What is the Health Tourism Sector?

Health tourism is the act of traveling to another country to benefit from health and tourism opportunities, allowing individuals to leave their place of residence for the purpose of preserving, improving or treating diseases. A person who travels for this purpose is referred to as a "health tourist".

The Status of the Health Tourism Sector in Turkey and Around the World

The health tourism sector is a strong concept and service area, just like in the rest of the world, for Turkey. Thanks to the health services provided at a competitive level with qualified health services in developed countries and the country's strong tourism potential, tourists from all over the world come to our country to complete their treatments. According to the Ministry of Health's data, the number of tourists visiting Turkey for treatment in the first 10 months of 2021 was 718,164. Along with the coronavirus pandemic, the travel motivations and expectations of health tourists have also changed. However, it is believed that Turkey has a greater competitive advantage in the health tourism market compared to previous years.

Countries such as India, Costa Rica, Israel, Hungary, Thailand, Turkey, Jordan, Malaysia, South Africa and Cuba are among the developed and developing countries in health tourism. Market selection in health tourism is crucial. It is reported that expenditures made for health tourism are around 5.5 billion dollars in the USA and approximately 3.5 billion euros in Europe. The top three centers where demand for the health tourism sector is concentrated are North America, Western Europe, and the Middle East.

What are the Determining Criteria in the Health Tourism Sector?

Most Preferred Provinces for Health Tourism

1. What are the General Supports for the Health Tourism Sector?

There are various supports provided by institutions such as TÜBİTAK, KOSGEB, and the Ministry of Commerce for the textile sector. The supports provided for the sector are divided into project-based and general supports. Details of the supports provided for the textile sector are presented below.

TÜBİTAK Project-Based Supports

A) TÜBİTAK 1501 - Industry R&D Project Support Program
Within the framework of the 1501-Industry R&D Support Program, projects conducted in the fields of producing a new product, improving and enhancing an existing product, raising product quality or standards, or developing new techniques of cost-reducing type or new production technologies are supported within the definition of innovation. The support rate of the program is applied at 75%.

*There is no budget limit.
*Feasibility is required for investments over 5 million.

B) TÜBİTAK - 1507 - SME R&D Startup Support Program Call
The supports provided under the 1501 Industry R&D Support Program aim to support project-based research - technology development studies and innovation activities of Small and Medium-Sized Enterprises (SMEs).

*Applicable for projects up to 1,200,000 TL.

KOSGEB Project-Based Supports

A) KOSGEB Technology Investment Program
https://odsdanismanlik.com/tr/kosgeb-kobi-teknoyatirim-destek-programi/

B) KOSGEB Foreign Market Program
https://odsdanismanlik.com/tr/kosgeb-yurt-disi-pazar-destek-programi/

C) KOSGEB R&D Product Development Program
https://odsdanismanlik.com/tr/kosgeb-arge-urge-ve-inovasyon-destek-programi/

KOSGEB General Supports

For detailed information; https://odsdanismanlik.com/tr/hibe-ve-destek-yonetimi-danismanligi/

Ministry of Commerce Project-Based Supports

HİSER PROJECT https://odsdanismanlik.com/tr/makaleler/doviz-kazandirici-hizmet-ticareti-destegi/

Cooperation organizations operating in the sector are supported at a rate of 75% for the expenses related to necessity analysis, training, consultancy and promotion of the HİSER projects deemed suitable by the Ministry, with a maximum of 6,000,000 TL per project. The project duration is 3 years.

Ministry of Commerce General Supports

1. Registration and Protection Support
Expenses related to the registration of products and services of beneficiaries operating in the sector and expenses for registering and protecting trademarks registered domestically abroad are supported at a rate of 60% up to a maximum of 600,000 TL annually.

2. Market Entry Certificates Support
Expenses related to certificates, accreditations, and documents obtained from institutions deemed appropriate by the Ministry are supported at a rate of 60% up to a maximum of 600,000 TL annually.

