MEDICAL TOURISM A GROWING AND POTENTIAL SEGMENT IN INDIAN SCENARIO

Journal of Management (JOM) Volume 3, Issue 1, January June (2016), pp. 19 26, Article ID: JOM_03_01_003 Available online at http://www.iaeme.com/jom/issues.asp?jtype=jom&vtype=3&itype=1 Journal Impact Factor (2016): 2.4352 (Calculated by GISI) www.jifactor.com ISSN Print: 2347-3940 and ISSN Online: 2347-3959 IAEME Publication MEDICAL TOURISM A GROWING AND POTENTIAL SEGMENT IN INDIAN SCENARIO Wendrila Biswas Assistant Professor, School of Management & Social Science, Haldia Institute of Technology, West Bengal (Affiliated to West Bengal University of Technology) ABSTRACT The global growth of patients as well as technology along with medical professional, investments have led to the steady augmentation of a complete new system of healthcare services. It was a usual practice that people used to travel across for recovery of their health. But crossing the borders of one s own country for health care was not a common practice. Thanks to the communication technology. People can now think of going to an alien destination for recouping health. Thus patients in pursuit of medical treatment, better care, started wanting more services which would heal their body and soul. People wanted a complete wellness programme for their health which gained a lot of momentum. With this emerged the concept of medical tourism which has grown into leaps and bounds in India and is swaying across the country making significant contribution to Indian economy. Medical tourism business holds a large potential across the globe and India has always been a preferred place for medical tourists not only because of its cost advantages but also because of state of the art treatment facilities. Medical tourism is an idea with which greatly lucrative potential is attached. According to Government of India, health care industry in India would grow 13 per cent per year which is and which can be boosted further by medical tourism which itself is growing 30 per cent annually. Realizing this, major corporate houses like Tata, Fortis, Wockhardt, and Piramal are entering into this venture with significant investments. Many are also organizing specially designed packages for patients including boarding, lodging and even visa assistance. The paper attempts to delve into the prospects, predicaments of medical tourism in India and how different medical tourism agencies as well as corporate are finding it flourishing and modest. Key words: Medical Tourism, corporate, recouping, momentum http://www.iaeme.com/jom/index.asp 19 editor@iaeme.com

Wendrila Biswas Cite this Article: Wendrila Biswas, Medical Tourism A Growing and Potential Segment in Indian Scenario. Journal of Management, 3(1), 2016, pp. 19 26. http://www.iaeme.com/jom/issues.asp?jtype=jom&vtype=3&itype=1 1. INTRODUCTION Healthcare has become one of India's largest sectors - both in terms of revenue and employment. The industry comprises hospitals, medical devices, clinical trials, outsourcing, telemedicine, medical tourism, health insurance and medical equipment. The Indian healthcare industry is growing at a tremendous pace due to its strengthening coverage, services and increasing expenditure by public as well private players. The Indian healthcare industry is projected to continue its rapid expansion, with an estimated market value of US$ 280 billion by 2020. Medical tourism, which is also called as health tourism or wellness tourism, is a term that has risen from rapid growth of an industry where people from all around the world are travelling to other countries to obtain medical, dental and surgical care while at the same time touring, vacationing and fully experiencing the attractions of the countries that they are visiting (George & Swamy). The combination of surgery and tourism seems to be a promising relatively new type of non exclusive niche tourism (Danell & Mugomba, 2007). According to Porter (2004), emerging industries or niche markets are created by technological information, shifts in relative cost relationships, emergence of new consumer needs or other economical and sociological changes that elevate a new product or service to the level of a potentially viable business opportunity. Therefore medical tourism is one such industry which had its evolution with rapid technological growth, fast and smart communication system and more efficient global transport. 2. MEDICAL TOURISM MARKET The Government of India, State Tourism Boards, travel agents, tour operators, hotel companies and private sector hospitals are exploring the medical tourism industry for tremendous opportunities. They are seeking to capitalize on the opportunities by combining the country s popular leisure tourism with medical tourism. Corporate hospitals such as Global Hospitals, CARE and Dr. L.V. Prasad Eye Hospitals in Hyderabad, The Hindujas and N M Excellence in Mumbai also have built capabilities and are handling a steadily increasing flow of foreign patients. The medical tourism market has flourished to such an extent that the Indian government predicts that India s healthcare industry would grow to 13% in each of the next six years which is uplifted by medical tourism which is growing 30% annually. According to a report (www.health-tourism-india) Apollo group alone has treated so far 95000 international patients. Apollo is one of India s best ever healthcare zones which the patients rely on. 3. MEDICAL TOURISM DRIVERS The distinction between hospitals and hospitality establishments are gradually becoming narrower. Medical tourism is equally about tourism as it is about providing medical treatment (George, 2012). People all over the world are becoming more and more conscious and aware of health and well being. The medical tourism sector in India has attracted global attention and has shown phenomenal growth in the past decade. India is second only to Thailand in the number of medical tourists that it attracts every year. There are number of factors which contribute to the growth of http://www.iaeme.com/jom/index.asp 20 editor@iaeme.com

