Whopping US$ 774 billion healthcare revenue opportunity in India by 2030: Report

New Delhi: There is no doubt that Covid-19 has elevated healthcare and related sectors to the top of the priority list of governments, policymakers and industry in an unprecedented manner, with Central Government healthcare expenditure increasing from 1.3% of GDP in 2019-20 to 2.1% of GDP in 2021-22.

In such testing times, when India registered over 513,000 COVID-19 deaths, especially during the disastrous second wave when the pandemic starkly exposed the inadequacies of ourhealth infrastructure, a newly released report has come across as a ray of hope. The research projects that India can generate a staggering USD 774 billion revenue and create 12 million jobs impacting 1.5 billion livesby 2030 with an investment of USD 217 billion in healthcare and allied sectors.

The collaborative report titled Investing for Impact: Healthcare, Pharma & Healthtech has been put together by Aspire Circle the help of 21 co-authors and 6 guest contributors, with Capgemini as key sponsor.

The report spells out India’s top ten outstanding investment ideas, being shaped by new-age technologies, innovative business models, delivery platforms and regulatory environment: Preventive and Primary Healthcare; Pharma, Drug & Vaccine Manufacturing; Screening, Diagnostics & Testing; Affordable Healthcare and Operational Efficiency; Medical Tourism; E Healthcare & Telecare; Health Insurance & Innovative Impact Financing; E-Pharmacies; Medical Workforce Education & Skilling; and Gene Therapy.

This was the sixth in a series of reports by Aspire Circle as a part of the larger and overarching programme of generating 100 Impact Ideas for India’s Inclusive Growth with India’s largest collaborative research initiative involving over 200 experts with an eye on shaping India’s Impact Economy.

“Indian Healthcare will become the second most attractive investment sector this decade, behind Food, Agri & AgriTech but ahead of BFSI, Financial Inclusion & FinTech. Covid-19 has thrown open India’s health infrastructure fault-lines and both entrepreneurs and investors are on an epic mission to convert the crisis into an investment opportunity. The Top 10 ideas in our research can lead annual investment growth from $52 to $179bn between 2020 and 2030 and grow related revenues from $183 to $610bn. These Top 10 ideas will serve and impact 1.5 bn Indians, create 12 million cumulative jobs and grow the overall sector to a colossal USD 774 billion by 2030 – an incredible promise worth nurturing,” said Amit Bhatia, Founder of Aspire Circle & Creator – Impact Future Project.

“The last two years have put the healthcare industry in our country through the toughest challenges. The healthcare landscape in the country also threw up the gaps between private and public and urban and rural healthcare like never before. Yet, technology interventions have helped to reach out to patients beyond the geographical boundaries of cities and states and cut costs and boost staff productivity, while improving overall care and outcomes. Healthcare is now a benchmark for all other verticals of the incredible social impact & welfare with technology disruptions – it has set the template for inclusive healthcare on scale for the future,” said Anant Maheshwari, President Microsoft India.

“Good health is the primary need of every human being. Though we in India have progressed a lot in providing health care and in increasing longevity, we continueto host world’s largest number of blinds, diabetics, patients suffering from cancer, heartand several other diseases. Recent pandemic has only highlighted inadequacy onseveral fronts in health care. Though we produce world class physicians, surgeons and nurses, we are woefully short both in reach and quality medical care at affordable pricesto a vast majority of our population. This clearly can be overcome by the combined might of the government, private sector and individual initiatives,” said Ravi Kant, former CEO Tata Motors.

“The on-going pandemic has brought to sharp focus the structural demand-supply gaps in our country’s healthcare systems. The structured brainstorming discussions at the IFP forums have helped prioritize the themes that will likely dominate the country’s healthcare and life science sectors over the next decade. Each of the themes shortlisted has a pivotal role to play in driving the sector’s enormous growth potential,” said Visalakshi Chandramouli, Managing Partner, Tata capital Healthcare Fund.