Government Slashes Customs Duties on Key Cancer Medicines

The government proposed fully exempting three crucial cancer drugs from customs duties to alleviate patient burdens. Finance Minister Nirmala Sitharaman announced during the Union Budget presentation that cuts on certain medical technologies' duties would also support domestic manufacturing and competitiveness.

In a significant move to aid cancer patients, the government announced on Tuesday that three crucial cancer medicines will be fully exempt from customs duties.

Finance Minister Nirmala Sitharaman, while presenting the Union Budget for 2024-25, detailed the proposal to cut customs duties on Trastuzumab Deruxtecan, Osimertinib, and Durvalumab from 10 percent to nil, offering financial relief to those in need.

Additionally, the basic customs duty on x-ray tubes and flat panel detectors used in medical x-ray machines will be adjusted under the phased manufacturing programme to align with domestic capacity adjustments. The measures aim to bolster local manufacturing, promote export competitiveness, and simplify taxation.

Anil Matai, Director General of the Organisation of Pharmaceutical Producers of India (OPPI), welcomed the initiative, highlighting its potential to lessen the financial strain on cancer patients. However, he also emphasized the need for incentives to develop treatments for rare diseases.

Pavan Choudary, Chairman of the Medical Technology Association of India (MTaI), noted that while customs duty reduction on finished goods remains pending, the move reflects a positive step towards supporting short to mid-term manufacturing capabilities in India.

Harsh Mahajan, Chairman of the FICCI Health Services Committee, and Praveen Gupta, Chief of Neurology at Fortis Hospital, both commended the government's efforts to make advanced cancer treatments more affordable and accessible.

(With inputs from agencies.)