Medical Tourism A Growing and Potential Segment in Indian Scenario medical tourism in India, first of which includes relative proficiency in English among health care providers. Another driving factor behind this trend is the rising cost of insurance and surgery, inadequate medical facilities in developing countries, long waiting list in developed countries etc. According to Confederation of Indian Industries (CII), India offers holistic medicinal services. It provides a basket of clinical services together with yoga, meditation, ayurveda, allopathy and other systems of medicines. Moreover they said that clinical services in India are at par with the world s best healthcare providers having internationally qualified and experienced specialists. The healthcare sector in India has seen enormous growth in infrastructure in private sector. Cost of treatment in India is comparatively less that developed countries. Thereby the slogan, First world treatment at third world prices is very true for India. India charges less than 20% of the average costs incurred in the USA. In Thailand, Singapore and South Africa it will be around 30% of US (Nagraj, 2009). Several airlines advertise medical tourism locations in the flight magazines and highlight location specific procedures and tourist attractions (Connel, 2006). Such advertisements reach the average travelers and business people who may not be travelling for medical purposes but may choose to avail non invasive or less invasive procedures during their journey (Rutherford, 2009). Support of logistics also plays a key role in drawing patients to India. There are many private information agencies here which are doing wonderful job in helping out medical tourists. Many agencies are also designing customized travel and treatment packages to suit the need of those tourists. India, today with its exotic destination among global tourists together with its healing effect makes itself one of the largest medical tourism hubs of the world. Sl. No. Parameter Definition Metrics 1. Amenable legal framework A legal framework refers to the policies that the host country has in place in order to encourage medical tourism, a less restrictive policy is better for international patients seeking medical care 2. Cost effectiveness This is one of the primary drivers behind people crossing borders for medical care. Health care providers need to develop innovative solutions in order to sustain lower cost models 3. Quality of healthcare A major factor behind patients repeatedly visiting a particular country for its services, especially in areas that require advanced medical care and life saving surgeries 4. Hospitality Hospitality includes accommodation options, languages similarity, cultural adaptability and logistics. Other basic infrastructure such as road connectivity and airport can also enhance the medical tourist experience 5. Healthcare infrastructure Infrastructure would include medical infrastructure in terms hospitals, no. of doctors, modern treatment options etc. Ease in facilitation of visas Lucidity in the regulatory process Stakeholder feedback Cost per surgery Stakeholder feedback Availability of skilled doctors/ specialists Availability of nurses Accreditation Stakeholder feedback Logistic support Accommodation Cultural adaptability Number of international airports No. of hospitals No. of doctors Modern http://www.iaeme.com/jom/index.asp 21 editor@iaeme.com

Wendrila Biswas 6. Beyond allopathy Availability of alternative treatment options such as ayurveda, yoga and unani 7. Govt. initiatives The govt. needs to take appropriate measures in order to promote medical tourism at international platforms and support the industry through investments and liaisons with other countries. It includes online campaigns and other promotion initiatives for the medical tourism industry 8. Macroeconomic factors Factors that impact medical travel such as political stability, terrorism, pollution, sanitation standards, quality of drinking water etc. No. of alternative treatment centre Stakeholder feedback No. of campaigns / promotion done by govt. Stakeholder feedback Global benchmarking indicators Source: Key parameters necessary to enable and promote medical value travel in India. KPMG in India Analysis 2014, Medical Value Travel in India, FICCI Heal Conference. Procedure Charges in India & US (US $) Procedure Cost (US$) United States India Bone Marrow Transplant 2,50,000 69,000 Liver Transplant 3,00,000 69,000 Heart Surgery 30,000 8,000 Orthopedic Surgery 20,000 6,000 Cataract Surgery 2,000 1,250 Here's a brief comparison of the cost of few of the Dental treatment procedures between USA and India Dental Procedure Cost in USA ($) Cost in India ($) General Dentist Top End Dentist Top End Dentist Smile designing - 8,000 1,000 Metal Free Bridge - 5,500 500 Dental Implants - 3,500 800 Porcelain Metal Bridge 1,800 3,000 300 Porcelain Metal Crown 600 1,000 80 Tooth impactions 500 2,000 100 Root canal Treatment 600 1,000 100 Tooth whitening 350 800 110 Tooth colored composite fillings 200 500 25 Tooth cleaning 100 300 75 http://www.iaeme.com/jom/index.asp 22 editor@iaeme.com

