CCI Flags Oligopoly In MRI-CT Market, Calls For AI Self-Audit In Recent Studies

New Delhi, Feb 11 (KNN) The diagnostic medical imaging equipment Industry in India is dominated by a few global manufacturers and has high entry barriers even as competition varies across value chain, said Minister of State for Corporate Affairs Harsh Malhotra in Rajya Sabha citing a study by fair trade regulator Competition Commission of India (CCI).

The CCI study on medical imaging equipment primarily covered MRI and CT scan.

The CCI has released key findings from three major market studies conducted over the last three years, highlighting evolving competition dynamics in artificial intelligence, medical imaging equipment and the mining sector.

In a written reply to a question in Rajya Sabha, MoS Malhotra said the CCI undertakes market studies periodically to better understand competitive conditions across sectors.

MRI-CT Market Dominated by Few Global Players

In 2024, the Commission conducted a market study on the Diagnostic Medical Imaging (DMI) Equipment Industry in India, with a focus on MRI and CT scan equipment.

The study found that while competition varies across the value chain, the market for new DMI equipment remains oligopolistic, dominated by a few global Original Equipment Manufacturers (OEMs) with high entry barriers. However, strong buyer power exercised by hospitals and diagnostic centres help keep prices competitive.

End users benefit from competitive pricing, though the sector faces challenges such as skill shortages and constraints in spare parts availability.

AI Study Calls for Transparency, Self-Audit

In October 2025, the CCI released a market study on Artificial Intelligence and Competition to examine emerging AI systems and market ecosystems. The study recommended that businesses undertake self-audits of AI systems for competition compliance, improve transparency and reduce information asymmetry.

It also emphasised the need for focused competition advocacy and capacity building by the CCI, continuation of government policy initiatives, and enhanced inter-regulatory coordination and international cooperation.

Iron Ore Sector Moderately to Highly Concentrated

In 2023, CCI undertook a study on the Dynamics of Competition in the Mining Sector in India, focusing on iron ore.

The study observed that while India is self-sufficient in iron ore, the sector remains moderately to highly concentrated, with dominance by a few public sector and legacy players. It also noted that the Mines and Minerals (Development & Regulation) Amendment Act, 2021 appears supportive of competition policy objectives.

No Penal Action Based on Market Studies

The Minister clarified that under Section 27 of the Competition Act, 2002, the Commission is empowered to issue directions, including cease-and-desist orders and penalties, after inquiry into anti-competitive agreements or abuse of dominant position.

However, no such directions are issued solely on the basis of a market study. Instead, findings from market studies are used to promote competition advocacy, awareness and training on competition-related issues.

The Government said these studies serve as important tools to strengthen policy formulation and enhance understanding of competitive conditions in emerging and critical sectors.

(KNN Bureau)