Budget 2026-27: Customs duty removed for 17 imported cancer meds; relief for rare diseases drugs

Bringing immediate relief to patients with cancer and rare diseases, Union Budget 2026-27 proposed a full exemption of basic customs duty on 17 cancer-related drugs and medicines. In addition, seven more rare diseases will be added to the list eligible for import duty exemption on drugs, medicines and food for special medical purposes imported for personal use.

The Union Finance Minister Nirmala Sitharaman on Sunday (February 1, 2026) also proposed a ₹10,000 crore investment in the biopharma sector over the next five years, a move which would give a boost to the country’s pharmaceuticals industry. Biopharmaceuticals, or biologics, are complex medicines manufactured from living organisms, cells, or tissues rather than through chemical synthesis.

List of 17 cancer drugs exempted from customs duty

Name of drug
1.      Ribociclib
2.      Abemaciclib
3.      Talycabtagene autoleucel
4.      Tremelimumab
5.      Venetoclax
6.      Ceritinib
7.      Brigatinib
8.      Darolutamide
9.      Toripalimab
10.   Serplulimab
11.   Tislelizumab
12.   Inotuzumab ozogamicin
13.   Ponatinib
14.   Ibrutinib
15.   Dabrafenib
16.   Trametinib
17.   Ipilimumab

She also proposed interventions in six areas, including manufacturing, strategic and frontier sectors, healthcare, and advanced technology.

Other major highlights of the budget for the health sector include the setting up of three new National Institutes of Pharmaceutical Education and Research and upgrading the existing seven, creation of a nationwide network of 1,000 accredited clinical trial sites that will accelerate research and product development and strengthening and upgradation of the drug regulatory system to meet global standards and faster approval timelines for drugs.

Overall health spending saw only modest growth with the Health Ministry being allocated ₹1.05 lakh crore for FY 2026-27, just over six percent higher than the previous year and roughly nine percent more than the revised estimates. Major schemes including Ayushman Bharat PM-JAY received ₹9,500 crore, only marginally above last year’s allocation. A ₹100 crore provision was made for training allied healthcare professionals, alongside a push to expand care delivery beyond hospitals, particularly for geriatric services.

“A strong care ecosystem, covering geriatric and allied care services will be built,” Finance Minister Nirmala Sitharaman said while presenting the Union Budget in the Parliament on Sunday (February 1, 2026). She announced that National Skills Qualifications Framework (NSQF)-aligned programmes would be rolled out to train multi-skilled caregivers combining core care skills with allied capabilities such as wellness, yoga, and the operation of medical and assistive devices. “In the coming year, 1.5 lakh caregivers will be trained,” she said.

The Budget also proposed a significant scale-up of allied health professionals, a segment seen as critical to easing pressure on doctors and hospitals. “Existing institutions for Allied Health Professionals (AHPs) will be upgraded and new AHP Institutions established in private and government sectors,” the Finance Minister said, adding that the initiative will span 10 disciplines, including optometry, radiology, anaesthesia, OT technology and applied psychology and behavioural health, and is expected to add 1 lakh AHPs over the next five years.

Source from: https://www.thehindu.com/business/budget/budget-2026-cancer-drugs-custom-duties/article70577841.ece

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