Union Budget: FM exempts basic customs duty on 36 life-saving drugs; boosts medical tourism

BILKULONLINE

New Delhi, Feb 1: Union Finance Minister Nirmala Sitharaman on Saturday announced exemptions on basic customs duty on 36 life-saving drugs and also gave a big boost to medical tourism. “Basic customs duty exempted for 36 life-saving drugs, while 6 life-saving drugs will have 5 per cent customs duty,” the FM said, as she presented her eighth consecutive budget and the NDA government’s second full Union Budget of its third term.

“This will provide relief to patients, particularly those suffering from cancer, rare diseases, and other severe chronic diseases,” the FM said. In a significant move for Patient Assistance Programs (PAPs), the FM waived off customs duty on medicines provided through the programme, expanding access to essential drugs for those in financial distress. About 13 more patient assistance programs have been added to significantly benefit underprivileged patients. Further, in a bid to boost medical tourism in the country, the FM announced, a ‘Heal in India’ campaign in partnership with the private sector. Visa procedures have also been simplified for patients seeking treatment in India to enhance the country’s medical tourism sector.

Medical Tourism in India is estimated to be around $9 billion. On the Global Medical Tourism Index, India stands at number 10. The country has seen significant growth in medical tourism in the past year, especially due to the rise of the AYUSH system (Ayurveda, Yoga and Naturopathy, Unani, Siddha, and Homeopathy). In 2023, the government also implemented medical visa provisions to facilitate the entry of international tourists seeking health and wellness treatments in the country. Announcing the Union Budget, FM Sitharaman also announced 10,000 additional seats in medical colleges as well as daycare cancer centres in all district hospitals.