ECONOMICS OF INDIAN ECONOMICS OF INDIAN

MEDICAL TOURISM MEDICAL TOURISM

Maj Gen (Dr) M Srivastava,VSM** Maj Gen (Dr) M Srivastava,VSM** ( (Retd Retd) )
Director ICRI HeaIth Director ICRI HeaIth
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'A multibillion dollar industry"
"India a International medical tourisms hub"
"One of the hottest sectors in ndia (Public Health Foundation of ndia)
Joint Replacement Surgery
Dental Surgery
0ath Tourism is to provid0 World Class 0alth tr0atm0nt at comp0titiv0 affordabl0 pric0s".

oncept of Medical Value Tourism
s it a new concept ? - No
Dates back > thousands of years.
Greek pilgrims travelled in Saronic Gulf
called Epidauria, sanctuary of the healing
god AscIepius
es. Marketing of Medical Value Tourism is
relatively new concept.

Economics of tourism Economics of tourism
Tourism third largest net earner of foreign Tourism third largest net earner of foreign
exchange exchange
ndia's share in nternational Tourist arrival ndia's share in nternational Tourist arrival
2002 2002 - - 0. percent 0. percent
2005 2005 - - 0. percent 0. percent total .2 million total .2 million
The World Travel Tourism ouncil The World Travel Tourism ouncil - - "ndia as "ndia as
one of the foremost growth centre in the world in one of the foremost growth centre in the world in
coming yrs. coming yrs.

Travel & Tourism sector creates more jobs per
million rupees of investment plan, than any other
sector of the economy.
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an we have similar Map for Medical
Tourism for ndia ?

ndia has world class corporate hospitals and ndia has world class corporate hospitals and
excellent treatment excellent treatment entres entres in the world. in the world.
Hospital infrastructure & technology on par with Hospital infrastructure & technology on par with
USA, UK & other European countries USA, UK & other European countries
No waiting period No waiting period
Success rate Success rate ndia ndia -- -- .7% .7%
-- -- US US 7.5% 7.5%
mmediate attention / treatment / surgery mmediate attention / treatment / surgery
Best Nursing are with compassion Best Nursing are with compassion
Language no barrier Language no barrier English speaking staff English speaking staff
Low cost (1/10
th
), high quaIity, affordabIe best
heaIthcare
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Apollo Hospital Hyderabad
Max Hospital Delhi
Fortis Hospital, Delhi
1aslok Hospital, Mumbai
Breach Candy Hospital
Wokhardt Hospital
Bangalore
Growth of InternationaI Standard HospitaIs
Macro Economics Macro Economics
of of
Medical Tourism Medical Tourism


