Impact of COVID-19 on the diagnostic industry

Accurate diagnostics are the stepping stone to high quality healthcare and effective disease management during COVID-19. Moreover, it is a crucial tool in preventive healthcare as well.

Diagnostic services are broadly categorized into pathology testing (in vitro diagnostic services) and imaging diagnostics, of which pathology labs rule over 58% of the market, while imaging services constitute the remaining 42%.

About 55% of the business is provided by doctors’ referrals, 35% by walk-ins and 10% from corporate houses. About 65% of the business is generated from and conducted in urban areas, while 35% of the business is generated and conducted in rural areas.

Current and future growth trends

The diagnostics industry has received a huge forward thrust due to the demand for providing upgraded equipment, creating newer software applications, and devising newer testing methods which require shorter turnaround time, while stressing on increased accuracy and precision in testing.

It witnessed a consistent phenomenal growth in the last 20 years, and given the current COVID-19 pandemic scenario, it showed a tremendous leap. Digital and technological innovations are now integral to this industry, supported by its national health policies and programs which aim to make affordable healthcare accessible.

Free Diagnostic Service Initiative (FDI) launched in 2015 under the aegis of the National Health Mission (NHM) government of India to provide accessible and essential quality diagnostics in lab pathology and radiology fields at all public health centers, led to the compilation of a National Essential Diagnostics List (NEDL) in 2019 – a bouquet of the required basic and essential diagnostic tests drawn up bearing in mind the region-wise healthcare priorities.

Technological innovations

The diagnostic industry is on the threshold of a phenomenal revolution. The way forward for the diagnostics industry is genome testing and the implementation of artificial intelligence (AI)-based analytic solutions to cope with the anticipated increase in the total volume of tests to be conducted in the wake of a possible third wave and its aftermath.

Artificial Intelligence (AI), robotic process automation, digitization and synchronization of Laboratory Information Management Systems (LIMS) with automated processing are the harbingers of this enormous change, boosting extensive research and data collation, besides creating a boom of sorts in the medical test equipment manufacturing industry.

This will positively impact the overall level of health, disease awareness and preventive health strategies and encourage the endeavor towards making diagnostic services available to all sections of society in the remotest parts of the country.

While the diagnostics industry has been rapidly trying to keep pace with the Sars-Cov-2 virus and its emerging new mutants in a veritable combat mode to meet the huge challenge in catering to the deluge of urgent doorstep sample collection, testing, and delivery.

AI will enable smoother data organization, collation and management and higher quality control standards, a larger volume of tests (making it economically sustainable in the long-term), and a reduction in the risk of human exposure to bio-hazardous material. It will further encourage an exploration of the potential in upgrading and enhancing the existing skills of technicians with training programs and workshops in AI-handling. Latest technological innovations have been implemented for the collation of data, boosting research in a big way.

Impact of COVID-19 and preparedness for the ‘third wave’

The COVID-19 pandemic has positively impacted the level of health awareness, and the need for quality preventive healthcare and health insurance. The demand and potential for upgraded equipment got a huge boost with the awareness for implementing the latest software applications and newer testing methods which require shorter turnaround time, while stressing on increased accuracy in testing.

The pandemic has helped to increase the level of ‘diagnostics literacy’ on an individual consumer level: i.e. the consumer/patient is now better informed and extra-cautious about his health status. For example, the common man has a greater awareness now about the crucial role timely testing has played in controlling the spread of the virus.

The lingering after effects of Covid-19 and its long-term ramifications on the body’s organs - post-hospitalization and otherwise - have also triggered the need for diagnostic tests along the way for regular health monitoring and screening during the road to recovery. In the presence of co-morbidities like diabetes, heart disease, respiratory disorders and kidney disease among others, there is a greater awareness for constant monitoring and screening to avoid a health emergency in the future.

Furthermore, there is also an increased awareness of one’s immunity status after getting the vaccine shots administered and knowing the amount of antibodies present in the body to fight the infection in the future through diagnostic tests - again, for better preparedness in the event of a third wave. Therefore, the benefits of preventive testing have come to the fore in a big way.

Doorstep collection of samples by pathology labs continues to play a key role in the wake of lockdown and social distancing norms, and expected to continue similarly, despite the introduction of home-testing kits, which may or may not be wholly accurate due to inadequate or wrong handling.

The article has been written by Angeli Misra, Director, Lifeline Laboratory