Medical Tourism A Growing and Potential Segment in Indian Scenario Source: http://www.health-tourism-india.com/facts-and-figures.html India offers a wide range of medical services. Apart from imparting modern medical facilities and services, people across are coming to India to get healed by India s ancient tradition of ayurveda and its low cost medical tourism facilities. Some forms of medical tourism offered in India are yoga, meditation, ayurveda, allopathy, naturopathy, Unani. The department of Ayurveda, Yoga and Naturopathy, Unani, Sidhha and Homeopathy (AYUSH) in India is working with whole hearted dedication and commitment for the development and research in ayurveda systems in India. Ayurveda has been successful in treating various types of chronic diseases like asthma, diabetes, chronic hypertensions, de-addictions, joint care etc. Ayurveda is known to have significant therapeutic values. (Medical Value Travel in India, FICCI Heal Conference, KPMG Report). Moreover people are realizing the inherent strength such treatments are eager to experience the natural ailments for their physical problems. 4. MAJOR PLAYERS IN THE MARKET The major players in Indian Medical Tourism are the Apollo Hospitals, Arvind Eye Hospitals, Escorts Hospitals, Wockhardt hospitals, Manipal hospitals, Mallya Hospitals, Shankara Netralaya etc. AIIMs, a public sector hospital is also in the fray. In terms of location Delhi, Chennai, Bangalore and Mumbai cater to the maximum number of health tourists and are fast emerging as Medi-tourism hub. 5. MEDICAL TOURISM COMPANIES IN INDIA Several medical tourism companies in India have helped develop the flourishing of medical value in India. The following companies are trying to uplift their medical value travel in India and thereby trying to provide the best of service with an aim to create a global wellness. 5.1. Trans Earth Medical Tourism Trans Earth brings to its patients a state of the art medical facility. It has crossed 23 golden years from being a medical care provider to an international medical tourism company today. They not only provide excellent treatment with usage of latest technologies but try to heal the patient with an exclusive package of medication, indulgence and travel. It even provides medical treatments at prices 60-80% less than USA and UK. 5.2. Forerunners Healthcare It is the first government registered medical tourism company in India providing vast range of medical and health care services at lower costs. It provides a pool of services like arranging the treatments at medical centers that offer quality and personal treatments, helps in arranging flexible and tailor made medical packages, arranging recuperation holidays, coordinating treatments of patients, correspondence on patient s behalf, transfer to airport and departure. 5.3. Kaizen Kaizen help identifying the right doctor and a right hospital for a particular kind of treatment. It provides a couple of treatment facilities from cochlear implant cancer treatment, IVF treatment, robotic surgery etc. Their partner hospitals are Apollo group of hospitals, Fortis group of hospitals, Medanta Medicity, Artemis Hospital, KIMS. http://www.iaeme.com/jom/index.asp 23 editor@iaeme.com

Wendrila Biswas They also help in pre-arrival services for the patients to make sure that all the necessary formalities for treatment are completed and treatment roadmap is ready. The most important part which they do is a perfect planning which had smoothened the treatment and healing process for a number of patients coming across. 5.4. Indi cure Heath Tour It provides a great value to medical tourists. It provides medical vacations in India which is not only surgical but also relaxing and comfortable in nature. They promise to provide their clients a quality and safe treatment and journey providing unmatched expertise across healthcare, hospitality and travel services through cost effectiveness. They try to understand their clients well and adopt a holistic approach to provide the best solution that suit the patient s condition. 5.5. Indian Medical Holiday Indian Medical Holiday is a medical travel organization in India that provides excellent healthcare programmes and services along with medical memorable holidays in India. It is primarily noted for its personal care. It provides medical consultation from top notch consultants in India, provides free translation services. It provides Cardiology treatment India VIP transfers (airport-hotel-hospital/clinic) Neurology treatment with transport and accommodation assistance Spiral services India, a post operative consultation overseas to name a few. 6. GOVERNMENT INITIATIVES India is envisioned as a medical tourism hub by our Government. Various medical tourism accreditation bodies like International Society for Quality in Healthcare (ISQAH), Joint Commission International (JCI) approved various hospitals to this effect. Several policies were initiated to enable the journey of the medical tourists by introducing a separate category of medical visa: M-Visa. This visa can be extended for additional 12 months beyond the 1 year issue period. A no-hindrance-clearance has been provided for medical tourists at the airport. A separate medical escort visa (MX) for accompanying relatives has also been introduced. India has proved to be a wellness destination for global travelers. Realizing this capability, Ministry of Tourism, Govt. of India is formulating guidelines and policies to promote wellness tourism of India. India is participating in several wellness programmes thereby promoting its wellness programs. The Ministry of Tourism will also give financial assistance to wellness centers accredited National Board for Accreditation of Hospitals and Healthcare Services. The Government of Kerala has always tried to promote ayurveda under the banner of healthcare tourism and has classified Ayurveda centers into two categories Green leaf and Olive leaf a sort of grading the ayurveda centers. Kerala Tourism Development Corporation (KTDC) has also tied up with reputed centers of Ayurveda for delivering genuine and treatments to their international tourists. Dedicated Exhibition Space for Medical Tourism in ITB, Berlin- In order to promote the positioning of India as a Medical destination and increase the presence of the medical fraternity in the international travel exhibitions, a dedicated space of 4 sq. m. was provided to the medical fraternity within the India Pavilion at ITB, Berlin. Govt. http://www.iaeme.com/jom/index.asp 24 editor@iaeme.com