onfederation of ndian ndustry ( ) sponsored Mc onfederation of ndian ndustry ( ) sponsored Mc
Kinsey & o. study. Kinsey & o. study. "Healthcare in ndia : The Road "Healthcare in ndia : The Road
Ahead report: Ahead report:- -
1. million medical tourists visit Asia / year 1. million medical tourists visit Asia / year
Nos. of US patients seeking cheaper care Nos. of US patients seeking cheaper care
abroad abroad - - grew to 7,10,000 / year grew to 7,10,000 / year
Over 1, 50000 medical tourists travelled to ndia in Over 1, 50000 medical tourists travelled to ndia in
2002 bringing in earnings of $ 00 million. 2002 bringing in earnings of $ 00 million.
200 200- -07 > ,00000 07 > ,00000
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The size of ndian Medical Tourism sector estimated in The size of ndian Medical Tourism sector estimated in
2002 to be min 1,00000 to 1,50,000 foreign patients per 2002 to be min 1,00000 to 1,50,000 foreign patients per
year (Medical Tourists) . year (Medical Tourists) .
The annual growth rate of Medical Tourism in ndia The annual growth rate of Medical Tourism in ndia
2000 2000 15% per year 15% per year
2007 2007 0% per year 0% per year
Kerala Kerala - - > 000 patients annually. > 000 patients annually.
ardiac, Ortho & ardiac, Ortho & Ayurveda Ayurveda treatment treatment
- - KMS (2007) KMS (2007) 0,000 medical tourism patients 0,000 medical tourism patients
Hospital 'A' in Bangalore Hospital 'A' in Bangalore - - reported 00 medical tourists reported 00 medical tourists
per year. per year.
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" "ndia's Tourist ndustry could yield from $ 1.2 ndia's Tourist ndustry could yield from $ 1.2
billion presently to $ 2.2 billion annually by 2012 . billion presently to $ 2.2 billion annually by 2012 .
The growth rate of Medical Tourism ndustry @ The growth rate of Medical Tourism ndustry @
12% in 2002 will go to @ 0% annually by 2012 . 12% in 2002 will go to @ 0% annually by 2012 .
Up market private care in ndia to be worth from Up market private care in ndia to be worth from
Rs.15000 Rs.15000 crores crores to Rs. 0,000 to Rs. 0,000 crores crores by 2012 by 2012
Medical Tourism revenue can potentially rise Medical Tourism revenue can potentially rise
from Rs. 5000 from Rs. 5000 crores crores to Rs.10,000 to Rs.10,000 crores crores per per
year. year.
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$ 17 billion ndian Healthcare ndustry contributes $ 17 billion ndian Healthcare ndustry contributes
about % about % - -5% of GDP. t is expected to grow @ 1% 5% of GDP. t is expected to grow @ 1%
annually in next 5 yrs. annually in next 5 yrs.
Health care spending in ndia will increase from Rs. Health care spending in ndia will increase from Rs.
,000 ,000 crores crores in 2000 in 2000- -2001 to over Rs. 200,000 2001 to over Rs. 200,000
crores crores by 2012. by 2012.
Private Health care share will form the largest of this Private Health care share will form the largest of this
@ Rs.15,000 @ Rs.15,000 crores crores and growth will be driven by and growth will be driven by
rising life style diseases. rising life style diseases.
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Travel tourism Travel tourism
++
pleasure pleasure, physical & , physical & mental relaxation mental relaxation
+ +
value addition of medical value addition of medical
treatment at lowest cost treatment at lowest cost
Medical Tourism Medical Tourism
Anatomy of MedicaI VaIue TraveI - (Eonomic
Potential)
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Advantage ndia Advantage ndia
Unique medical value services to foreign Unique medical value services to foreign
patients that supersedes the competition : patients that supersedes the competition :
oga
Meditation /Spiritualism Meditation /Spiritualism
Ayurveda Ayurveda healing healing
"ndia offers a unique basket of services to an "ndia offers a unique basket of services to an
individual that is difficult to match by other individual that is difficult to match by other
countries () countries ()
Less regulatory & legal problems Less regulatory & legal problems
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ndia has number of World Heritage Monuments & ndia has number of World Heritage Monuments &
Archeological sites attracting tourists /medical Archeological sites attracting tourists /medical
tourists tourists Requirement strategic marketing for Medical Requirement strategic marketing for Medical
Tourism Tourism
World heritage sites World heritage sites- - Taj Taj Mahal Mahal, Ajanta & , Ajanta & Ellora Ellora, ,
Khajuraho Khajuraho, , Bhimbetica Bhimbetica rock paintings rock paintings
Buddhist sites Buddhist sites Shravasti Shravasti, , Kushinagar Kushinagar
Ancient & religious places Ancient & religious places Varanasi, Udaipur, Varanasi, Udaipur,
ultural /Festival tourism ultural /Festival tourism Ladakh Ladakh festival, festival, Khajuraho Khajuraho
festival festival
Winter Sports best sites Winter Sports best sites - -Skiing Skiing Gulmarg Gulmarg, , Auli Auli
Economic risis, redit risis & Recession in Economic risis, redit risis & Recession in
USA USA - - Will it affect Medical Tourism market in Will it affect Medical Tourism market in
ndia ? ndia ?
No No
There are almost 50 million Americans There are almost 50 million Americans
with no health insurance with no health insurance
anada anada - - > 700000 patients waiting for > 700000 patients waiting for
procedures/surgery for > months procedures/surgery for > months- - 1yr 1yr
t can have a very positive impact on t can have a very positive impact on
tourism industry in ndia for hospital & tourism industry in ndia for hospital &
allied healthcare industry who position allied healthcare industry who position
themselves in the right direction . themselves in the right direction .
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Planning ommission Report Planning ommission Report - -
Govt will provide 'M' Visa to Medical Tourists
on priority.
Most patients visit from SAAR + US &UK Most patients visit from SAAR + US &UK
Lowest cost Lowest cost - -
4 4 Heart Bypass Surgery Heart Bypass Surgery - -
ndia ndia Thailand Thailand Singapore US / UK Singapore US / UK
$ 000 $ 000 $ 7 $ 2, $1,700 $ 7 $ 2, $1,700
4 4 Heart Valve Replacement Surgery Heart Valve Replacement Surgery
$ 000 $ 000 $ 10,000 $ 12500 US $ 20000 $ 10,000 $ 12500 US $ 20000
UK & 0,000 UK & 0,000
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Micro Economics Micro Economics - - omparative ost Analysis
