The government has asked companies to reduce prices of three anti-cancer drugs to pass on the benefits of customs duty exemption and GST cut to consumers. In line with the government’s commitment to ensure availability of drugs at affordable prices, the National Pharmaceutical Pricing Authority (NPPA) has issued an office memorandum directing concerned manufacturers to reduce the MRP of three anti-cancer drugs, Trastuzumab, Osimertinib and Durvalumab.
This comes in compliance with the announcement of customs duty exemption for these three anti-cancer drugs in the Union Budget 2024-25, the Ministry of Chemicals and Fertilizers said in a statement. The Revenue Department of the Ministry of Finance issued a notification on July 23 this year reducing customs duty on three medicines to zero. “Accordingly, the selling price of these medicines in the market should be reduced and the benefit of the tax reduction should be passed on to consumers,” the ministry said. Therefore, the NPPA has ordered all manufacturers of the above-mentioned drugs to reduce their MRP.
The ministry said manufacturers will have to issue a price list or supplementary price list indicating the changes to distributors, state drug controllers and the government and submit information on price changes to the NPPA. Presenting the Union Budget for 2024-25 in the Lok Sabha, Finance Minister Nirmala Sitharaman proposed to reduce customs duty on trastuzumab, osimertinib and durvalumab from 10 per cent to zero.
