Presentation to Mentors of Dental GPS India Insights into the Indian Dental World Mumbai, September 30, 2015 Trusted Advisory Services in ASEAN and India
Indian Dental Landscape Number of Clinics 150,000 Number of specialists in Dental Implants - 1,500 Under Grad Institutes 300 Professionals 250,000 New Practices started each year ~ 15,000 Post Grad Institutes 150 Dental Technician Colleges - 35 Number of Oral and Maxillofacial Surgeons -2,500 Dental Care (Dentists and Ancillary Services Market USD 1.3 Billion (25%-30% y-o-y) Equipment and Material Market Size USD 125 Million (10% y-o-y) Oral Care Market USD 1.8 Billion Laboratories 5,000 Concentration of Dentists in Urban and Rural India 10,000 and 250,000 Number of Graduates every year 30,000 Percentage of Patients visiting private practices -80%
Emerging Trends Dental Specialty is undergoing the same transformation which the medical specialty underwent 20 years ago Consolidation lead by Corporate Chains Dental Tourism Entry of International manufacturers Easing of Government Regulation Increased usage of Information Technology Consolidation in Dental Lab sub sector 80 percent of India s population has never been to a dentist
Entry of corporate dental chains Clove Dental Axiss Dental/NHDC Smile Kraft Vasan Dental Denty's Mydentist Smile Merchants Dentistree Swiss Smile India Apollo White Dental Signature Smiles Smile Care World Tie up with Hospitals is helping to facilitate the dental tourism objective Axiss has tied up with Artemis, Fortis and Columbia Asia Ease of transferability of best practices and non clinical support PMS is cloud based and hence platform and location independent Consolidation with private clinics is lead by these chains Private Equity Funds are funding the right entrepreneurs to set up/ expand chains Entry of international strategic/ existing players
Dental Tourism Dental tourism forms 10% of the total medical tourism industry and increasing Estimated to be about USD 200,000 per annum in size Lower procedural costs and promotion of medical tourism In the US and Europe, the surgery cost of dental implants is more than 60 70 percent of the total cost, whereas in India the surgery cost accounts for only 25 30 percent. Alliance Dental has launched Dental Spas Procedure US and Europe India Filling USD 300-USD 400 USD 30-USD 40 Root Canal USD 3,000 USD 150-USD 200 Dentures USD 1,000 USD 300
Entry of international companies Existing Players Existing Players Major Items Major Exporter Countries Kavo GC LifeCare Devices Consumable items Germany Ivoclar-Vivadent 3M Mecktron Sirona Aceton Ultradent Coltene Voco S S White Bio Horizons Implant Systems Dentsply Friadent GmbH Osstem Implants Anthogyr (France) Bego Implant Systems (Germany) Bicon Dental Implants (US) Nobel Biocare Holding AG (Switzerland) Osstem Implants (South Korea) Straumann Holding AG (Switzerland) Implants X-Rays Dental Units Imaging Systems Laboratory Equipment Laboratory Materials Dental Drills Scalars USA Italy Japan China Neodent (US) Shinhung, Korea Hand Pieces BIOMET 3i (US) Shofu Sterilization Equipment/Devices
Easing of Government Regulations 100% FDI is permitted for Health and Medical Services under the automatic route Liberal policies to attract international manufacturers to establish JVs and outsourcing facilities Reduction of customs duty on Dental Equipment Higher depreciation on medical equipment Reduced Excise duty on Dental Furniture
Information Technology System Entry of PMS providers Modules of Medical Practice Software Practo Appointment Booking Our Health Mate Patient Record Management Lybrate/ Ziffy Healthcare Magic DocTree Helpingdoc Billing and Collection Prepaid Appointment booking for NRIs Online Medical advice / Second opinion DocSuggest Consult doctor online / Talk to doctor online Evaidya Video Consultation
Consolidation in the lab space There are over 5,000 independent dental labs in India; highly fragmented Very few are Chains with multi location presence DentCare, SM Dental Lab, Illusion, Dental Ceramist, Laxmi Dental and Katara Dental are among the few with a corporate structure Another 10 only would have a website Big opportunity in outsourcing of work from US and Europe There is business opportunity for Dental Care chains to set up Lab chains too?
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