In a significant move to improve healthcare accessibility, the Indian government has announced the removal of basic customs duty (BCD) on 36 life-saving medications for cancer and rare diseases. Finance Minister Nirmala Sitharaman presented this crucial healthcare reform as part of the Union Budget 2025, alongside plans for expanding cancer treatment infrastructure nationwide.
Customs Duty Relief for Critical Medications
The comprehensive duty exemption package includes complete removal of basic customs duty on 36 life-saving drugs, while an additional six medications will receive a concessional customs duty rate of 5%. This decision builds upon last year's policy, which had exempted three cancer medications from customs duty.
"To provide relief to patients, especially those suffering from cancer and rare disease, I propose 36 life saving drugs in fully exempted customs duties," stated Finance Minister Sitharaman during her budget speech.
Daara Patel, Secretary General at Indian Drugs Manufactures Association, welcomed the move, noting, "This will help us serve millions of lives and support our initiatives of being patient centric."
Expanding Cancer Care Infrastructure
The budget also outlined plans to establish 200 daycare cancer centers in district hospitals during 2025-26, marking a significant expansion of cancer treatment facilities across India. These centers will provide essential services including chemotherapy, immunotherapy, and daycare operations for various types of cancer.
Dr. Shyam Aggarwal, vice president of the Indian Society of Medical and Paediatric Oncology, endorsed the initiative: "Setting up daycare cancer centres at the district level is a welcome step. These centres will provide facilities for cancer chemotherapy or immunotherapy and daycare operations for a variety of cancers."
Addressing India's Growing Disease Burden
The policy changes come in response to India's increasing cancer burden. According to the National Centre of Disease Control (NCDC), India recorded 1,461,427 new cancer cases in 2022, with a crude incidence rate of 100.4 per 100,000 individuals. Current projections indicate that one in nine Indians may receive a cancer diagnosis during their lifetime.
The cancer burden in India is expected to increase from 26.7 million DALYs in 2021 to 29.8 million by 2025, with northern and northeastern regions facing the highest impact. Additionally, rare diseases affect an estimated 70 million Indians, according to ICMR data, underlining the critical importance of these healthcare initiatives.
