The Union Budget 2026-27 gave relief for cancer patients as 17 life-saving drugs have been fully exempted from basic customs duty. In addition to this, the government expanded support for patients suffering from rare diseases as well by including them in the National Policy for Rare Diseases list.
A February gazette notification has slashed duties to zero for expensive targeted therapies, including treatments for metastatic breast cancer (Ribociclib, Abemaciclib), chronic lymphocytic leukaemia (Venetoclax), lung cancer, and prostate cancer. The duty-free mandate also covers medicines and specialised nutritional supplements for seven more rare diseases, specifically for patients importing them for personal treatment.
The cumulative cost of some of the cancer drugs are: Ipilimumab (Rs 1.20 lakh per year), Sipuleucel-T (Rs 8.26 million per year) Bevacizumab (Approx. Rs 8.25 million per year), and Bortezomib (Approx. Rs 55 lakh).
Some of the diseases that NPRD lists are Lysosomal Storage Disorders (LSDs), Spinal Muscular Atrophy (SMA), Duchenne Muscular Dystrophy (DMD), Mucopolysaccharidosis (MPS) Types I, II, IVA, and VI, Cystic Fibrosis, and Duchenne Muscular Dystrophy (DMD).
Ribociclib, Abemaciclib and Venetoclax are among the costliest cancer treatments. These treatments often run into several lakhs of rupees per cycle, and the annual costs for rare disease medicines can reach tens of lakhs, making them unaffordable for many families without insurance.
This move by the government is expected to help families who rely on imported medicines that are often extremely expensive and less accessible in India.
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In the previous budget, the standard basic customs duty on these critical life-saving medicines typically ranged from 5 per cent to 10 per cent, with some categories having a high duty of up to 11 per cent.
"The exemption of Basic Customs Duty on 17 drugs and medicines used in cancer treatment, alongside the extension of import duty exemptions to drugs, medicines and Food for Special Medical Purposes for seven additional rare diseases, is one of the most impactful measures. This will provide much-needed financial relief to patients and their families and reduce high out-of-pocket expenses for long-term and lifesaving treatment," said Gautam Khanna, CEO, P.D. Hinduja Hospital & Medical Research Centre, Mumbai.
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"These initiatives and critical announcements will help lay a strong foundation to improve access, affordability, and build a skilled workforce. Strengthening trauma care infrastructure by establishing Emergency and Trauma Care Centres across district hospitals and increasing existing capacities is a welcome move; however, it would have been more encouraging for further infrastructure development by providing simplified access to long-term financing in smaller towns and rural areas beyond the major urban areas. It will also be exciting to see how the healthcare workforce skilling programs integrate digital healthcare modalities for enhanced access to affordable and quality healthcare services," he added.
Dr Azad Moopen, Founder & Chairman, Aster DM Healthcare said that the Budget presents a "thoughtful blueprint for the future of healthcare - one that integrates innovation, quality and global impact." The exemption of basic customs duty on select cancer drugs is a meaningful step that will improve access to life-saving treatments for patients, he added.
"The Budget also reimagines healthcare as a powerful engine of employment, with a strong emphasis on building a future-ready workforce across allied health, geriatric and specialised care. Investments in structured skilling, alongside the creation of a large-scale caregiver ecosystem and AI-enabled training pathways, will not only support an ageing population but also generate sustainable healthcare jobs over the long term. Together with the push for medical hubs, medical value tourism alongside mental and digital health, these measures position India as a globally trusted and resilient healthcare destination," said Moopen.