|The Indian healthcare sector has been growing at a frenetic pace in the past few years. The windfall began ever since the developed world discovered that it could get quality service for less than half the price.The Indian healthcare market is estimated to be US$ 30 billion and includes pharmaceuticals, healthcare, medical and diagnostic equipment and surgical equipment and supplies. Revenues from the healthcare sector account for 5.2 per cent of the GDP and it employs over 4 million people. Private spending accounts for almost 80 per cent of total healthcare expenditure.
According to a study by CII-McKinsey on ‘Health in India’, India will spend US$ 45.76 billion on healthcare in the next five years as the country, on an economic upsurge, is witnessing changes in its demographic profile accompanied with lifestyle diseases and increasing medical expenses.
Coupled with the expected increase in the pharmaceutical sector, the total healthcare market in the country could increase to US$ 53-73 billion (6.2-8.5 per cent of GDP) in the next five years.
Private healthcare will continue to be the largest component in 2012 and is likely to double to US$ 35.7 billion. It could rise by an additional US$ 8.9 billion if health insurance cover is extended to the rich and middle class