New Delhi: Addressing the affordability of drugs, tackling manufacturing gaps, and pushing public healthcare policies stood out as the key highlights of the Budget 2024–25 for the healthcare sector.
The Finance Minister in her record seventh consecutive budget speech, announced the exemption of basic customs duty on three cancer care drugs: Trastuzumab Deruxtecan, Osimertinib, and Durvalumab, while revising the custom duty rates for X-ray tubes and flat panel detectors used in medical X-ray machines. Rs 36,000 crore was allocated for the National Health Mission (NHM).
According to a government release, “The request (for exempting custom duty) was forwarded by the Ministry of Health and Family Welfare (MoHFW) to the Ministry of Finance for improving the affordability of these drugs in view of the 27 lakh cancer patients in the country.”
As per the provided information, “Trastuzumab Injection 440 mg/50 ml is a scheduled drug under NLEM 2022 and NPPA has fixed the ceiling price of the same, whose current applicable ceiling price is Rs 54725.21 per vial. The other two medicines ie, osimertinib and durvalumab, are non-scheduled medicines under DPCO, 2013. Trastuzumab comes in different strengths and dosages, which have combined annual turnover of more than Rs 276 crore, while the annual turnover of osimertinib and durvalumab stood at Rs 52.26 crore and 28.8 crore, respectively, for the year 2023–24.
Over the other key decision ie revision of custom duty tax rates, the government stated, “These revised rates are expected to positively impact the X-ray machine industry by enhancing component availability at lower costs. This change is anticipated to boost the domestic medical device sector, contribute to component availability at lower costs and reduced healthcare costs, making advanced medical imaging more accessible and affordable.”
“The budget expenditure for FY 2024–25 under the NHM has also been increased by approx. Rs 4000 crore from Rs 31,550 crore to Rs 36000 crore. NHM is central sponsored scheme which primarily caters to the primary and secondary healthcare service delivery in the nation. The focus of the government is to invest in the primary and secondary public healthcare facilities for implementing the preventive and curative aspects of health to reduce the out-of-pocket expenditure of the public at large.” it added.
