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India plans major price cuts for cancer, HIV, and rare disease drugs with customs duty waiver

India plans major price cuts for cancer, HIV, and rare disease drugs with customs duty waiver

In a major development that could bring relief to thousands of patients across India, the central government is preparing to slash prices of critical and life-saving medicines, particularly those used to treat cancer, HIV, and rare genetic disorders. A recently accessed official document reveals that an interdepartmental committee has recommended a set of sweeping customs duty exemptions and concessions aimed at making high-cost medical treatments more accessible to Indian patients.

According to the proposal, some of the most expensive and high-impact drugs used in cancer therapy will be fully exempted from customs duties. These include pembrolizumab, marketed under the brand Keytruda, commonly prescribed for lung cancer; osimertinib, sold as Tagrisso, another leading lung cancer medication; and trastuzumab deruxtecan, known commercially as Enhertu, used for treating aggressive breast cancers. These drugs, often priced in lakhs per dose, have remained out of reach for a vast majority of patients due to steep import duties and their inherently high production costs.

The committee’s recommendations extend beyond cancer care. It also proposes a substantial reduction in the prices of other crucial medical imports. Transplant medicines, essential drugs for critical care, and diagnostic kits that currently carry heavy customs levies are also included in the list of proposed reliefs. These are essential for managing conditions that require constant and specialized treatment, yet they lack domestically available alternatives, forcing reliance on costly imports.

In addition, the proposal includes a second category of drugs, which are widely available but still essential to managing chronic and severe medical conditions. These medicines may see a reduced customs duty rate of five percent. The list comprises hydroxyurea, a chemotherapy agent also used to treat sickle cell anaemia, and low molecular weight heparin, specifically enoxaparin, a drug critical in preventing blood clots and treating deep vein thrombosis. While these medicines are more common, the import duties on them have still made them expensive for lower-income patients and public health systems.

Perhaps the most impactful part of the document concerns treatment options for rare diseases—an area long neglected due to the astronomical cost of available therapies. The government is considering customs duty exemptions for a range of gene-based and enzyme replacement therapies used to treat conditions such as spinal muscular atrophy, cystic fibrosis, Gaucher disease, Fabry disease, lysosomal storage disorders, and several hereditary enzyme deficiencies.

These therapies are among the most expensive in the world. Single treatment courses can cost several crores, putting them completely out of reach for the average Indian patient. Some of the globally renowned rare disease drugs expected to benefit from the customs duty exemption include Zolgensma, Spinraza, Evrysdi, Cerezyme, and Takhzyro. Despite the groundbreaking nature of these drugs in transforming the quality of life for patients with genetic conditions, their prohibitive costs have meant that only a select few could access them—usually through crowdfunding or rare insurance support.

By waiving off customs duties and reducing import levies on these medicines, the government hopes to bridge this affordability gap. The move is also expected to ease the burden on families who often face financial devastation trying to afford these treatments. For a country with a growing population struggling with non-communicable and genetic disorders, such policy-level interventions are seen as crucial steps toward healthcare equity.

Experts believe that this initiative, if implemented, will have a cascading impact on India’s public healthcare outcomes. Reduced import duties may also encourage pharmaceutical companies to increase the availability and distribution of advanced therapies within the country. In the long term, this can lead to increased investment in the Indian pharmaceutical sector’s rare disease and oncology verticals, along with greater focus on local R&D efforts that can reduce dependency on imports altogether.

While the proposal is still under review and pending final approval, it signals a shift in the government’s approach towards critical healthcare access. By prioritizing affordability and availability of essential drugs, India is aligning itself more closely with global healthcare standards, ensuring that life-saving medications do not remain a privilege but become a right for all.

The healthcare community and patient advocacy groups have largely welcomed this move, hoping for swift implementation. As India faces rising incidences of cancer, chronic illnesses, and rare genetic conditions, policies like these could redefine the scope and inclusivity of medical care in the country.

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