Medical Tourism A Growing and Potential Segment in Indian Scenario of India has also taken part in a couple of medical tourism faire and events across the globe in the past few years to promote Medical Tourism in India like Arab Health, Namaskar Africa, European Medical Travel Conference, Medi Tour Expo etc. (http://incredibleindia.org/index.php/trade-product/products/medicaltourism/about-the-product) 7. CONCLUSION Medical Tourism in India has grown exponentially today. A series of advantages has made India a premium centre for medical tourism. Moreover, Government of India, Ministry Tourism has already set up a section called Marketing Development Assistance (MDA) and Medical Visa (M-Visa) for promoting patient arrival for Medical Tourism. Therefore India stands in an advantageous position and is playing a crucial role in development, enhancement and enrichment of medical tourism. In spite of this position, there is still an urgent and essential need to develop and improve the supporting infrastructure to facilitate medical tourism in India. India should reframe and redesign its medical tourism strategies that would proclaim a wide invitation for people across to receive quality medical treatment and assistance at low cost. Also there is an utter need to attain standardization to reassure its quality treatment and making all possible efforts to focus the needs of the target group. Today there has been rapid growth of private healthcare providers and the health ministry also welcomes the private player s active participation. Thus together, medical tourism infrastructure slowly and steadily upgraded the healthcare infrastructure facility and expanded its periphery. Thus a sincere commitment is required to put forward these well coordinated efforts and focus on its competencies which are imperative for sustainable growth of medical tourism. REFERENCES [1] Connel John (2006), Medical Tourism: Sea, sun, sand and surgery, Tourism Management, 27 (6) [2] George Babu P. and Swamy, G.A. (2012), Medical Tourism: an analysis with special reference to India, Journal of Hospitality Applications and Research [3] Nagraj Nirmala M (2009), India images 2 nd in medical tourism race. Times of India, March, 27 [4] Rutherford Ann Sommer (2009), India Health: Impact of medical tourism facilities on state health and economy, M.A. Thesis, Iowa State University [5] Bhattacharyya, M (2013), Healthcare beyond border: The state of medical tourism in India, The Management Accountant Journal, Vol. 48 (9), pp- 1049-1053 [6] Benur, S. (2014), Medical Tourism: Can it be a new supernova of Indian economy, Asian Journal of Management Science, Vol. 2 (5), pg- 10-17 [7] Medical Value Travel in India, FICCI Heal Conference, KPMG Report [8] Mishra, R. & Shailesh, K (2012), Making Indian Healthcare market a global medical tourism destination, IOSR Journal of Business Management, Vol. 2 (4), pp-23-28 [9] Danell, S.C. & Mugomba, C. (2007), Medical Tourism and its entrepreneurial opportunities a conceptual framework for entry into industry, Tourism and Hospitality Management, Master thesis No. 2006:91, School of Business, Economics & Law, Goteborg University [10] http://www.ncbi.nlm.nih.gov/pubmed/21114076 http://www.iaeme.com/jom/index.asp 25 editor@iaeme.com

Wendrila Biswas [11] http://connection.ebscohost.com/c/articles/94255803/key-operationaldrivers-medical-tourism-industry. [12] Dr. Satpal Singh and Dr. Sahil, Study on Medical Tourism Global Competition in Healthcare and a Study on Satisfaction Level among Foreign Patient s. International Journal of Marketing & Human Resource Management (IJMHRM), 5(1), 2014, pp. 09 21. [13] Shraddha Chowdhary, Health Is Wealth : Medical Tourism Industry in India - The New Revenue Generator. International Journal of Management (IJM), 4(4), 2013, pp. 141 148. [14] http://www.pharmatutor.org/articles/review-on-medical-tourism- newthrust-area-of-torism- inindia?page=0,1&quicktabs_latest_article_tabs=1accessedon09.5.2016 [15] http://www.health-tourism-india.com/facts-and-figures.html accessed on 10-5-2016 [16] http://www.transearthmedicaltourism.com/about-us [17] http://kaizenworld.in/ [18] https://www.indicure.com/ [19] http://www.indianmedicalholiday.com/ http://www.iaeme.com/jom/index.asp 26 editor@iaeme.com