The Indian healthcare industry will show rapid growth during this decade as a result of rising life expectancy, higher income levels, greater reach of health insurance, and growing lifestyle-related diseases, said Apollo Hospitals group founder-chairman Dr. Prathap C. Reddy, at an event in Bangalore.
The top health sector entrepreneur said that the Indian healthcare industry is undergoing a rapid expansion phase with 12 percent CGPA (cumulative growth per annum) since 2008 and its market is ready to gross Rs.1.3 trillion (Rs.12,60,000 crore) in revenue by 2020.
Dr Prathap C. Reddy was inaugurating the second edition of the international conference-cum-exposition Healthex 2011 at the Bangalore International Exhibition & Convention centre (BIEC). He added that private hospitals were training their staff and modernizing equipment to reach out and serve patients better with best methods and practices.
"Government initiatives and public-private partnerships will help create better opportunities for nurses, paramedics, emergency medical technicians and specialised doctors across the country," said Dr Reddy.
The Investment Commission of India says that the market size of hospitals and nursing homes are projected to be at Rs. 54,000 crore with a 20 per cent growth rate per annum; that of medical equipment Rs. 9,000 crore with 15 per cent growth; clinical lab diagnostics with Rs.4,500 crore and a 30 per cent growth; imaging diagnostics Rs.4,500 crore with 30 per cent growth and other services, including training and education, aesthetics and weight loss, and retail pharmacy at Rs. 9,000 crore.
McKinsey-CII (Confederation of Indian industry) advisory estimates the number of insurable lives at 315 million, with a potential of generating Rs. 34,650 crore in premium by 2015. "Health Insurance as a business, has the potential to show top line growth," Dr Reddy said.
Importing customers into India for medical tourism, educational services, leisure tourism is expected to generate an additional $6-50 billion in revenue and create 10-48 million direct and indirect jobs by 2020.
The 3-day expo is hosted by the CII national health council. It showcases medical, surgical, and diagnostic equipment, technology, materials, supplies and allied services.