Healthcare professionals lauded Finance Minister Nirmala Sitharaman's Union Budget 2024–25 for its effective steps to lower cancer medicine prices and boost local medical production.

Experts have emphasised the customs duty exemption on cancer medications Deruxtecan, Osimertinib, and Durvalumab. Exempting three life-saving cancer medications is a big move, said Dr. Harsh Mahajan, founder and chairman of Mahajan Imaging & Labs and FICCI Health Services Committee chairman. It's good, but we need to read the fine print to get the whole impact. Exempting X-ray tube components and digital detectors from customs charges will help boost India's digital X-ray machine manufacturing. Additionally, funding innovation and skilling will assist healthcare workers.” 

Dr. Shyam Aggarwal, Chairman of Medical Oncology at Sir Ganga Ram Hospital, emphasized the cost barrier of imported life-saving drugs, noting, "All imported life-saving drugs are expensive, and customs duty exemption is a welcome step." Dr. Mandeep Singh Malhotra, Director of Surgical Oncology at CK Birla Hospital, added, “Cancer drugs are very expensive and essential for long-term treatment. Reducing costs is crucial. Deruxtecan is a breast cancer drug that works for all cancers with the Her2-positive gene. Durvalumab treats lung and biliary tract cancers, while Osimertinib treats lung cancer with an EGFR mutation. These cancers are common in India and often detected late.”

The antibody-drug combination trastuzumab Deruxtecan has being explored for gastric and HER2-positive metastatic breast cancer. Osimertinib targets EGFR gene mutations in NSCLC. It treats tumours that earlier EGFR inhibitors failed. In NSCLC and urothelial carcinoma, durvalumab blocks the PD-L1 protein to help the immune system fight cancer. 

The exemption from basic customs duty could lower drug prices by 10–20%, making treatments more affordable and accessible. This can reduce patient and family costs and enhance treatment outcomes by increasing access to innovative medicines.

 Dr. Ashutosh Raghuvanshi, MD and CEO of Fortis Healthcare Limited, said, “The government’s decision to exempt three cancer drugs from customs duty in the FY 2024–25 budget is commendable. This step alleviates the financial burden on patients and underscores the government’s commitment to addressing the growing cancer burden in India.”

Changes in the Basic Customs Duty (BCD) for X-ray tubes and flat panel detectors will benefit domestic manufacturers by reducing costs, encouraging local sourcing, and enhancing competitiveness. This move supports the 'Atmanirbhar Bharat' initiative, fostering local manufacturing, driving technological investment, and contributing to economic growth and job creation.

However, some longstanding demands of the healthcare sector remain unaddressed. These include increasing the GDP spend on healthcare to 2.5%, prioritising healthcare as a national issue, promoting medical value travel in India, addressing indirect taxation and unused MAT credits, and rationalising GST with a uniform rate and full input tax credit eligibility.

Dr. Vaibhav Kapoor, co-founder of Pristyn Care, praised the budget for its focus on education and skills development. “The Union Budget for 2024–25 is a positive growth step. Efforts like revising the Model Skill Loan Scheme and providing e-vouchers for student loans demonstrate a strong commitment to education and employment. This approach will make our future brighter, healthier, and more prosperous for everyone.”

Mr. D. S. Negi, CEO of Rajiv Gandhi Cancer Institute & Research Centre (RGCIRC), expressed strong support for the government's recent budget announcement. "We welcome the government's announcement in Budget 2024–25 to fully exempt three additional cancer medicines from customs duties. This is a significant step towards making essential cancer treatments more accessible and affordable for patients across India," stated Mr. Negi. He emphasised that the high cost of cancer medications has been a major barrier for many patients, and this exemption will undoubtedly provide much-needed financial relief to those battling the disease.

Mr. Negi also praised the proposed reduction in the basic customs duty (BCD) on X-ray tubes and flat panel detectors for use in medical X-ray machines. "By aligning these changes with domestic capacity addition, the government is not only supporting the growth of local manufacturing but also ensuring that advanced medical technology is available to improve diagnostic accuracy and treatment outcomes for cancer patients," he noted.

Dr. Naresh Trehan, Chairman of the CII Healthcare Council and Managing Director of Global Health Limited, offered a mixed response to the budget. While praising the customs duty exemption on cancer drugs as a major relief for patients, he emphasised the urgent need for an increased health budget and broader inclusion in the Ayushman Bharat Aarogya Scheme. “The exemption of customs duty on cancer drugs and changes in the Basic Customs Duty (BCD) for X-ray tubes and flat panel detectors are positive steps. These measures will certainly benefit patients and encourage local manufacturing of medical equipment,” he said. However, he pointed out that the overall health budget has seen little increase, which is a critical need.

Dr. Trehan emphasized the importance of increasing the health budget to meet the healthcare sector's growing demands. “We have been consistently requesting that the finance minister increase the health budget. It is essential to address the financial strains faced by many patients who are unable to access necessary healthcare services,” he said. Dr. Trehan called for the inclusion of more patients in the Ayushman Bharat Aarogya Scheme, emphasizing the need for expansion. “There is a pressing need to increase the budget for the Ayushman Bharat Aarogya Yojana and include more people who are currently unable to afford healthcare due to financial constraints,” he added.

Dr. Saloni Wagh, Director of Supriya Lifescience, emphasised the broader implications of the budget, stating, “This budget represents a pivotal move towards a Vikasit Bharat, emphasising progress through targeted support for poor, women, youth, and farmers. Key focus areas include employment, skill development, MSME growth—vital for GDP and exports—and middle-class upliftment.” She noted that the full exemption of basic customs duties on three cancer treatment medicines is a notable advance, promising substantial benefits for both the pharmaceutical sector and cancer patients.