- India is expected to rank amongst the top three healthcare markets in terms of incremental growth by 2020
- Indian healthcare sector, is expected to record a threefold rise, at a CAGR of 22 per cent during 2016-2022 to reach US$ 372 billion in 2022 from US$ 110 billion in 2016
- Rising income levels, ageing population, growing health awareness and changing attitude towards preventive healthcare is expected to boost healthcare services demand in future
- Conducive policies for encouraging FDI, tax benefits, favourable government policies coupled with promising growth prospects have helped the industry attract private equity, venture capitals and foreign players
Rising incomes and affordability:
- Growing elderly population, changing disease patterns.
- Rise in medical tourism.
- Better awareness of wellness, preventive care and diagnosis.
- Encouraging policies for FDI and the private sector.
- Reduction in customs duty and other taxes on life-saving equipment
- NRHM allocated US$ 10 billion for healthcare facilities.
- National Health Insurance Mission to cover entire population
Healthcare data and health-IT upgrades to enhance AI functionality for diagnostic and treatment devices
Glucose monitors, exercise trackers, wearables for mental health, boosting home-based healthcare
Assistive robotic surgeries, minimally invasive surgeries, predictive diagnosis, role of artificial intelligence
National Telemedicine Network, SATCOM-based telemedicine nodes, and mobile health clinics
- Additional 1.54 million doctors and 2.4 million nurses required to meet the growing demand for healthcare; 58,000 job opportunities are expected to be generated in the healthcare sector by the year 2025.
- Over US$ 200 billion is expected to be spent on medical infrastructure by 2024.
- Contract research is a fast growing segment in the Indian healthcare industry.
- Cost of developing new drugs is as low as 60 per cent of the testing cost in the US.
- The number of clinical trials approved by the Drug Controller General of India (DCGI) recorded a 400 per cent increase to 97 in 2017 from 17 in 201
- The market size of medical tourism market amounted to Rs 195 billion (US$ 3 billion) in 2017. In 2018-19 the medical tourism market is expected to double due to the easier norms for medical visa approvals. The value of medical tourism is forecasted to reach US$ 9 billion by 2020.
- Cost of surgery in India is nearly one-tenth of the cost in developed countries.
- There are 21 Joint Commission International (JCI) – accredited hospitals in India and growing.
The medical devices market size, valued at US$ 4.9 billion in 2017, is expected to reach US$ 11 billion by 2022, backed by rising geriatric population, growth in medical tourism and declining cost of medical services.
Indian healthcare sector is much diversified and is full of opportunities in every segment which includes providers, payers and medical technology. With the increase in the competition, businesses are looking to explore for the latest dynamics and trends which will have positive impact on their business. The hospital industry in India is forecasted to increase to Rs 8.6 trillion (US$ 132.84 billion) by FY22 from Rs 4 trillion (US$ 61.79 billion) in FY17 at a CAGR of 16-17 per cent.
India’s competitive advantage also lies in the increased success rate of Indian companies in getting Abbreviated New Drug Application (ANDA) approvals. India also offers vast opportunities in R&D as well as medical tourism. To sum up, there are vast opportunities for investment in healthcare infrastructure in both urban and rural India.