3. Agency Commission Support
Agency commission expenses of health institutions and beneficiaries designated by the Ministry for activities in sports tourism are supported at a rate of 60% for a maximum of 5 years and annually up to 1,200,000 TL. Clinics and outpatient clinics are supported up to a maximum of 240,000 TL annually, while other establishments and accommodation facilities are supported up to a maximum of 1,200,000 TL annually.

4. Complications and Travel Health Insurance Support
Expenses for complications and travel insurance to be obtained from insurance companies based in Turkey for patients coming to Turkey for treatment are supported at a rate of 70% up to a maximum of 2,400,000 TL annually.

5. Employment Support
Expenses related to the gross wages of translators, call center staff, guides, social media specialists, and marketing specialists employed by health tourism beneficiaries, as well as care personnel employed by health tourism beneficiaries operating in the care field, are supported at a rate of 60% for a maximum of 18,000 TL per person; clinics and outpatient clinics are supported up to a maximum of 600,000 TL per year, while other health tourism beneficiaries are supported up to a maximum of 2,400,000 TL per year. This support can be utilized for a maximum of 5 years.

6. Foreign Language and Health Tourism Training Support
Expenses for training courses deemed appropriate by the Ministry for employees of beneficiaries operating in the sector, aimed at foreign language and health tourism, are supported at a rate of 60% up to a maximum of 240,000 TL annually for clinics and outpatient clinics, and up to a maximum of 960,000 TL annually for other health tourism beneficiaries.

7. Patient Path Support
Expenses for airplane tickets for patients brought to Turkey for treatment by health institutions and health tourism intermediary organizations with a protocol with the Ministry are supported at a rate of 60% up to a maximum of 12,000 TL per patient annually for a maximum of 5 years. This support is limited to a maximum of 600,000 TL annually for clinics and outpatient clinics, and a maximum of 6,000,000 TL for other health institutions.

8. Advertising, Promotion, and Marketing Support
Expenses related to advertising, promotion, and marketing activities targeting abroad by health institutions and cooperation organizations are supported at a rate of 60% for a maximum of 5 years for beneficiaries, and at a rate of 70% for cooperation organizations. Under this support, clinics and outpatient clinics are limited to a maximum of 2,400,000 TL annually, while other beneficiaries in the health tourism sector are limited to a maximum of 6,000,000 TL, and cooperation organizations are limited to a maximum of 9,600,000 TL, while beneficiaries in the sports tourism sector are limited to a maximum of 1,200,000 TL annually.

9. Unit Support
Expenses for tax, fees, and gross rental costs, including documentation expenses for the establishment or operation of up to 25 units by health institutions and cooperation organizations are supported at a rate of 60% for beneficiaries and 70% for cooperation organizations for 5 years for each country, with a maximum of 1,440,000 TL per unit annually. Clinics and outpatient clinics are supported up to a maximum of 600,000 TL per unit annually.

10. Participation in International Events Support
Expenses of beneficiaries and cooperation organizations related to participation in international events determined by the Ministry, both individually and nationally, are supported at a rate of 60% for beneficiaries and 70% for cooperation organizations, with a maximum of 300,000 TL for each event, and for a maximum of 3 prestigious events in a calendar year qualified by the Ministry for the same rate and a maximum of 600,000 TL per event.

11. National Participation Organization Promotion Support
Expenses related to the promotion of national participation events by cooperation organizations and national participation organizers are supported at a rate of 70% with a maximum of 1,440,000 TL per event.

12. Participation in Domestic Events Support
Expenses for individual participation of beneficiaries and cooperation organizations in domestic events determined by the Ministry are supported at a rate of 60% for beneficiaries and 70% for cooperation organizations, with a maximum of 300,000 TL per event.

