Industry enhancing quality diagnostic services in urban-rural areas
The diagnostic laboratories market in India is expected to reach Rs.2.98 trillion by FY 2030, expanding at a compound annual growth rate (CAGR) of ~11.70% during the FY 2025 – FY 2030 period. It was valued at Rs.1.54 trillion in FY 2024, according to a report added to ResearchAndMarkets.com’s offering.
India’s diagnostic laboratory market is poised for substantial growth, driven by rising healthcare awareness, technological advancements, and a growing burden of chronic diseases, said the report, “Diagnostic Laboratories Market in India (2025 – 2030)”.
The sector is a key component of the healthcare system, facilitating early disease detection and treatment planning. Government initiatives such as the Production Linked Incentive (PLI) scheme and increased foreign investments are expected to further boost this market. The industry is seeing rapid digitization, enhancing accessibility to quality diagnostic services across both urban and rural areas.
Factors such as an aging population, increased disposable income, and the shift towards preventive healthcare are fueling growth. The sector comprises both standalone laboratories and hospital-based diagnostic centers, with In Vitro Diagnostics (IVD) playing a crucial role in market expansion. The government’s push for local manufacturing, coupled with the PLI 2.0 scheme, aims to enhance domestic production capabilities. India is also a leading hub for medical tourism, contributing to the rising demand for high-quality diagnostics.
India’s diagnostic laboratories market comprises two segments: pathology and radiology. Pathology services, including biochemistry, hematology, and microbiology, dominate the market. The IVD sector, covering RT-PCR, ELISA, and molecular diagnostics, is projected to grow significantly due to increasing demand for early disease detection.
The radiology segment, covering X-rays, MRI, CT scans, and ultrasound, is witnessing technological advancements. Digital imaging and AI-powered diagnostics are streamlining operations. The Make in India initiative has encouraged domestic manufacturing of high-end imaging equipment, reducing dependency on imports. Tele-radiology services are gaining traction, allowing specialists to analyze scans remotely, particularly in rural areas.
The Indian diagnostic laboratories market is undergoing significant transformation, driven by the adoption of digital technologies and a shift towards personalized healthcare.
The rise of AI-powered diagnostics, cloud-based platforms, and wearable technology is enhancing test accuracy, speed, and accessibility. Preventive healthcare is gaining traction, with increasing demand for genetic testing, early cancer screening, and wellness packages.
Government and private investments, including the PLI scheme and FDI policies, are fostering local manufacturing of diagnostic equipment, reducing reliance on imports and lowering costs. Point-of-care (POC) testing is expanding, providing quick, cost-effective diagnostics in remote areas, while home-based testing is becoming mainstream, supported by mobile sample collection and AI-driven analysis. These trends are collectively shaping a more efficient and patient-centric diagnostic ecosystem in India.
Key players are:
Metropolis Healthcare Limited;
Thyrocare Technologies Limited;
Vijaya Diagnostic Centre Limited;
MEDall Healthcare Private Limited;
RedCliffe Labs. Fiinews.com