BioSpectrum India Magazine November issue BioSpectrum India Magazine - Page 32

32 COVERStory BioSpectrum | November 2017 | www.biospectrumindia.com Diagnostic industry looks for ‘Make in India’ dosage « Viral Gandhi Chairman, Voxtur Bio Ltd. O ver the last few years, the Indian healthcare industry has grown exponentially on account of many reasons, including the increasing awareness about the need for quality healthcare, better disposable income at hands and widened coverage. One of the direct beneficiaries of this growth has undoubtedly been the medical diagnostic industry. The higher awareness on the one hand coupled with increased spending and the growing disease burden on the other hand have spurred this medical technology sector in general and the diagnostic industry in particular. We see better diagnostic infrastructure, increasing corporate presence, expansion of pathology labs into smaller towns and rural areas, development of clinical market and above all growing penchant among the population for preventive healthcare, which all together augur well for the industry ahead. But, it is still far below its potential. India accounts for just one percent of the global diagnostic industry. Studies show that the domestic diagnostic industry is expected to grow at CAGR of 20 percent to $32 billion by 2022. The medical diagnostic industry is divided into in-vitro diagnostics (IVD) and in-vivo diagnostics. Of these, the global IVD market was estimated to be $60.3 billion in 2015 and is poised to grow at a 5 year CAGR of 6.1% to $81 billion by 2020. But estimates project a 15-20% growth for Indian IVD market that will touch $ 1.5 – $ 1.7 billion market by 2020. More importantly we will see this growth The “Make in India” initiative can prove a game changer in the manner in bringing a large chunk of the population across diverse economic segments in the institutional healthcare framework. happening across the board, whether it is biochemistry, immunoassays, hematology, reagents, molecular diagnostics, and microbiology or tissue diagnostics. The Indian diagnostic industry comprises of over 1, 00,000 laboratories at present, other than the vast number of hospitals. Out of these, 70 per cent labs cater to pathology services and around 30 per cent cater to radiology and imaging requirements. The market for diagnostics highly competitive and the increasing competition continuously pushes the laboratories to improve quality and provide rapid results which are key to treatment. The laboratories are trying to distinguish themselves by using better reagents and instrumentation. But, the market is heavily dominated by the multinationals who control over 60%, though in the recent