US diagnostics firm to launch Indian ops

Falling profit margins and the near saturation in business opportunities in its home market, has prompted United States-based clinical diagnostic service provider, Quest Diagnostics, to target India's burgeoning healthcare sector.

The company has joined hands with HCL for information technology-related services for its India operations.

Quest will start its Indian operations within six months, making the $ 7 billion diagnostic testing major the first multinational of its kind to have a full-fledged presence in the country.

"India's 300 million middle class population offers tremendous growth opportunities for Quest. We have been studying the Indian healthcare market for the last three years and have finally decided to have a long term presence here.

While our first lab is to turn operational in Gurgaon early next year, we will have a national presence with facilities in major Indian metropolitan cities within three years," Surya N Mohapatra, chairman and chief executive officer, Quest said.

According to him, India is to be Quest's major area of interest after the US. "Though we have diagnostic labs in Puerto Rico, Mexico and the UK, the Indian subsidiary is to be the largest of all," he said.