providers. Gas
mixtures, while important, are more specialized and used in specific clinical
scenarios such as neonatal care, lung function testing, or certain types of
anesthesia. Their demand tends to be more situational and limited than that of pure gases. The consistent use, broader applications, and the necessity of pure gases in both routine and critical medical procedures give them a stronger, more stable presence in the Indian medical gases market.
Application Insights
Based
on application, In the India medical gases market, the therapeutic segment was the dominant category among therapeutic, diagnostic, biotechnology and
pharmaceutical industry, and others. This dominance is primarily driven by the
essential role medical gases play in direct patient care and clinical treatment
across a wide range of medical settings. Therapeutic gases such as oxygen,
nitrous oxide, and medical air are critical for managing respiratory
conditions, anesthesia administration, surgical support, and intensive care
treatment. Oxygen, in particular, is one of the most frequently used therapeutic
agents in both emergency and long-term care. The high prevalence of respiratory
diseases, cardiovascular conditions, and post-operative recovery needs has
ensured that therapeutic use remains a daily necessity in hospitals and
clinics.
Unlike
diagnostic or pharmaceutical applications, which are more specialized or
occasional, therapeutic gases are used routinely and in large volumes. They are
indispensable in emergency departments, operation theatres, and ICUs, where
uninterrupted supply can be a matter of life and death. Home healthcare also
contributes significantly to this segment, with many patients relying on oxygen
therapy for chronic disease management. The constant and widespread reliance on
medical gases for life-sustaining treatments ensures that the therapeutic
segment remains the largest and most stable contributor to the growth of the
medical gases market in India.
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Regional Insights
Based
on region, the dominant region in the India medical gases market is the North
region, which includes key states such as Delhi, Uttar Pradesh, Punjab,
Haryana, and Rajasthan. This region holds a leading position due to its
well-established healthcare infrastructure, higher concentration of tertiary
hospitals, and greater investment in advanced medical facilities.
Northern
India is home to several government and private healthcare institutions that
offer specialized and critical care services, which require a continuous and
high-volume supply of medical gases like oxygen, nitrous oxide, and medical
air. The presence of large multispecialty hospitals, medical colleges, and
super-specialty centers increases the demand for gases used in surgery,
intensive care, and emergency services. Urbanization and higher awareness of
healthcare access in cities such as Delhi and Chandigarh also contribute to the
greater consumption of medical gases. In addition, the North region has
witnessed significant public and private investment in healthcare
infrastructure, including installation of on-site oxygen generation plants and
centralized gas pipeline systems.
The
region's strategic location with better logistics and distribution networks
allows for more efficient transportation and supply of gases across hospitals
and remote healthcare centers. These combined factors make Northern India the
dominant contributor to the medical gases market in the country.
Recent Development
- In September 2025, Linde India commenced commercial production at its new gas facility in Unnao, Lucknow, to strengthen bulk gas supply, including hospital-grade medical gases, while improving storage, handling, and distribution capabilities across Uttar Pradesh.
- In September 2025, multiple market updates confirmed that Linde India’s Unnao facility had gone live, emphasizing its role in improving medical gas supply reliability for hospitals and healthcare institutions throughout the region.
- In March 2025, the Bureau of Indian Standards (BIS) outlined an expanded scope of Quality Control Orders and safety standards for critical products, directly intersecting with medical oxygen quality and respiratory safety frameworks used by hospitals and gas suppliers.
- In July 2024, Air Liquide India inaugurated a large liquid gases Air Separation Unit (ASU) at Kosi, Mathura, with a high daily output capacity to serve both hospitals particularly for medical oxygen and industrial customers across North India, marking it as the largest liquid gases plant in Uttar Pradesh.
- In August 2024, Linde India reported the commissioning and commercial launch of its new Lucknow facility, designed to significantly enhance the supply of bulk medical and industrial gases essential for hospital operations and regional healthcare demand.
- In September 2024, AIIMS Patna issued a tender for the supply, installation, testing, and commissioning of medical gas pipeline systems including oxygen and suction lines for neonatal intensive care and disaster response areas, reflecting infrastructure upgrades in tertiary care facilities.
- In September 2024, the Government e-Procurement (GeM) portal released bid documents specifying technical standards for medical-grade gases such as nitrous oxide conforming to the Indian Pharmacopoeia, providing detailed guidance on supplier qualifications for hospital contracts.
- In
January 2025, INOXAP launched India’s first ultra-high purity nitrous oxide
plant, marking a significant milestone in the country's medical and industrial
gases sector. The facility was designed to produce nitrous oxide with extremely
high purity levels, catering to critical healthcare and semiconductor
applications. This development reflected INOXAP’s commitment to enhancing
domestic production capabilities and reducing dependency on imports for
specialized medical gases.
- In
January 2025, the Prime Minister's Office (PMO) wrote to the health ministry,
urging necessary action on the labelling of oxygen cylinders to clearly
distinguish between industrial and medical oxygen. This followed a request by
lawmaker Ajeet Madhavrao Gopchade, who highlighted the need for such
differentiation in the interest of patient safety and effective healthcare
delivery.
Key Market Players
- Matheson TriGas
- Messer Group
- Linde India Limited
- INOX Air Products Limited
- Praxair India Private Limited
- Air Liquide India
- K-Air Speciality Gases Pvt. Ltd.
- SICGIL India Limited
- Bhuruka Gases Limited
- Uttam Air Products
|
By
Gas Type
|
By
Application
|
By
End User
|
By
Region
|
|
|
- Therapeutic
- Diagnostic
- Biotechnology and Pharmaceutical Industry
- Others
|
- Hospitals
- Home Healthcare
- Academic and Research Institutions
- Others
|
- North
India
- East
India
- West
India
- South
India
|
Report Scope:
In this report, the India Medical Gases Market has
been segmented into the following categories, in addition to the industry
trends which have also been detailed below:
- India Medical Gases Market, By Gas Type:
o Pure Gas
o Gas Mixtures
- India Medical Gases Market, By Application:
o Therapeutic
o Diagnostic
o Biotechnology and
Pharmaceutical Industry
o Others
- India Medical Gases Market, By End User:
o Hospitals
o Home Healthcare
o Academic and
Research Institutions
o Others
- India Medical Gases Market, By Region:
o North India
o East India
o West India
o South India
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the India
Medical Gases Market.
Available Customizations:
India Medical Gases Market report with the
given market data, TechSci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
- Detailed analysis and profiling of additional
market players (up to five).
India Medical Gases
Market is an upcoming report to be released soon. If you wish an early delivery
of this report or want to confirm the date of release, please contact us at [email protected]