Torrent Group forays into diagnostics with large national reference lab

Torrent Group has entered the diagnostics sector with a 100,000 sq ft national reference lab in Navi Mumbai, marking a long-term push into high-end, specialised testing amid industry consolidation

Ahmedabad-based Torrent Group has made a decisive push into India’s diagnostics space, setting up what it describes as the country’s largest national reference laboratory and signalling a long-term play in high-end medical testing rather than mass-market pathology.

 

The conglomerate has launched Torrent Diagnostics, beginning operations with a 100,000 sq ft reference laboratory in Navi Mumbai. The laboratory supports more than 3,500 tests across 15 diagnostic disciplines, spanning preventive and routine pathology as well as complex and specialised areas such as molecular diagnostics, genomics, transplant-related testing and infectious disease workflows. The infrastructure includes advanced platforms such as next-generation sequencing, MALDI-TOF systems, BSL-3 containment laboratories and a transmission electron microscope — capabilities that are still scarce in standalone diagnostics facilities in India.

 

By anchoring its diagnostics business around a centralised reference lab, Torrent is positioning itself to serve hospitals, clinicians and smaller laboratories that increasingly outsource complex testing rather than invest in expensive in-house capabilities. Industry executives say demand for such services is rising as healthcare providers focus on precision diagnostics, faster turnaround times and tighter quality control.

 

Varun Mehta, director at Torrent Group, said the company has approached diagnostics as a long-term healthcare business where credibility is built through scientific rigour, strong governance and consistency, rather than rapid footprint expansion. The reference-led structure, he said, is designed to allow scale without compromising on quality standards or clinical relevance.

 

Alongside backend capabilities, Torrent Diagnostics plans to build patient-facing services, including collection centres, trained phlebotomists, simplified reporting formats and digital interfaces through apps and web platforms, aimed at improving the overall patient experience.

 

Torrent’s entry comes at a time when India’s diagnostics industry is undergoing consolidation, with routine testing facing pricing pressure while specialised diagnostics offer stronger growth and margins. While the group has not disclosed investment details or timelines for expansion, the emphasis on infrastructure-heavy, high-complexity testing suggests a calibrated rollout rather than an aggressive, volume-driven strategy.

 

For Torrent Group — already a major presence in pharmaceuticals, power and gas — the diagnostics foray marks a strategic extension deeper into the healthcare value chain. Mumbai-based Lupin had forayed into diagnostics in 2021 through Lupin Diagnostics, which is part of Lupin Healthcare, a wholly owned subsidiary of Lupin. It set up a reference laboratory in Navi Mumbai.

 

Analysts feel low entry barriers, high return on capital employed (over 50 per cent) and fast growth (double digit) profile of the diagnostics sector are attracting new entrants, including digital health aggregators. A trend of pharma companies foraying into diagnostics is on the rise. Sector observers feel that this is a logical step for drug firms, who already have the advantage of a good doctor network.

 

India’s Rs 55,000-crore diagnostics sector is largely dominated by unorganised players. From 15 per cent, the share of organised players is likely to rise to 25 per cent in three to five years, feel analysts. Bulk of the diagnostics sector revenues comes from prescriptions or illness detection. Currently, there is a growing trend of ‘wellness’ testing or preventive healthcare. This is a space witnessing a churn after the entry of online diagnostics players.

 

“Leading drug firms that already have strong relationships with doctors through their sales force can leverage this prescriber network for generating patient volumes to diagnostic centres,” said an analyst.