New Delhi: The GST Council, at its 54th meeting, announced the big cuts in GST on cancer medicines. It is slashed from 12 per cent to 5 per cent on life-saving drugs like Trastuzumab Deruxtecan, Osimertinib, and Durvalumab. This comes in the wake of making life-saving cancer treatment options more affordable to patients. It is also part of government efforts to ease burdens from healthcare costs.
Reduction of the burden for patients is a part of the series of steps for exemption from GST. In July 2023, Dinutuximab, used in the treatment of neuroblastoma, was fully exempted from the ambit of the GST regime. Neuroblastoma is a rare nerve cell cancer, and till recently, Dinutuximab cost families Rs 36 lakh. The exemption has come as a big relief for many from heavy expenditure.
A Parliamentary panel recommended in 2022 a reduction of the GST levied on medicines meant for cancer treatment. In fact, suggested a full exemption. Reduction of GST on cancer medicines is part of the larger strategy to make treatments more affordable. And, this panel also recommended declaring cancer as a notifiable disease to enhance government oversight.
Reduction in GST on cancer medicines will improve access to live-saving treatments, says Finance Minister Nirmala
It is heavily complimented as the Finance Minister, Nirmala Sitharaman announced the exemption of three more cancer drugs from customs duty. These decisions, along with a reduction in GST on cancer medicines, will reflect a multi-point approach toward lessening the healthcare burden for cancer patients in India.
Sudarshan Jain of the Indian Pharmaceutical Alliance said,
“Cancer drugs cheaper by more than one-third of its current prices would improve access to life-saving treatments.”
Further, he reaffirmed that such steps would help in tackling the growing burden of chronic diseases in India. It would be quite rewarding in terms of positive health outcomes for the public.
Basically, this GST reduction on cancer medicines is part of a bigger plan that will include all the essential medicines, making them more accessible and affordable to cancer patients throughout the country.
