Investment models like FDI and PPP are interesting healthcare business ideas and help to redefine infrastructure and services for the Healthcare Industry in India.
April 10, 2014 (Newswire) - India, 2014 - The Indian Healthcare Industry is going through one of its most explosive growth phases. The Investment Commission of India highlights an annual growth of 12% over the last 4 years in the healthcare sector.
Several factors, like the rise in population, the increase in availability of disposable incomes for health issues and the increase in health awareness owing to growing rates of literacy have significantly contributed to generating a huge demand in healthcare needs. A dearth of sufficient supply to meet this need has prompted Healthcare companies to step in and bridge the gap, thereby providing a splendid healthcare business opportunity.
Some of the vital areas that provide the Indian healthcare Industry with an immense opportunity for investments are listed below. These include:
1.Indian hospitals provide an inadequate number of beds to cater to the growing demand. Currently, hospitals in India have around 12 beds per 10,000 patients. However, this number needs to be increased to 2 beds per 1000 by 2025 generating a need for $1.8 million as investments to provide for the extra beds.
2.By 2025, India also plans to provide for 1 doctor per 1000 people, an ambitious drive from the current 6 doctors per 10,000 people. This has registered a need to staff its hospitals with 0.7 million doctors.
3.Medical Tourism, the inflow of people from other countries to India, is expected to witness a hike of 27% clocking annual revenue of $3.9 billion in 2014 from the $1.9 billion registered in 2011.
4.Exciting investment opportunities are also seen in the medical equipments and devices sector with 85% of the import market being occupied by a demand for ECG, X-ray, in-vitro diagnostics, and patient monitoring devices.
The Indian government is not immune to the activities and has ensured that interesting investment models in the form of Foreign Direct Investment (FDI) and Public Private Partnership (PPP) are suitably positioned to aid the healthcare business for sale.
Several constructive steps have been initiated to ensure a 100% approval of FDI in the interest of health and medical services. Consequently, a series of agreements have been signed between India and Maldives to encourage health cooperation. Also the slew of exciting activities taking shape between India and Scotland to boost Indian Pharmaceutical and Biotech companies is worth considering.
The PPP models, established in Tier II and Tier III cities are aimed at introducing expert healthcare at affordable rates. Owing to lesser number of people visiting the Tier II cities in comparison to bigger metros, people located in suburbs around these smaller towns prefer these healthcare centres. Therefore, it would be unwise to allow this huge demand base to remain untapped. As more and more private organizations are waking up to this immense potential of providing health care services to the Tier II and Tier III cities, the latter are being increasingly benefited by quality infrastructure and services.
The healthcare domain in India is witnessing a rapid overhauling with investment models like FDI and PPP and the increased awareness among the people leading them to demand enhanced services and products. The moment is most opportune for intelligent business prospects promising people with better alternatives for a healthy lifestyle.
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