The Indian healthcare sector is on an upswing and is sized at USD 408.3 billion in FY 23, as per the analysis by The India Watch. Out of this hospital, diagnostic, and healthcare centers comprise USD 327 billion. Other key categories include pharma, medical device manufacturing, e-healthcare, etc.
To further steer the healthcare sector in India, the government has come up with lucrative policies. Tax holidays and income tax waivers are provided, especially in indigenously built healthcare technologies. Pharma parks, health cities, and industrial parks are developed to offer support to indigenous capability building. 100% FDI under automatic routes have been allowed in hospitals, healthcare, medical device manufacturing, and pharma greenfield. 74% FDI under automatic (and thereafter under approved route) has been allowed for the pharma brownfield projects.
Out of the various prominent markets in India, Noida- the industrial suburb of Delhi, is amongst the fastest-growing healthcare markets in India. Proximity to Delhi, growing job market, well-developed residential communities, and a host of other factors make Noida, a prominent healthcare sector.
Although there are numerous popular hospitals, healthcare centers, specialty & multispecialty hospitals, pathologies, etc; on the backdrop of soaring demand, there is a headspace for further growth in the market. As Jewar or the Noida International Airport will commence operations in Dec 2024, new urban corridors will pick up in the vicinity which will also push the demand for healthcare services in Noida. Already there are numerous projects in pipeline and more will join soon.
Mentioned below are the factors that will drive demand in Noida’s healthcare sector.
Healthcare Demand is Rising Due to Growing Population & Per Capita Income-Noida’s population and average per capita income is growing steadily. Its population is close to 0.8 million and is growing at a CAGR of 2.5%. The per capita income of Noida is INR 671,000, which also makes it one of the most prosperous regions in the state of Uttar Pradesh. With the growing population and per capita income, people from middle, and upper-middle income backgrounds look for quality spaces that offer top-notch healthcare facilities. The increased sources of income for every individual have resulted in an uplifted lifestyle. And health is one of the major factors that nobody likes to compromise with. Thus, when the demand for quality healthcare centres increases, it is mostly because people understand the importance of the same.
The General Public in Noida is Becoming Aware of Healthcare- The previous point was enough to tell you about the increasing population in the Noida region. And in this process, the general public has become quite aware of the importance of health. The emerging need for good physicians, a great healthcare facility, better pathology labs etc., are all the concerns the individuals need to meet. Healthcare services need not be far from residential areas. That is why opening such a centre near a residential area can fetch you a lot of regular clients. Moreover, there is a general shift towards preventive healthcare, which will further drive the growth of pathology and diagnostic businesses.
Numerous IT Companies, Leading Universities, and Colleges in Noida Result in Demand for Healthcare- Knowing that Noida is a one-stop destination for people looking to make a career in IT and for students seeking to study in top universities like Subharti, Gautam Buddha, Times University, Lovely professional university, CCSU, Amity etc., the requirement of smooth healthcare facilities has emerged. From working professionals to college students, crises can come to anyone that needs emergency service. And with the rise in both IT firms and new Universities/Colleges, it has become quite vital to have medical facilities available just a call away.
Noida has Been a Manufacturing Hub from the Beginning- Even before the new-age development took place in Noida, manufacturing companies have always been there. And with increasing demand and supply, more such companies are coming into the town. We all know that manufacturing firms use bulky machinery for manufacturing, assembling, packaging, etc. Where every employee of these firms is provided with safety gear and training to avoid any accident, but accidents can still occur. And to cure such instances, an emergency service is all we need. A healthcare centre in the nearest vicinity of such manufacturing firms is required to handle the situation quickly and neglect a major disaster.
Caters to Demand from Nearby regions: Noida is conveniently linked to nearby towns in western UP, Haryana, and Delhi, which makes it well-placed to manage demand emanating from these markets. Through the Noida-Greater Noida expressway, it is linked to Delhi. Through KGP expressway, it is linked to cities in Haryana. Via the Yamuna expressway one can reach Agra from Noida in just 150 mins. This places it conveniently to the western UP. In the future, the Yamuna expressway will be further extended to connect Kanpur and Lucknow. Connectivity to nearby towns will enable Noida’s healthcare businesses to expand its reach.
New Developments like Jewar Airport is Making Healthcare a High Priority Sector- With new development taking place in Noida, the welfare of people residing nearby should be kept in mind. The most famous Jewar International Airport is another one of the most crucial projects that are being constructed in the Noida region. With the emergence of new development taking place, increment in healthcare centres needs to be there no matter what. And with the airport being built, big hoteliers will be seeking to put up another chain of hotels in the region undoubtedly. In short, being away from the local residential area, the need to have a healthcare facility becomes quite crucial. Meanwhile, as the international airport will start operating in Noida, the city can cater to medical tourists. We have seen how proximity to the airport has helped Gurgaon become a thriving ground for medical tourism and Noida can chronicle a similar growth pattern.
All these factors make a healthcare centre/clinic/hospital. Diagnostic crucial in the Noida region.
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