Union Budget Announcements
Union Finance Minister Nirmala Sitharaman presented the Union Budget on Tuesday, announcing significant customs duty exemptions on three cancer drugs to make them more affordable for patients. The Indian Medical Association (IMA) President, Dr. RV Asokan, acknowledged these reductions but emphasized that the overall budget for health remains largely unchanged.
Key Highlights from the Budget
Sitharaman’s budget included customs duty exemptions on certain diagnostic components and three cancer drugs. These exemptions are seen as positive steps towards reducing the cost of essential healthcare. Additionally, there were import duty reductions on X-ray components, aimed at making diagnostic services more accessible and affordable.
Status Quo for Health Concerns
Dr. Asokan expressed that while these measures are beneficial, they do not significantly alter the broader landscape of healthcare funding. He stated, “This budget is status quo for health concerns, with only two silver linings: customs duty exemptions on diagnostics and cancer drugs.” He highlighted that despite the economy growing from USD 3.4 trillion to USD 4 trillion, the investment in health by the government has remained stagnant at 1.1 percent of GDP.
Investment in Health: A Stagnant Picture
Dr. Asokan pointed out that the total government investment in health is around four percent of GDP, equating to approximately 13 lakh crores. However, he noted that out of this 1.1 percent, one-third comes from the central government while the remaining two-thirds are provided by state governments. Given the inflation and the economy’s expansion, he argued that the health budget allocation has effectively decreased.
Unfulfilled Promises from Previous Budgets
The IMA President also criticized the lack of implementation of programs announced in previous budgets. He mentioned that initiatives such as the HPV vaccination and interventions for sickle cell disease have not been effectively rolled out in the field. This, he suggested, reflects a gap between policy announcements and actual execution.
WHO’s Perspective on the Budget
Dr. Roderico H Ofrin, the World Health Organization (WHO) Representative to India, offered a more positive outlook on the budget. He praised the customs duty exemptions on cancer drugs, describing them as commendable steps towards making life-saving treatments more affordable and accessible. Dr. Ofrin said, “The significant boost in fund allocation for health, including AYUSH, underscores the government’s commitment to health promotion, disease elimination, and strengthening public healthcare services.“
Image Source WHO
While the Union Budget presented by Finance Minister Nirmala Sitharaman includes notable customs duty exemptions on cancer drugs and diagnostic components, the overall health budget remains a point of contention. IMA President Dr. RV Asokan’s critique highlights the stagnant investment in health relative to GDP growth and the unfulfilled promises of previous health initiatives. Meanwhile, WHO’s Dr. Roderico H Ofrin recognizes the positive steps taken but emphasizes the need for continued focus on making healthcare more accessible and affordable.
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