India's Medical Tourism Sector Set to Surge to $18 Billion by 2027: Study
Click to start listening
Synopsis
India's medical tourism sector is on the rise, projected to hit $18 billion by 2027, growing at a CAGR of 19%. The country is attracting international patients due to affordable healthcare and rich cultural experiences.
Key Takeaways
- India’s medical tourism market is projected to reach $18 billion by 2027.
- Cost-effective treatments attract international patients.
- Foreign Tourist Arrivals for medical purposes are increasing.
- Traditional therapies like Ayurveda enhance India's appeal.
- Strong recovery post-Covid-19 with impressive growth rates.
New Delhi, March 18 (NationPress) India’s medical tourism sector is poised for substantial growth, with estimates suggesting that the market will reach $18 billion by 2027, achieving a Compound Annual Growth Rate (CAGR) of 19 percent, according to a recent report released on Tuesday.
The nation has emerged as a preferred destination for international patients, providing world-class healthcare services at remarkably lower prices compared to Western countries.
In recent times, India has established itself as a global center for medical tourism, drawing patients not only for premier medical treatments but also for the chance to explore the country's rich cultural treasures.
As per Praxis Global Alliance, a well-known consulting firm, the sector has experienced rapid growth, with the market valued at $7 billion in 2022.
A significant factor driving this expansion is the increasing influx of Foreign Tourist Arrivals (FTAs) for medical reasons.
From 2015 to 2019, the number of medical tourists visiting India surged at a CAGR of 31 percent, increasing from 234,000 to 697,000.
However, the Covid-19 pandemic led to a dramatic decline in 2020, resulting in a 74 percent drop in FTAs. Despite this decline, the sector has rebounded robustly, with FTAs reaching 504,000 in 2023, growing at a remarkable CAGR of 40 percent.
Bangladesh remains the top source of medical tourists, with 327,000 patients traveling to India in 2022, according to the report.
Other notable countries include Iraq and Yemen, with substantial contributions also from the Middle East and Africa.
The growth of India’s medical tourism industry can be linked to several factors. One of the primary benefits is the cost-effective treatments.
Medical procedures in India are significantly cheaper than in countries like the United States and the United Kingdom.
For instance, a heart bypass surgery in India costs about $5,000, in contrast to $144,000 in the US, while a knee replacement procedure costs around $6,000 in India, compared to $50,000 in the UK, as mentioned in the report.
Another major draw for medical tourists is India’s traditional and alternative healing practices, such as Ayurveda and Yoga, which complement modern medical treatments.
The presence of cutting-edge healthcare infrastructure further enhances its attractiveness, the report concluded.
