Growth In Private Sector

2230 Words9 Pages
Introduction
The health care industry environment continues to be a dynamic one. The corporatization and consolidation of health care, new methods in the delivery of care, new reimbursement mechanisms, and changes in the composition of the workforce are the major issues dominating the industry environment.
Historically, the experience and concern in the field of primary health care in India dates back to the Vedic period. As far back as 3000 B.C., the Indus Valley civilization had already developed environmental sanitation programmes such as provision of underground drains, public baths, etc., in the cities. Arogya or health was given high priority in daily life, and rules set and advocated for attaining arogya indicate that the concept of
…show more content…
Private sector has been the driving force behind the growth in the Indian healthcare sector. Expenditure on private hospitals accounts for 66.9% of total healthcare expenditure in India, among the highest in the world. Most healthcare resources in India are with the private sector, which includes 80% of doctors, 26% of nurses, 49% of beds, 78% of ambulatory services, and 60% of inpatient care.
On the other Hand, India’s per capita expenditure on healthcare has improved over the years; however, continues to be one of the lowest in the world per capita healthcare expenditure (in USD) India’s per capita expenditure on healthcare is very low compared with developed countries such as the US (per capita healthcare expenditure of USD4,700 in 2010), the UK (USD1,700), Japan (USD2,800), etc. This is primarily on account of low disposable income and low government spend; the Indian government spend on the healthcare sector is among the lowest, accounting for 4.2% of the total GDP (as against 17% in the US in 2010 and over 9% in Japan and the
…show more content…
 Reduction in customs duty :The government has reduced customs duty on life-saving equipment to 5% from 25%, and exempted it from countervailing duty. Import duty on medical equipment has been reduced to 7.5%.
 National Urban Health Mission (NUHM) :To cater to the healthcare needs of slum dwellers across urban India, the government set up a National Urban Health Mission (NUHM) in 2005. This initiative caters to nearly 42.6 million slum dwellers spread across 640 towns and cities in India.
 National Rural Health Mission (NRHM) :The Government of India set up a National Rural Health Mission (NHRM) in 2005 (the mission ran until 2012) to ensure provision of effective healthcare to the country’s rural population. This initiative has helped in reduction of the maternal mortality rate (MMR), infant mortality rate (IMR), and total fertility rate (TFR) across the

More about Growth In Private Sector

Open Document