India is Approaching a Healthtech Boom, says Techbooze Founder and CEO, Subhashis Kar
New Delhi (India), September 18: The healthtech sector in India is experiencing rapid expansion. According to Invest India, the telemedicine market represents the most promising segment within the eHealth domain and is expected to reach a valuation of $5.4 billion by 2025. With an impressive compound annual growth rate (CAGR) of 31%, the healthcare industry has established itself as one of India’s leading sectors, contributing significantly to both revenue generation and employment opportunities. Several compelling factors underlie the growth of the Indian healthcare sector, which include the country’s ageing population, the expanding middle class, a rising prevalence of lifestyle-related diseases, an increasing emphasis on public-private partnerships, and the rapid integration of digital technologies such as telemedicine.
In the 2023-24 Union Budget, the Ministry of Health and Family Welfare (MoHFW) received Rs. 89,155 crore ($10.76 billion), and the Indian government plans to launch a Rs. 500 billion ($6.8 billion) credit program to strengthen healthcare infrastructure. The government is also implementing reforms and policies to attract foreign investment, including Production-Linked Incentive (PLI) schemes under the Aatmanirbhar Bharat Abhiyaan packages, aimed at boosting domestic pharmaceutical and medical device manufacturing.
Investment Opportunities in the Healthtech Sector
The market size for telemedicine in India was approximately USD 830 million in 2019. And current market size of the Indian Medtech industry is estimated to be $11 bn with a CAGR of 15% over the last 3 years with the potential to reach $50 bn by 2030. This growth in Healthtech is creating better investment opportunities in various aspects.
Telemedicine and eHealth: The scarcity of doctors in semi-urban, rural, and remote regions has limited healthcare access for many. Telemedicine and e-health, driven by widespread smartphone usage and enhanced mobile connectivity in India, offer viable solutions. Investors have the opportunity to support platforms and startups offering quick telemedicine consultations, which can save lives and prevent substantial future expenses.
AI and Mobile Technologies: “In India, the convergence of Artificial Intelligence, wearable devices, mobile technology, and the Internet of Things is enabling the provision of high-quality healthcare at an affordable cost. Startups harnessing digital health technologies, fueled by remote monitoring and virtual healthcare delivered through smartphones and AI, occupy a prominent position in the investment landscape. This burgeoning sector offers a compelling investment prospect, positioning itself to potentially become the next major industry in India,” says Subhashis Kar.
Scope of Increasing Machine Intelligence: In the future of medicine, human biology will likely undergo a transformation into data and patterns. Machine intelligence is poised to play a growing role in assisting doctors, particularly in regions of India grappling with a scarcity of medical professionals. A productive collaboration between NATHEALTH and a State Government has already yielded positive outcomes, reaching 5.2 million individuals within two years through the application of technology across 182 Electronic Urban Primary Healthcare centres. This successful approach can be duplicated in other rural areas, presenting investment prospects for the private sector and expanding into semi-urban and rural zones with central monitoring hubs for E-lCUs.
According to Subhashis Kar, CEO and Founder of Techbooze Consultancy Services, “Healthtech holds the key to the future of India’s healthcare infrastructure. The surge in Healthtech startups following the COVID-19 pandemic has unlocked substantial investment prospects, leading to enhancements in healthcare access, particularly in rural and underserved regions. Investing in India’s Healthtech sector presents an attractive opportunity, supported by government initiatives that empower private players to propel the healthcare sector forward.”
Healthtech startups providing healthcare solutions
India boasts approximately 3,225 health-tech startups with a primary mission to enhance healthcare accessibility. These startups operate in various segments such as remote healthcare, diagnostics, and biotech and utilise digital technology solutions, AI, robotics, and blockchain integration. Examples include surgical robots, sensors, remote diagnostics, electronic health records, and monitoring systems, especially targeting underserved rural areas. This surge in health-tech innovation has resulted in a notable 45.06% increase in healthcare sector investments.
In the coming years, the Indian healthcare infrastructure, encompassing health technology (healthtech), is positioned for substantial growth driven by the advent of digital transformations and the availability of attractive investment opportunities. This anticipated growth is expected to facilitate more robust startup development within the healthtech sector, leading to advancements in India’s healthcare infrastructure and making a positive contribution to the country’s economic standing in the global market.
Disclaimer : The above is a sponsored article and the views expressed are those of the sponsor/author and do not represent the stand and views of The Tribune editorial in any manner.
