Medical device supply to Kerala govt hospitals halted over ₹158 cr arrears

The Chamber of Distributors for Medical Implants and Disposables (CDMID) has halted the supply of critical cardiac devices — including stents, guide wires, guide catheters, and PTCA balloons — to government hospitals and medical colleges in Kerala over pending arrears of nearly ₹158.7 crore.

CDMID, which represents medical supply distributors in the state, said the dues have piled up across 21 government hospitals and medical colleges. Kozhikode Medical College tops the list with unpaid bills of ₹34.9 crore, followed by Thiruvananthapuram MCH (₹29.56 crore), Kottayam MCH (₹21.74 crore), Pariyaram MCH (₹13.96 crore), and Ernakulam Government Hospital (₹13.74 crore).

Dues across Kerala Medical Colleges

The distributors noted that of the total arrears, ₹41.34 crore was pending up to June 2024, while an additional ₹117.34 crore has accumulated since then. Despite repeated meetings with Finance Minister K N Balagopal and Health Minister Veena George’s office in July and August, no payments have been released, said CDMID in a statement.

According to CDMID, the association is unable to pay its principal suppliers and is experiencing a stock shortage. "From September 1, we are forced to stop replenishing consignment stocks in all government centres. Purchase orders for accessories also cannot be honoured as available stocks are negligible,” the association said. CDMID has also urged the government to clear all invoices under the KASP, KBF, and MEDISEP schemes up to March 31, 2025.

The shortage has already begun to affect patient care. In a letter to the Principal of Kozhikode Medical College, Dr Rajesh G, head of the Cardiology Department, warned of a severe scarcity of essential hardware in the Cath Lab. “We are unable to perform primary angioplasty for heart attack patients or elective coronary procedures due to the lack of wires, balloons, and stents. Patients can only be managed medically with thrombolysis, and the department cannot take responsibility for complications arising in this situation,” he wrote.

According to recent Assembly records, the Kerala Medical Services Corporation Ltd. (KMSCL) — the state’s central procurement agency — owes pharmaceutical companies ₹693.78 crore for life-saving drugs, surgical equipment, and fluids. The dues, which were just ₹6.93 crore in 2020–21, have soared to ₹383.26 crore in 2024–25. As many as 177 suppliers are awaiting payments, with outstanding amounts ranging from ₹848 to ₹67.9 crore.