Manufacturers will have to issue price lists or supplementary price lists to dealers, state drug controllers and the government.
Cancer patients are likely to get some relief in medicine expenses in the coming days. The government has directed pharmaceutical companies to reduce the MRP on three anti-cancer drugs – trastuzumab, osimertinib and durvalumab. The objective behind this instruction of the government is that the benefits of customs duty exemption and GST reduction can be passed on to the consumers. In line with the government’s commitment to ensure availability of medicines at affordable prices, the National Pharmaceutical Pricing Authority (NPPA) has issued an office memorandum, PTI reported.
Customs duty on all three medicines has been reduced to zero
According to the news, the Ministry of Chemicals and Fertilizers said in a statement that this is in pursuance of the announcement made in the Union Budget for the year 2024-25, in which these three anti-cancer drugs have been exempted from customs duty. The Revenue Department of the Finance Ministry issued a notification on July 23 this year reducing the customs duty on the three medicines to zero. The ministry said that accordingly, the MRP of these medicines in the market should be reduced and the benefit of reduction in taxes and duties should be passed on to the consumers.
Price list or supplementary price list will have to be issued
The Ministry of Chemicals and Fertilizers said manufacturers will have to issue price lists or supplementary price lists to dealers, state drug controllers and the government, indicating the changes, and inform the National Drug Pricing Authority about the price changes. Finance Minister Nirmala Sitharaman, while presenting the Union Budget for 2024-25 in the Lok Sabha, proposed reducing the customs duty on trastuzumab, osimertinib and durvalumab from 10 per cent to zero.
Drug and medical technology exports will continue to boom
Despite the slowdown in the global economy, India’s pharmaceutical and medical technology exports are expected to continue to grow in the current financial year. With increased government support for drug development in India, production of 16 ‘blockbuster molecules’ for multiple therapeutic areas including cancer, diabetes, HIV and tuberculosis is being planned in India.
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