Synopsis
The Asia-Pacific healthcare market is projected to reach $5 trillion by 2030, contributing 40% of global growth. Indian CDMOs are emerging as key players, leveraging innovative therapies and global competitiveness, as highlighted in a Boston Consulting Group report.Key Takeaways
- Asia-Pacific healthcare market expected to hit $5 trillion by 2030
- 40% of global healthcare growth will come from the region
- Indian CDMOs are expanding globally with new therapies
- Need for localized healthcare solutions in Asia
- Significant opportunities exist across all healthcare sub-sectors
New Delhi, Jan 27 (NationPress) The Asia-Pacific healthcare sector is projected to reach $5 trillion by 2030, contributing to 40 percent of global growth in the industry, as per a report released on Monday.
The report from Boston Consulting Group (BCG) highlights that this remarkable growth is driven by swift demographic changes, substantial investment influx, and innovative technological applications.
This expansion encompasses progress in new therapies and modalities pioneered by Indian contract development and manufacturing organizations (CDMOs).
“Innovation is becoming a pivotal factor propelling growth within Asia's healthcare sector. Indian CDMOs are expanding on a global scale, capitalizing on their cost advantages while also making initial advancements into sophisticated and innovative modalities such as ADCs and oligonucleotides, thereby boosting their competitiveness worldwide,” stated Smruthi Suryaprakash, Partner at BCG.
“Simultaneously, decades of investment in biotechnology across the region are beginning to yield results, with advancements in India and Singapore leading to localized breakthroughs in new therapies and modalities. These interconnected trends, as underscored in our report, highlight Asia's potential to spearhead both global and regional healthcare innovation,” Suryaprakash added.
The report further delves into the Asian healthcare market from various angles, identifying critical factors driving transformation.
It points out that Asia accounts for merely 22 percent of global healthcare expenditure, despite housing 60 percent of the world’s population.
With chronic illnesses like diabetes and cancer disproportionately impacting Asia, the report suggests developing tailored healthcare models to tackle the disease burden. Among the five most common cancers in Asia, liver and stomach cancers have a lower incidence in the West, indicating that Asia must innovate its own solutions.
Additionally, the market is primed for disruption due to the swift aging of populations, coupled with significant disparities in infrastructure and capabilities, as outlined in the report. There are considerable opportunities across all segments—innovative hospital and specialty care, contract manufacturing, research, and innovation-driven biotechnology, alongside digital health models that involve comprehensive patient journeys.
“We are at a unique moment where Asian healthcare is intersecting with numerous favorable conditions—rapid demographic shifts, favorable trade flows and FDIs towards Asia, and growing demand from chronic disease burdens and a more proactive, discerning patient base—creating opportunities to rethink healthcare delivery in Asia,” stated Priyanka Aggarwal, Managing Director of the Healthcare Practice at BCG.
The report acts as a roadmap for investors and healthcare organizations to contemplate the recent transformations within the sector and emphasizes the need to address crucial imperatives and immediate priorities. It also encourages readers to re-envision healthcare through innovation to overcome existing inefficiencies.
