Cancer care for 50 million population through a public-private partnership

Case Summary

We evaluated diversification strategies for a real estate player that wanted to make a foray into healthcare given the immense growth potential of the industry, including recommendations on the appropriate business model, economics and critical success factors.

Value engineering and smart technology investments allowed us to lower capex by 20% without compromising quality of care.


Despite a population of over 5 crores (50 million), Andhra Pradesh did not have a comprehensive cancer centre in the public sector.  The government of Andhra Pradesh and Natco Pharma joined hands to change the situation.

Increasing cancer burden in Andhra Pradesh and a dearth of high-quality cancer care

Camomile Healthcare was mandated to facilitate and guide Natco Pharma, a leading oncology drug manufacturer and Ministry of Health, Andhra Pradesh (AP) to build a world-class cancer care unit in Guntur Government Hospital.

Over 150,000 patients in AP are diagnosed with cancer every year. The state has a cancer prevalence of over 500,000 cancer patients at any point of time. The plight of patients directed them to either travel to private facilities at Hyderabad, Chennai and other locations and those who could not afford the travel and treatment had to live with the disease and succumb to an early death

The Honorable Chief Minister of AP decided to initiate a transformational initiative and joined hands with Natco to establish a comprehensive cancer center at Guntur Government Hospital. The Ministry of Health, AP and Natco Pharma jointly funded the project.

Once the partnership was sealed, the following activities were undertaken:

  • Evaluation of land options
  • Medical equipment needs for a world class cancer care facility were prepared including infrastructure requirements for LINAC bunkers, compliances for radiotherapy equipment and others. Assistance in procurement of key medical equipment was also provided by analyzing and recommending suitable vendors
  • Architectural drawings for the proposed facility were prepared as per NBC standards
  • Optimal technology and digital health infrastructure were planned such that patient data could be used to improve clinical outcomes and efficiencies
  • Operational systems and quality and accreditation plans for the new facility were established

A new benchmark in cancer care

The cancer center at Guntur was inaugurated on 1st July 2020. The project is spread over 1 lakh sq. ft and is a new benchmark in cancer hospitals.

A key feature is the low capex achieved through value engineering and optimal technology investments. The hospital has state of the art technology including Varian Vital Beam LINAC, HDR and nuclear medicine. Over 200,000 patients are expected to benefit from the treatment facilities that shall be available at the hospital.

#AndhraPradesh #cancercare #hospitaldesign #hospitalplanning


Camomile presented a comprehensive framework comparing multiple healthcare models based on key parameters. We also recommended the most suitable model for the land parcel covering land area utilization, facility configuration, capital expenditure and operations design. Our case studies of best-in-class examples allowed stakeholders to clearly visualize the requirements for potential projects and envision the final form this facility would take

#healthcaremodels #projectevaluation #hospitals

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