Indian Hospitals Turn to New Markets

Middle East conflict disrupts medical tourism to India, prompting hospital chains to explore Southeast Asia, Africa, and Central Asia while protecting revenues from international patients.

Disruptions in Middle Eastern air travel due to the Iran war have reduced the number of medical travelers visiting India, prompting Indian hospital chains to seek patients from Southeast Asia, Africa, and Central Asia (1^✔ ✔Trusted Source
Middle East conflict hits medical tourism, Indian hospitals tap other markets

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Indian hospital networks are increasingly looking toward Southeast Asia, Africa, and Central Asia to attract international patients as ongoing conflict in the Middle East slows the arrival of medical travelers from that region, according to industry experts and executives.

Patients from countries including Oman, Saudi Arabia, Iran, Iraq, and Yemen frequently travel to India for specialized treatments such as cancer care, heart surgeries, organ transplants, and orthopedic procedures. However, their arrival has nearly come to a halt as the Iran conflict has severely disrupted regional air traffic.

Karthik Rajagopal, group chief operating officer at Manipal Hospitals, said that the Middle East contributes approximately 20–25% of the hospital group’s medical value travel revenue, with many patients coming from markets like Yemen and Oman. He noted that if the disruptions continue for a prolonged period, patient volumes from the region may temporarily decline.

In situations involving geopolitical tensions, the hospital group expands outreach efforts to Southeast Asia, Africa, and select developed markets. Before the conflict intensified, Fortis Healthcare was receiving around five to six new patients every day from the region, mainly from Iran and Iraq.

Exploring Africa and Europe for International Patient Growth

Ganapati Hegde, cluster head for international markets at Fortis Healthcare, said the organization expects conditions to stabilize within a couple of months. Until then, the hospital group is planning fresh market research initiatives and exploring new regions for patient inflow. Hegde added that the chain may increasingly focus on Africa and Europe, where patients often face long waiting periods to consult medical specialists.

India’s medical value travel industry, estimated at about 7–8 billion dollars, depends heavily on patients from the Middle East, according to Aryaman Tandon, managing partner for healthcare and life sciences at Praxis Global Alliance, a consulting and advisory firm.

He explained that India’s strong cost advantage remains a major factor driving international patients, as major surgeries can be 60–80% less expensive compared to the Middle East.

Premium Hospital Services Attract Middle Eastern Patients

The consequences of the conflict extend beyond just a drop in patient numbers. International patients from the Middle East often opt for premium hospital rooms, undergo complex medical procedures, and pay in foreign currency, making them among the most profitable patients for Indian healthcare providers.

Salil Kallianpur, managing director at market intelligence firm ARKS Knowledge Consulting, said that even temporary disruptions could significantly alter revenue patterns because a relatively small number of these patients contribute disproportionately to hospital profits.

The KIMSHEALTH Al-Shifa super speciality hospital in Malappuram district of Kerala, which has more than 500 beds, indicated that its international revenue could decline if the conflict continues since most of its foreign patients come from Middle Eastern countries.

Chairman P Unneen Haji stated that the hospital anticipates a potential revenue decline of 10–15% if the situation does not improve.

Medical Tourism Shift Beyond Traditional Gulf Markets

According to the Tourism Data Compendium 2025 report from the tourism ministry, the Middle East accounted for nearly 18% of total foreign medical arrivals in India in 2024, ranking after South Asia and Africa. The current crisis has prompted hospitals to reconsider their strategies and look beyond traditional Gulf markets.

Tandon explained that if the geopolitical situation continues to disrupt travel, healthcare providers are likely to expand patient outreach toward Africa, Central Asia, and neighboring South Asian countries.

Several hospitals are also strengthening teleconsultation and second opinion services so that patients can begin consultations remotely and travel to India only once conditions stabilize.

Direct Flight Demand to Sustain Medical Tourism

Air connectivity remains a critical issue for medical tourism. Many airports in the Middle East serve as transit hubs for patients traveling from other regions such as Africa and Central Asia. If these routes remain disrupted, hospitals may lose patients from multiple regions simultaneously.

Hegde noted that Fortis Healthcare plans to approach the government to increase direct flight connections from other countries because connecting flights that typically pass through Gulf airports are often cancelled during such disruptions.

Industry leaders emphasize that India continues to maintain a strong advantage for international patients because of its clinical expertise, affordability, and quicker access to treatment.

Rajagopal stated that patients travel to India primarily for medical expertise, faster treatment access, and cost-effective care rather than leisure. While hospital groups acknowledge that the industry’s fundamentals remain robust, their current priority is to build new patient corridors outside the Gulf region.

In conclusion, disruptions in the Middle East have temporarily slowed medical tourism to India, encouraging hospital groups to diversify their international patient base while strengthening remote consultation services and exploring new global markets.

Reference:

1. Middle East conflict hits medical tourism, Indian hospitals tap other markets – (https://m.economictimes.com/industry/healthcare/biotech/healthcare/middle-east-conflict-hits-medical-tourism-indian-hospitals-tap-other-markets/amp_articleshow/129265557.cms)

Source-Medindia