Budget expectations: Informa Markets

“The Union Budget 20- 23 should look at strengthening the system of the Pharma industry, with more focus on capital outlay. It should emphasise measures to facilitate the ease of doing business and contribute to the Pharma industry’s long-term growth. To achieve the vision of reaching $120 bn -$130 bn by 2030, the budget should outline supportive policies, simplified regulations, and simple GST norms to aid in the development of the pharmaceutical industry. There is also the need to look at Tax breaks and incentivising innovation, which would further help fast-track the industry and fuel the growth of neglected areas of innovation and R&D. The budget can look at allowing CSR funds to flow into blended finance for telemedicine and e-health to improve affordability and push the UHI across all the public and private medical establishments. Government can also rationalise the duty structure by reducing high customs duty to 2.5% on medical devices to ensure patient affordability and easy access to quality medical devices. Public-Private Partnerships (PPP)s are the way forward for creating a more sustainable healthcare system. While last year, the government recognised the importance of production-linked incentives (PLI) for the Active Pharma Ingredient (API) industry, this year’s Union Budget should review it yearly to encourage self-reliance in raw material production and make manufacturing more competitive.”

The author is Yogesh Mudras, MD, Informa Markets.

MB Bureau