Abstract: Together with information software industry and steel industry, biomedical industry is also among the pillar industries in the Indian economy and India possesses a world pharmacy reputation in the global drug market. The development of biomedical industry is highly dependent on government biomedical industry policy. The paper analyzes the present biomedical industry condition between China and India, and compares the biomedical industry policies between China and India in four aspects: industry structure policy, industry organization policy, industry layout policy and industry technology policy. We found that Indian biomedical industry’s development is superior to that of China though China has the similar development environment with India. By analyzing the promoting effect of Indian biomedical industry policy on its biomedical industry, and combining the existing development problems in Chinese biomedical industry, this paper included several policy recommendations about the development of Chinese biomedical industry: China shall attach importance to the training of large-scale enterprises, encourage enterprises to participate in international cooperation actively, do the work of information exchange within the industrial cluster and infrastructure services well, take the critical breakthrough principle to support R&D of biomedical industry, improve the application standards of Chinese medicine patents to enhance patent quality.