Metal Free Dental Bridge Metal Free Dental Bridge
ndia ndia US US
$ 500 $ 500 $ 5500 $ 5500
Bone Marrow Transplant Bone Marrow Transplant
ndia ndia US US UK UK
$ 0,000 $ 250,000 $ 250,000- - $0,000 $ 150,000 $0,000 $ 150,000
osmetic Surgery osmetic Surgery
ndia Thailand ndia Thailand US Singapore US Singapore
$ 2000 $ 5,00 $ 10,000 $ 5,00 $ 10,000 - -
Spinal Fusion Spinal Fusion
$ 5500 $ 7000 $ 7000 $ 2,000 $ 2,000 $ 000 $ 000
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Need of the hour
NDA NEEDS PROATVE GLOBAL MEDAL
TOURSM MARKETNG STRATEGES
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Marketing strategies to maximize Marketing strategies to maximize
economic potential economic potential
Aggressive marketing & awareness programs Aggressive marketing & awareness programs
globally globally
Publish details of ndian orporate Hospitals with Publish details of ndian orporate Hospitals with
core competencies core competencies eg eg ardiac Surgery ardiac Surgery J R J R
Surgery, VF, osmetic Surgery, Dental Surgery Surgery, VF, osmetic Surgery, Dental Surgery
Advertise Advertise - - rates of all procedures in all rates of all procedures in all
nternational / nternational Magazines, journals, nternational / nternational Magazines, journals,
magazines & News Papers of the World magazines & News Papers of the World
Web sites Web sites List, details, Tele & E mail D of List, details, Tele & E mail D of
Hospitals & Executives dealing with medical Hospitals & Executives dealing with medical
tourism tourism
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Medical Tourism ompanies /Facilitator's Medical Tourism ompanies /Facilitator's
address, SDN, E mails address, SDN, E mails
Establishment of "ndian Medical Tourism Establishment of "ndian Medical Tourism
orporation : orporation :
- - nternational Branches nternational Branches
- - Liaison cell with all ndian & Foreign Liaison cell with all ndian & Foreign
Missions Missions
- - Brochures giving details & pictures of Brochures giving details & pictures of
- - ndian orporate Hospitals, specialties, ndian orporate Hospitals, specialties,
onsultant's detail, procedure rates , onsultant's detail, procedure rates ,
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Special attractive treatment, travel & Special attractive treatment, travel &
tourism packages at competitive rates tourism packages at competitive rates
Package medical tourism through Travel &
Tourism os.
Health nsurance for treatment in ndia
Regular hartered Medical Tourism
nternational nbound Flights with all
peripheral arrangements in-flight
medical care - ar/ ambulance transfer
- Hotel Hospital / Hotel Wellness
tourism-Return to home country follow up
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Word of mouth business Word of mouth business to change to to change to
media driven business media driven business - -on line directory for
medical tourism
Need for ndia nternational MT Media
Marketing international hospital cannot succeed
without nternet Branding MT must
Transparency & no intra hospital competition -
proper patient centered approach
Facilitator Promote hospital & partners on their
Web sites.
Regular updating of web site, content & rates
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Form orporate Hospitals Medical Tourism Form orporate Hospitals Medical Tourism
onsortium onsortium with front offices in UK, USA, anada, with front offices in UK, USA, anada,
Middle East, South East Asian countries Middle East, South East Asian countries - -
Medical Tourism Facility Managers Medical Tourism Facility Managers - - in Europe, in Europe,
Middle East, South East Asia Middle East, South East Asia - - for networking with for networking with
foreign hospitals & onsultants for patient foreign hospitals & onsultants for patient
reference reference on profit sharing per patient basis. on profit sharing per patient basis.
Form Medical Tourism Association (ndia Form Medical Tourism Association (ndia) )- - for for
laying down MT business ethics, rates, wellness laying down MT business ethics, rates, wellness
tourism policies, procedures etc. tourism policies, procedures etc.
Medical Tourism Regulatory Body /Ethics Medical Tourism Regulatory Body /Ethics
ommittee ommittee
Special nsurance Packages Special nsurance Packages
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ollect ollect Data base of Uninsured patients Data base of Uninsured patients USA, USA,
UK, anada & other countries UK, anada & other countries patient patient
segmentation segmentation
ollect Data base of patients waiting in anada, ollect Data base of patients waiting in anada,
UK, USA other European & third world countries UK, USA other European & third world countries
Motivate ndian/nternational nsurance os for Motivate ndian/nternational nsurance os for
providing low cost Procedure overs for overseas providing low cost Procedure overs for overseas
patients. patients.
Approach Approach Govt Govt Tax benefits for Medical Tourism Tax benefits for Medical Tourism
sector sector
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Training Needs Training Needs - -for exponential economic for exponential economic
growth & sustainable ndian Medical Tourism growth & sustainable ndian Medical Tourism
nstitutional Training nstitutional Training University courses University courses
Structured courses Structured courses tailor made syllabus tailor made syllabus
Training in Tourism Marketing Training in Tourism Marketing Tourism Dept, Tourism Dept,
Travelling industry, Hospitality & Hotel ndustry Travelling industry, Hospitality & Hotel ndustry
Training modules in soft skills Training modules in soft skills MT staff MT staff
Modular Short Training ourses for Specialists/ Modular Short Training ourses for Specialists/
Hospital Executives in ustomer are Hospital Executives in ustomer are
Management Management - - nternational Patients nternational Patients
Training of Spa/Wellness nstitution staff Training of Spa/Wellness nstitution staff
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AHMEDABAD BANGALORE DELHI HYDERABAD MUMBAI
MB A (Health are Management)
MBA (HM)
Two years full time PG regular course with option
to specialize in final year either in Hospital
Operations Management (HOM) or Medical
Tourism (MT)
Degree will be awarded by University recognised
by UG
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To India
UK, USA, Canada, MiddIe East, South East Asia MedicaI
Tourists
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Thank You