13. Domestic Promotion and Training Support
Expenses related to training and promotion programs organized for promoting their facilities and services within the country, conducted in a calendar year with the participation of professors, experts, journalists, or representatives of relevant institutions and organizations invited from abroad one at most, are supported at a rate of 60% up to 600,000 TL for beneficiaries, and up to 1,200,000 TL for cooperation organizations at a rate of 70%.

14. Product Placement Support
Expenses for product placement in cinema films, documentaries, series, animation films, program formats, and digital games exhibited abroad are supported at a rate of 60% for beneficiaries up to 1,200,000 TL for a maximum of 5 years, and for cooperation organizations at a rate of 70% up to a maximum of 2,400,000 TL.

15. Sectoral Purchasing Delegation and Sectoral Trade Delegation Support
Expenses related to sectoral trade delegations and sectoral purchasing delegation programs conducted by cooperation organizations in the sector and approved by the Ministry for a maximum of 5 in a calendar year are supported at a rate of 70% and up to a maximum of 1,800,000 TL per program.

16. Hiser Project Support
Expenses related to necessity analysis, training, consultancy, and promotion of HİSER projects deemed appropriate by the Ministry for cooperation organizations operating in the sector are supported at a rate of 75% with a maximum of 6,000,000 TL per project. The project duration is 3 years.

17. Virtual Fair Organization Support
Expenses for the organization of virtual fairs held by cooperation organizations operating in the sector and approved by the Ministry in a calendar year up to a maximum of 5 are supported at a rate of 70% and 960,000 TL per activity.

18. Support for the Development and Promotion of Health and Sports Tourism Sectors
Supports deemed appropriate by the Ministry for relevant unions;
a-Promotional expenses for sectoral internet portal and staff recruitment for portal call center,
b-Expenses for market intelligence and information subscriptions
c-Employment expenses for examining applications aimed at facilitating the entry of people visiting our country for health tourism are supported at a 100% rate for a maximum of 5 years and a maximum of 9,600,000 TL annually.

19. Competition and Event Support
Expenses related to a maximum of 1 event organized by cooperation organizations operating in the sector and deemed suitable by the Ministry within a calendar year for health and sports services sectors are supported at a rate of 70% and up to 2,4000 TL per event

2. Investment Incentives for the Health Tourism Sector

Regional Support Elements and Rates for the Health Tourism Sector

Who Can Benefit from Regional Supports for the Health Tourism Sector?

• Real persons, ordinary partnerships, corporations, unions, cooperatives, business partnerships,
• Public institutions and organizations,
• Professional organizations and universities that are public entities,
• Associations and foundations,
• Branches of foreign companies abroad in Turkey can benefit from incentives. Additionally, foreign individuals or companies that established companies in Turkey can also benefit from incentives. 100% foreign-owned or partially foreign-owned companies established or to be established in Turkey will also benefit from the new incentive system.

Which Institutional Sectors Can Benefit from Supports?

In the health tourism sector, health institutions and health tourism intermediary organizations, as well as accommodation facilities and travel agencies for sports tourism can benefit from supports.

What are the Minimum Investment Amounts for the Health Tourism Sector?

The minimum investment amounts are 3 million TL in regions 1 and 2,
1,500,000 TL in regions 3, 4, 5, and 6.

Investments in "elderly and/or disabled care centers and wellness facilities" within the context of health tourism are considered Priority Investment Issues and can utilize the supports of Region 5.

Even if priority investment issues have been carried out in regions 1, 2, 3, and 4, supports applied in Region 5 have been provided. These investments will receive the supports applicable in their respective regions if made in Regions 5 and 6.

The regions are as follows;

How Does ODS Consultancy Assist Your Company with Health Tourism Incentives?

By providing incentive and support consultancy services within the sector, our company ensures that you stay one step ahead of your competitors. We continue our health tourism activities uninterruptedly with our extensive range of services. With our gained experiences, we have successfully concluded numerous projects in categories such as grant incentives, R&D/Design, and investment incentives. ODS Consultancy will support your company in every process you need with its sector experience.