AIMED applauds Delhi Govt’s draft policy to regulate private hospitals

As per Rajiv Nath, Forum Coordinator, AiMeD, Delhi government has shown the way to other State Government and sets precedence. He feels that central government should take the cue and expedite revision of DPCO and trade margins rationalisation

New Delhi: Commenting on the Delhi government’s clamp down on private hospitals, Mr Rajiv Nath, Forum Coordinator of Association of Indian Medical Device Industry (AiMeD) mentioned, “We applaud the steps taken by Delhi Govt to lower the costs of treatment and bring more transparency and accountability to private healthcare services in Delhi and NCR.”

“If hospitals don’t follow this advisory to discipline them it will lead to full blown regulations. The ethical hospitals will embrace the prescribed system, the unethical will continue till they are caught red handed and will state they are legally ok. How long can they escape legal regulatory scrutiny?,” added Mr Nath.

The action on the private hospitals comes after the state government had appointed a nine-member committee five months ago to suggest the scope of profit margins on medicines and consumables. The committee comprised of members of Delhi Medical Council, Indian Medical Association and some bureaucrats in the health department. It was then reported that Delhi government will issue a policy based on the recommendation of the committee in next few days. The state government on Monday, 28th May 2018 issued the draft advisory that the price of medicines and consumables could be upto a maximum of 50 per cent more than the purchase price, or it could be the MRP, whichever is lower.

“This will result in consumers access to medical devices at prices below inflated MRP. If this happens game over to artificially keep MRP at exorbitant levels by any of the US manufacturers and importers as an inducement to push medical devices sales to hospitals,” said Mr Nath.