In a move aimed at providing relief to cancer patients, the Indian government has proposed to fully exempt three cancer medicines from custom duties. This announcement was made by Finance Minister Nirmala Sitharaman during the presentation of the Union Budget for 2024-25 in the Lok Sabha. The specific medicines set to benefit from this exemption include Trastuzumab Deruxtecan, Osimertinib, and Durvalumab, previously subject to a 10% custom duty.
The government’s proposal also includes changes to the basic customs duty (BCD) on x-ray tubes and flat panel detectors used in medical x-ray machines, aligning them with domestic capacity addition under the phased manufacturing program. These adjustments, according to Sitharaman, are designed to support domestic manufacturing, enhance local value addition, promote export competitiveness, and simplify taxation while prioritizing the interests of the general public and consumers.
Industry experts have lauded the government’s decision, recognizing its potential impact on accessibility and affordability of advanced cancer treatments. Harsh Mahajan, Chairman of the FICCI Health Services Committee and Founder & Chairman of Mahajan Imaging & Labs, hailed the exemption of custom duty on the three life-saving medicines as a welcome step.
Praveen Gupta, Principal Director and Chief of Neurology at Fortis Hospital, echoed this sentiment, highlighting the exemption’s contribution to strengthening domestic capabilities in the healthcare sector. He also noted the positive effects of the reduced duties on medical technologies like x-ray tubes and flat panel detectors. While acknowledging the scope for further measures, Gupta emphasized the significance of these steps in making advanced cancer treatments more affordable and accessible, addressing a crucial need given the high costs associated with such treatments.
