According to a new study by the ‘Research and Information System for Developing Countries’ (RIS), the AYUSH service sector contributed an estimated USD36.92 billion to India’s economy in the 2024-25 fiscal year, with projections indicating it could grow to USD216–318 billion by 2047.
Since FY2022-23, this sector has witnessed rapid and sustained expansion, recording a CAGR of 16.91%. From healthcare and wellness to employment and medical value travel, the growing role of the AYUSH sector is now clearly evident in India’s service economy as well.
This report was released on September 23 during the 11th Ayurveda Day celebrations in Nagpur. Based on a nationwide survey of 15,914 establishments across six AYUSH systems, the study estimates that this sector directly supports the livelihoods of approximately 17.6 lakh people.
Clinics and Ayurveda Drive Ayush Economy
Clinics and day-care centers form the backbone of this sector, together generating more than 71% of total Ayush services revenue. Clinics alone contributed an estimated USD16.21 billion, while day-care centers contributed USD10.13 billion.
Ayurveda was the largest AYUSH system, contributing USD17.73 billion, or approximately 48% to the sector’s total revenue. The wellness segment—comprising yoga centers, spas, and resorts offering AYUSH-based services, also recorded impressive growth, with its revenue increasing at a 21.29% CAGR.
Employment and Medical Tourism Boost Ayush Growth
This study estimates that AYUSH services support the livelihoods of 1.76 million people, with women accounting for 43% of this workforce. Women’s participation exceeds 50% in several organized sectors, such as wellness centers, educational institutions, day-care centers, and hospitals.
In FY2024-25, the AYUSH sector earned approximately USD1.77 billion from Medical Value Travel. While foreign patients account for only about 5% of the total patient base, they contribute around 15–25% of the hospitals’ total revenue.
According to the report, the AYUSH sector is likely to grow even more rapidly in the coming years. To achieve this, emphasis must be placed on better infrastructure, high quality, skilled personnel, digital technology, and innovation, as well as improved access to foreign markets.
This report projects further expansion by 2047, supported by improved infrastructure, quality standards, workforce skills, digital technology, innovation, and better access to international markets.
(PIB)
