Union Budget 2026 Delivers Major Relief with Customs Duty Removal on Critical Drugs
The Union Budget 2026 has announced a significant healthcare initiative by proposing the removal of customs duty on essential drugs for cancer and rare diseases. This move is expected to provide substantial financial relief to patients and their families across India.
Zero Customs Duty for 17 High-Cost Cancer Drugs
In a major policy shift, the budget proposes reducing customs duty on 17 high-cost cancer drugs from previous rates of 5% or 10% to nil. This elimination of import duties will make these critical medications more affordable and accessible to cancer patients who often face exorbitant treatment costs.
Expanded Coverage for Rare Disease Medications
The budget further strengthens support for patients with rare diseases by adding seven more conditions to the list eligible for customs duty exemption on drugs. This expansion builds upon existing provisions and demonstrates the government's commitment to addressing the unique challenges faced by those with rare medical conditions.
Impact on Healthcare Accessibility and Affordability
This customs duty removal represents a crucial step toward improving healthcare accessibility in India. By reducing the financial burden on patients requiring expensive treatments, the policy aims to:
- Make life-saving medications more affordable for vulnerable populations
- Reduce out-of-pocket healthcare expenses for families
- Improve treatment adherence and outcomes for serious conditions
- Align with broader healthcare accessibility goals
The timing of this announcement in the Union Budget 2026 underscores the government's prioritization of healthcare reforms. Pharmaceutical companies and healthcare providers are expected to welcome this development, which could potentially lead to increased availability of these specialized drugs in the Indian market.
This policy change comes as part of a comprehensive approach to healthcare financing in the budget, reflecting growing recognition of the economic burden that serious illnesses place on Indian households. The specific focus on cancer and rare disease medications addresses two areas where treatment costs have been particularly prohibitive for many patients.
