New Delhi: India’s medical tourism industry is on a strong growth path, with projections indicating that the market will reach $18 billion by 2027, growing at a Compound Annual Growth Rate (CAGR) of 19 per cent, a new report said on Tuesday.
The country has become a preferred destination for international patients, offering world-class healthcare services at significantly lower costs than Western nations.
In recent years, India has positioned itself as a global hub for medical tourism, attracting patients seeking top-tier medical treatments along with the opportunity to experience the country’s rich cultural heritage.
According to Praxis Global Alliance, a global consulting firm, the industry has witnessed rapid expansion, with the market valued at $7 billion in 2022.
A major contributor to this growth is the increasing number of Foreign Tourist Arrivals (FTAs) for medical purposes.
Between 2015 and 2019, the number of medical tourists visiting India grew at a CAGR of 31 per cent, rising from 234,000 to 697,000.
However, the Covid-19 pandemic caused a sharp decline in 2020, leading to a 74 per cent drop in FTAs. Despite this setback, the sector has rebounded strongly, with FTAs reaching 504,000 in 2023, growing at an impressive CAGR of 40 per cent.
Bangladesh has been the leading source of medical tourists, with 327,000 patients visiting India in 2022, according to the report.
Other key countries include Iraq and Yemen, with significant contributions also coming from the Middle East and Africa.
The rise of India’s medical tourism industry can be attributed to several factors. One of the biggest advantages is cost-effective treatment.
Medical procedures in India cost significantly less compared to countries like the United States and the United Kingdom.
For example, a heart bypass surgery in India costs around $5,000, compared to $144,000 in the US, while a knee replacement procedure costs approximately $6,000 in India, compared to $50,000 in the UK, the report added.
Another key attraction for medical tourists is India’s traditional and alternative healing therapies, such as Ayurveda and Yoga, which complement modern medical treatments.
The availability of state-of-the-art healthcare infrastructure further enhances its appeal, the report concluded.
(IANS)
