Budget 2024: Govt Plans to fully Exempt 3 cancer drugs from customs duty

The government suggested completely waiving custom duties for three cancer drugs. Finance Minister Nirmala Sitharaman suggested exempting three additional medicines from customs duties in order to help cancer patients, during the presentation of the Union Budget for 2024-25 in the Lok Sabha.

The government plans to reduce custom duties from 10 per cent to zero on Trastuzumab Deruxtecan, Osimertinib, and Durvalumab.

She suggested modifications in the basic customs duty (BCD) for x-ray tubes and flat panel detectors used in medical x-ray machines under the phased manufacturing programme to align with domestic capacity expansion.

"My proposals for customs duties intend to support domestic manufacturing, deepen local value addition, promote export-competitiveness, and simplify taxation, while keeping the interest of the general public and consumers surmount," Sitharaman said.

Harsh Mahajan, Chairman of FICCI Health Services Committee and Founder & Chairman of Mahajan Imaging & Labs, expressed his approval of the exemption of customs duty on three essential cancer treatment medicines.

Praveen Gupta, the Principal Director and Chief of Neurology at Fortis Hospital, stated that the elimination of custom duties on three cancer drugs and the decrease in duties on specific medical technologies like x-ray tubes and flat panel detectors is a crucial step in enhancing local capabilities in the healthcare industry.

"Though these measures are far less than expected, they will make advanced cancer treatments more affordable and accessible, addressing a critical need given the high cost of such treatments," he added.