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Emergence of PPP in Diagnostics in India

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Emergence of PPP in Diagnostics in IndiaThe paradigm of healthcare delivery mechanism is evolving as never before. With the focus of the government on making healthcare more accessible to masses; the implications for the industry are coming thick and fast.

The biggest challenge for India’s healthcare delivery system is to provide care that’s affordable and accessible to its population of 1.3 billion people, almost 70 percentile of whom live in rural areas.

Public healthcare institutions — ranging from Primary Health Centers (PHCs) that form the backbone of the system in rural areas to larger district- level hospitals — are hampered by a lack of manpower and inadequate resources such as diagnostics, pathology services and stock-outs.

As a result, most people rely on the private sector for healthcare, which provides almost 80 percentile of outpatient and 60 percentile of inpatient care. India’s 2017 National Health Policy emphasises the role of the private sector, helping the country to achieve its aim of Universal Health Coverage. The government advocates for the “strategic purchasing or partnership” of care from private facilities and clinics to improve access, affordability and quality of care.

However, in case of diagnostics, beyond the scope of the treatment under Government of India driven initiatives like Pradhan Mantri Jan Arogya Yojana(PMJAY), the masses are dependent on the various state level schemes and policies.

The National Health Mission or the NHM, as it is popularly known as, comes to the rescue of such requirements as it oversees such programmes, spread across various states and UTs. It implements subsidised or free diagnostics, especially for the masses unable to afford the high end scans, especially MRI and CT.

Public Private Partnerships or PPPs as they are commonly referred to are becoming a preferred mode of delivery across various geographies of the country. There are enough good examples of this model generating the desired level of services at affordable price which have led the government and the private players to work more closely and deliver better results.

In fact, the government of Jharkhand has rolled out PPP for both Radiology and Pathology for all districts of the State and Healthmap, SRL and Medall are the service providers. Currently, approximately 24 states, including the north eastern states of India are delivering radio diagnosis through PPP module.

As a result some large players like Manipal Group (through its group entity Manipal Healthmap) Medall, SRL etc have focused their energies on this collaborative mode of delivery system.

These services have not only been successful in providing quality and affordable scans to the masses, but a larger chunk of the population is now showing confidence in these services.

PPP in radiology is perfect solution to deliver quality and affordable diagnosis to the masses. An interesting phenomenon is that at their locations, they serve a decent number of patients who can afford private healthcare facilities as well but come to their PPP set ups inside government hospitals and medical colleges.

This category of patients is assured of the clinical quality of the scans and of course the scan prices are much lower than the private healthcare facilities.

Quality certifications like NABH, NABL etc add a definitive comfort to the patients from all strata to get their scans done at these locations.

PPP is poised to take giant leap not only in radiology but even beyond as well and the Central and State Governments along with the private players are trying out innovative models to carve out a truly inclusive vehicle for a more comprehensive coverage of the complete healthcare cycle. The runway has been laid, it’s just a matter of time that the flight takes off !

About Manipal Healthmap

HealthMap Diagnostics Private Limited, a Manipal Group entity, is running successful PPP projects in diagnostic imaging. It inked its first PPP in mid of 2015 and 2016 with the government of Haryana for providing radiology services (CT and MRI).

The company then signed up with the Government of Jharkhand for providing radiology services in the state of Jharkhand. Today, it is providing these services at multiple locations. The scans are conducted using cutting-edge technology.

Manipal Healthmap provides a gamut of services including MRI, CT, ECG, X-ray, Ultrasound etc. It proudly serves approximately 30,000 patients per month across all its locations. The entity has till date performed more than nine lakh plus scans for the masses. In addition, seven of its centres are accredited with the NABH certification from the Quality Council of India (QCI), a first for any PPP service provider for radiology in India.

The company recently received investment from a global marquee Private Equity fund and is working with various government bodies to take its journey to the next growth phase.

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