The industry is forecasted to be a $100 billion niche by 2015
Indian healthcare industry is cited as a booming one, this sector according to the global experts is highly potential providing multiple opportunities to players from worldwide. The count of medical tourists visiting the country is exceeding all projections with every passing annual. The governing body of the country has a separate department known as the medical healthcare department that has its sub-authorities working in state levels and further lower levels. Special policies are framed and implemented in order to look after the public health. This activity is one of the primary ones under the constitution of the country.
Various organizations both from public and private backgrounds are working on the national healthcare issues and providing health facilities in both rural and urban regions. India’s average life span expectancy is around 64 for men and 67 for women whereas the infant mortality rate is around 46 out of every 1,000 births.
The recent Foreign Direct Investment (FDI) talks have influenced the healthcare sector in the country for some expected improvements. For the period last 10 years India has emerged a strong destination for FDI especially in the healthcare segment. International investors are peeping into the country as a profitable location where they may introduce innovative healthcare products and services and book bulk profits in return. The Indian healthcare sector is estimated an average 6% GDP contribution into the economy. It is amongst world’s largest employer for the sector having maximum employees and revenue.
As per the records from 2013, the country had a clear breakup of the industry into 5 main streams which are mentioned below.
According to a market research dedicated to the alcove, it is projected to have a solid growth rate of 20% on a yearly basis and thus it is apparent that it may touch the $100 billion mark by 2015. Further the sector is expected to peg up to $280 by the finish of 2020. As mentioned above, medical tourism plays a vital role in increasing the revenues of the healthcare industry, it had a CAGR growth of 27% from 2011-2014, factors like growing population, increase in health awareness, introduction in faster advanced diagnostic techniques and increasing disposable incomes are energizing the industry creating room fort
India is acquiring enormous foreign investments in the field since 2000, Indian diagnostic segment received $1597.33 million, Pharmaceuticals received $10318.17 and Medical equipments received $604.47 million worth FDI in the 13 years span. Key participants in the sector account to Apollo Hospitals, Fortis Hospitals, Arvind Eye care, Vasan Eye care and Manipal Group along with Wockhardt Healthcare group. There are expansion plans worth $370 million which are in different stages by all these healthcare product and service providing companies. Along with these are government and private collaborations which are likely to bring in foreign investments in the upcoming years.
The Indianhealth insurance market is active in only averages of 2% of the total population have some kind health insurance policy. There would be a requirement of 0.7 million additional doctors to achieve the ratio of 1 doctor per 1000 patients by the year 2025.
Therefore, all these aspect put together indicates that the industry holds a strong growth potentials in the nearing future.