Budget fails to cheer healthcare sector as many demands unmet; mental health programme welcomed

Leading healthcare providers on Tuesday rued that the Budget has failed to address many of the long-pending demands of the industry.

Medical Technology Association of India (MTaI) Chairman Pavan Choudary said the pandemic has highlighted the scarcity of skilled healthcare workers at all levels.

''We hope that through the plans to renovate the National Skill Qualification Framework and launch a digital ecosystem for skilling, we will be able to bridge the skill gap,'' he noted.

He further said, ''Though we still need to go through the fine print, the Budget has not addressed many of the issues highlighted by large parts of the healthcare industry like streamlining of GST and reduction of the customs duty.'' The rolling back of the health cess is the other demand which will help the industry preserve jobs, he added.

NATHEALTH President Harsh Mahajan said, ''We congratulate the government on record GST mobilisation. However, the embedded credit issue in the healthcare sector still remains unaddressed, and we hope to soon find a viable solution acceptable to the government.'' There is also a need to create fiscal incentives for investments/PPP in both hospital and out-of-hospital delivery models like telemedicine, home care, senior care and long-term care, he added.

Fortis Healthcare MD & CEO Ashutosh Raghuvanshi stated that the proposed National Tele Mental Health Programme will prove to be beneficial for a large section of the society, enabling access to quality mental health counselling.

Apollo Hospitals Group Chairman Prathap C Reddy said during the pandemic, the industry witnessed an immense contribution of startups to innovation in healthcare and the extension of the tax benefits for another year should encourage more startups in the healthtech space to invest in R&D especially in the field of AI-powered smart wearables and predictive healthcare.

''This will in turn be invaluable in strengthening our fight against non-communicable diseases, which can otherwise derail the economic recovery by impacting our productive demographic,'' he added.

Organisation of Pharmaceutical Producers of India (OPPI) President S Sridhar said while the government's thrust on PLI augurs well for the sector and the country at large, the dependence on imports for active pharmaceuticals ingredients (APIs) and bulk drugs continues to be a challenge.

''There is a need to consider the introduction of an 'RLI Scheme' – Research-Linked Incentive Scheme, which will accelerate an atmanirbhar ecosystem for end-to-end development of pharmaceuticals - from bulk drugs to finished formulations,'' he stated.

IPA Secretary General Sudarshan Jain noted that policy consistency has been maintained in the Union Budget.

''The planned increase in capital expenditure is likely to boost economic growth and employment,'' he stated.

Novartis India Country President and Managing Director Sanjay Murdeshwar said the budget is in line to support the growth and recovery of the economy while keeping the overall policy stability and fiscal discipline, the industry keenly anticipates an equal impetus on innovation and R&D.

''Policies attracting future investments in R&D and retaining world-class talent in the country is critical to make India aatmanirbhar,'' he said.

Azad Moopen, founder chairman and managing director of Aster DM Healthcare, said digital registries of health providers and healthcare facilities, unique health identity and universal access to health facilities under the national digital health mission are positive.

He said these will enable access to healthcare for a wider section of the population. ''What is more important is that mental health and challenges put forward by the pandemic are being tackled at a national level with the launch of the national telemental health programme.'' Cipla MD & Global CEO Umang Vohra said the announcement on enabling a national mental health programme will help provide access to quality counselling and necessary care across rural and urban settings within the country.

''This is a stepping stone for the healthcare industry to spotlight the importance of mental health along with the shift towards wellness and preventive care,'' he added.

Wipro GE Healthcare Managing Director Shravan Subramanyam said the proposed National Tele Mental Health Programme represents a progressive step towards recognizing and acting on mental health issues, especially considering the emotional toll that COVID-19 has taken on people.

Echoing similar views, Torrent Group Chairman Samir Mehta stated that the programme is another extension of digital health mission while improving the quality of life of citizens.

Rating agency ICRA said one-time healthcare cost during the second wave of the pandemic is expected to have bumped up expenditure in FY22. ''And, assuming that there are no severe waves in FY23, the increased allocation is a welcome move.'' While allocation towards the National Health Mission continues to remain flattish, the increase in allocation towards the Ayushman Bharat health infrastructure mission is expected to increase health coverage in FY23, it added.

Vijay Chawla of KPMG India said the Budget highlights the importance of a strong healthcare infrastructure backed by digital investments for long-term benefits in democratising healthcare.

T K Srikanth, who heads the E-Health Research Center at IIIT Bangalore, welcomes the proposed national telemental health programme and said his research centre has been working with NIMHANS, National Health Mission, Karnataka, and the e-Manas platform for mental health management.

In the Budget Speech, the finance minister Nirmala Sitharaman said that the national tele mental health programme will be launched in April to help improve access to quality mental health counselling and care services. PTI MSS BEN HRS hrs

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)