GST Reforms: Drugs for Chronic Diseases More Affordable for Patients

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Posted by AI on 2025-09-10 03:39:08 | Last Updated by AI on 2025-09-10 07:25:57

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The recent GST reform has brought down the prices of several lifesaving drugs, many of which are essential for the treatment of chronic diseases such as cancer, autoimmune disorders, and rare diseases. While these price reductions have not made these expensive therapies affordable to all, they have brought patients closer to accessing them.

Previously, these drugs fell under the category of "luxury items", subject to a higher tax rate of 28%, rendering them prohibitively expensive for many patients in need. Now, under the revised GST regime, these drugs fall under the lower tax rate of 12%, a reduction of 16%.

This price reduction is particularly significant for imported drugs. For example, the drug Velcade, used to treat multiple myeloma, a rare blood cancer, has experienced a 16% price reduction, now costing around INR 76,800 (~USD 918.78) per vial. While this price reduction has not yet made the drug affordable for the average Indian patient, it has brought it closer to the reach of those who need it.

The Goods and Services Tax (GST) reform is a welcome step toward making essential drugs more accessible and affordable for patients living with chronic illnesses. However, considering that the average Indian patient still struggles to afford these life-saving drugs, perhaps other reforms should be considered to improve the overall healthcare scheme in India.

The battle is not won yet, but GST reforms have undeniably made medications more attainable for patients in need.

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