HomeChemical Industry DigestNewsGovernment Slashes GST on Life-Saving Medicines

Government Slashes GST on Life-Saving Medicines

In a major move to make healthcare more affordable, the government has drastically reduced the GST rates on several high-priced medicines, including those used to treat cancer, rare diseases, and heart conditions. This step is expected to significantly lower treatment costs for patients across the country.

Forty-one Essential Drugs to Become Cheaper

At least forty-one life-saving drugs, many of which are patented and have no generic alternatives in India, will now cost less due to the GST reduction. The tax rate on these medicines has been slashed from 12% to zero, offering relief to thousands of patients battling critical illnesses.

Key Medicines with Zero GST

Among the drugs that will benefit from this tax cut are:

*Risdiplam for Spinal Muscular Atrophy (SMA)

*Daratumumab for Multiple Myeloma (a type of blood cancer)

*Atezolizumab, used to treat several cancer types

*Avelumab, prescribed for bladder and kidney cancer

Additionally, pertuzumab (for breast cancer) and brentuximab (for Non-Hodgkin’s lymphoma) are also included. Even Inclisiran, a novel cholesterol-lowering drug by Novartis, will now be exempt from GST.

Boosting Accessibility and Affordability

Industry experts have welcomed the decision. “By easing the tax burden, the government has improved both accessibility and affordability,” said Sudarshan Jain, Secretary General of the Indian Pharmaceutical Alliance (IPA). He noted that this reform will particularly help patients with cancer and chronic illnesses, where treatment costs are often overwhelming.

A Holistic Public Health Reform

Jain further added, “This is next-generation reform where the government has looked at public health concerns holistically.” As reported by economictimes.indiatimes.com, the move reflects a strategic shift toward patient-centric healthcare policies, ensuring that cutting-edge treatments become more affordable and accessible for those who need them most.

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