SPEECH BY MR S ISWARAN, MINISTER OF STATE FOR TRADE AND INDUSTRY, AT THE INDIA-SINGAPORE HEALTHCARE SEMINAR – “PARTNERSHIP FOR GROWTH IN INDIA’S HEALTHCARE SECTOR”, 20 AUGUST 2007, 9.00AM AT SOPHIA ROOM, RAFFLES CITY CONVENTION CENTRE
Your Excellency Dr Subrahmanyam Jaishankar,
High Commissioner of India,
Dr. Naresh Trehan,
Chairman, CII Task Force on Rural Health and
President, Indian Healthcare Federation,
Distinguished Guests,
Ladies and Gentlemen,
Introduction
I am pleased to be here today for this India-Singapore Healthcare Seminar, organised by International Enterprise Singapore, in partnership with the Confederation of Indian Industry and DBS Bank Ltd.
In particular, I would like to extend a warm welcome to our guests from overseas. I know that several amongst you are frequent visitors to Singapore and I am glad that you continue to make significant contributions to the business links between India and Singapore.
Bilateral trade and investments
Since the signing of the Comprehensive Economic Cooperation Agreement in 2005, both India and Singapore have reaped significant benefits.
Our bilateral trade has grown almost 70% in the last 2 years to S$19.9 billion in 2006, making India Singapore’s 12th largest trading partner in 2006. Singapore, in turn, has become India’s 3rd largest export destination, after the US and the UAE.
The investment environment for both Indian and Singaporean companies has also improved significantly. In 2006, Singapore was the 4th largest investor in India, with investments of US$621 million. Similarly, the investment flow from Indian companies into Singapore has continued to increase. By the end of 2006, there were almost 2,600 Indian firms in Singapore, more than double the number five years ago. Foreign Direct Investment in Singapore from India has also risen to record heights in recent years. In 2005, India invested almost $1.2 billion, making India our 7th largest Asian investor.
I believe that this relationship will grow even stronger, expanding the scope and depth of our economic relations through new partnerships and opportunities.
In that context, this seminar on the theme “Partnership for Growth in India’s Healthcare Sector” is significant and timely.
India’s healthcare industry
Today, India is a focal point of the international investor community which is well-acquainted with the remarkable story of India’s economic resurgence.India’s economy grew at an average of 6% per annum over the last decade, and it has surged beyond 8% in the last few years.
India’s demography is evolving apace with this economic growth.Rising affluence within the Indian population is driving greater and more sophisticated consumer needs and demands. One of these critical needs is the greater emphasis on healthcare.
According to the CII-McKinsey study on India’s healthcare sector, India’s healthcare spending will exceed US$45 billion by 2012. To keep abreast of this surging demand, India will need to strengthen its healthcare infrastructure, capacity and efficiency. India will need more hospital and medical facilities. It will need to train more doctors, nursing professionals and hospital management professionals. It will need facility design, facility management and information technology solutions that enable efficient operations in these healthcare facilities. All these represent opportunities for international healthcare and related services providers to work with their Indian counterparts to fulfill the needs of the market.
Singapore healthcare players in India
Some Singapore healthcare companies have already seized the initiative and ventured into India. One example is Parkway Holdings Limited, which opened the Apollo Gleneagles Hospital in Kolkata in 2003 - a joint venture with the Apollo Hospitals Group.Another is Pacific Healthcare Holdings, which opened its Pacific Medical Centre in Hyderabad in 2004.This is a joint venture with Vitae Healthcare Pte. Ltd. Cordlife will soon join their ranks with the opening of its state-of-the-art tissue processing and storage facility in Kolkata this year.
I am confident that these companies are merely the vanguard that will pave the way for far greater collaboration between Singaporean and Indian companies in the healthcare sector.The partnership is compelling.Indian healthcare companies bring their reservoir of talent and expertise, as well as access to a large and fast growing market
“Singapore Healthcare for the World” – Achievements of Singapore Healthcare Players Overseas
Singapore’s healthcare companies, in turn, have earned a reputation for high standards. They possess a suite of healthcare products and capabilities, from software collaboration, like the training of medical professionals and conducting cutting edge R&D, to providing hardware components like developing medical infrastructure.This makes Singaporean companies attractive partners in today’s global healthcare market.
Therefore, it gives me great pleasure to launch, in conjunction with this seminar, the inaugural publication by IE Singapore on Singapore’s healthcare sector. Entitled “Singapore Healthcare for the World", it showcases 25 select Singapore healthcare and healthcare-related services players.It highlights these companies’ value propositions and acts as a reference guide for healthcare players keen to tap Singapore’s expertise.
I believe the publication will certainly generate more opportunities for these companies to collaborate in the increasingly globalised healthcare industry.
Conclusion
Let me conclude by wishing all of you a very fruitful seminar. I hope that it will serve as a platform to better appreciate the opportunities in the healthcare sector of India and the region, as well as an opportunity to forge new bilateral business partnerships. Thank you.