1. Business Opportunities in
Private Hospital Sector in India
Time to seize the business opportunity

2. The Growth of Healthcare Industry in India
•
Indian government has decided to
increase its health expenditures to 2.5
% of GDP by the end of 2017
•
Healthcare sector is expected to reach
USD 100 billion by 2015 - this means
annual growth rate of 20%
•
The hospital service industry in India is
growing very fast with CAGR of 9%
•
Medical tourism industry is important
revenue source (~20% of revenues) for
hospitals – it is worth of $2 billion and
growing annually 20%.
•
Three identified growth sectors are
oncology, orthopaedics and cardiology
•
•
10/22/2013
100 per cent FDI is permitted for health
and medical services
Reduction of customs duty for 5-7.5%
on all medical, surgical and dental
equipment
© Finpro
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3. Private Hospital Sector in India
•
Private sector accounts for 65%
of the total number of
operational beds and over 80%
of the healthcare spending
•
It is expected to grow 24.1%
annually until 2020 - it will
contribute 80% of the USD 86
billion healthcare investment
required until 2025
•
In the private sector supply
processes for new
procurements are shorter and
more flexible than in the
governmental hospitals
•
Private sector provides special
healthcare services -they have
need for specialized technology
and services
•
10/22/2013
© Finpro
Apollo Telemedicine Network
Foundation
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4. Major Private Hospital Chains in India in Figures
Name
Beds
Apollo Hospitals
54
8,717
Fortis Hospitals
48
6,292
Manipal Hospitals
15
3,700
CARE Hospitals
12
1,600
MAX Healthcare
11
1,100
Sterling Hospitals
22/10/2013
Hospitals
6
1,027
4
© Finpro

5. The Presence of Major Private Hospital Chains
CARE Hospitals
Hyderabad
Nampally
Secunderabad
Visakhapatnam
Nagpur
Raipur
Bhubaneswar
Surat
Pune
Vizag
New Delhi
Jaipur
Ahmedabad
2
1
1
1
1
1
1
1
1
1
Amritsar
Bangalore
Chennai
Faridabad
Gurgaon
Jaipur
Kolkata
Mohali
Mumbai
New Delhi
Noida
Raipur
1
6
1
1
1
1
3
1
3
4
1
1
Manipal Hospitals
Raipur
Kolkata
Mumbai
Fortis Hospitals
Hyderabad
Bangalore
Apollo Owned Hospitals
Bangalore
Tumkur
Salem
Mangalore
Vijayawada
Goa
Visakhapatnam
Chennai
Hyderabad
Kolkata
Delhi
Bangalore
Ahmedabad
Other India
5
1
1
1
1
1
2
9
8
2
2
1
2
12
Chennai
MAX Healthcare
New Delhi
Mohali
Bathinda
10/22/2013
© Finpro
Sterling Hospitals
9
1
1
Ahmedabad
Vadodara
Rajkot
Mundra
Bhavnagar
Adipur
1
1
1
1
1
1
5

6. Oncology Sector in India
•
Indian oncology market is expected to grow strongly in the coming years:
–
–
–
–
rising incidence of cancer
improved diagnostic capabilities
improved access to cancer therapies
better health insurance coverage
•
•
While domestic companies dominate the market with branded generics,
all major multinational pharmaceutical companies have a presence in
India, targeting a small but significant part of the population that can afford
the price premium associated with global brands
•
10/22/2013
As the Indian economy continues to grow, more people will gain the
financial ability to seek cancer treatment, while the growing middle class
will drive demand for innovative branded therapies
Plans to increase government expenditure on health and improve access
to cancer drugs will also drive the uptake of cancer therapeutics in the
future
© Finpro
6

7. Orthopaedics Sector in India
• With a growing population of potential patients, rising
awareness about the impact of joint problems, and the
importance of surgical treatments, the market for orthopaedic
implants promises to be one of the most lucrative segments in
the Indian medical device market
– estimated to grow to USD 878.3 million by 2017
– surgical expenses are 60-80% lower than U.S. costs
– Indian orthopaedic joint replacement market is expected to grow
26.7% CAGR during 2010-2017
– over 70,000 hip and knee replacements are performed every
year
• Growth drivers: increase in aging population, sedentary
lifestyle, booming economy, better healthcare infrastructure
and the opening up of the insurance sector
10/22/2013
© Finpro
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8. Cardiology Sector in India
•
•
India is likely to emerge as the
global capital of heart diseases
by 2025 (WHO)
Interventional cardiology market
in India is estimated to grow at
a CAGR of 25.5% over the
period 2011–2015
– One of the key factors
contributing to market growth is
the increasing incidence of
cardiovascular diseases
•
10/22/2013
The robotic surgery in
interventional cardiology
procedures is increasing as way
of treatment
© Finpro
8

9. Opportunities in Private Hospital Sector in India
•
Business opportunities for
Finnish companies exist:
– Laboratory analyzers
and diagnostic kits
– Diagnostic devices
applicable for
telemedicine
applications (e.g.
imaging systems,
spirometer, ultrasound)
– Surgical instruments
– Equipment for surgery
departments
– Health IT (HIS, LIMS,
PIS, Telemedicine)
– High-end medical
furniture
10/22/2013
© Finpro
9

10. Opportunities in Green Hospitals in India
•
Green buildings are a market worth of USD 30 billion in India with
growth rate of 10-15% during the next decade
•
Opportunities for Finnish companies exist especially in:
•
•
Waste: source reduction and segregation, waste water management,
treatment and disposal, water use efficiency
•
Water: collection and segregation, transportation and storage, disposal
techniques and treatment technology
•
10/22/2013
Buildings: structural design, indoor air quality, resource efficiency,
automation and monitoring
Energy Efficiency: air-conditioning, lightning and electrical, boilers and
hot water solutions for energy efficiency
© Finpro
10

11. Finpro Navigator
Preparing the
Growth
10/22/2013
Establishing the
Presence
Entry Options
Test Drive
Planning The
Market Entry
Improving the
Market Position
Partner Search
Direct Sales
© Finpro
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12. Rahoitusvaihtoehtoja 2013
kansainvälistyville pk-yrityksille
Julkisia rahoituksia pk-yrityksille:
Valmistelurahoitus
max. 15 k€/ 70 % tuki
Projektin max. arvo 21 400 €
Yrityksen
kehittämisavustus
n. 50–100 k€ / 50 % tuki
Yhteishankintakoulutus
n. 30-130 k€ / 60-70 % tuki
Tekes De minimis avustus
35-50% tuki max 100 k€
Tekes avustus
asiantuntijapalveluihin
50-75% tuki max 100 k€
Go Global Plus
Arvo n. 21 k€
Hinta pk-yritykselle 5 500 €
Tekes T&K avustus
25 - 65 % tuki n. 20–500 k€
ja T&K laina (50-70%
kustannuksista)
Finnpartnership
tuki 3v max. 200 k€ /
30/50/70 % tuki
22/10/2013
© Finpro
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13. More information
Christine Grumbach
Senior Consultant
Head of Health Technology sector
christine.grumbach(a)finpro.fi
Tel +49 171 8893 000
10/22/2013
Anna Erkkilä
Senior Consultant
Region Finland
anna.erkkila(a)finpro.fi
Tel +358 40 3433420
Seppo Keränen
Regional Sales Manager
India, Middle-East, Africa
seppo.keranen(a)finpro.fi
Tel +358 400 535 907
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media and visit our
website www.finpro.fi