New Delhi: Healthcare industry leaders have strongly welcomed the Union Government’s decision to rationalise GST rates on medicines, medical devices, diagnostics, nutrition products and insurance premiums, calling it a landmark step towards making healthcare more affordable and accessible.
The reforms, announced as part of a health-positive GST framework, are aimed at reducing treatment costs, promoting preventive healthcare, and expanding insurance coverage.
Ms. Ameera Shah, President, NATHEALTH and Promoter & Executive Chairperson, Metropolis Healthcare Ltd, said: “NATHEALTH welcomes the Government’s decision to reduce GST on diagnostic kits, reagents and a wide range of medical technology items from 12% to 5%. This reform is in line with NATHEALTH’s long-standing recommendations for a more enabling indirect tax framework in the healthcare sector, one that acknowledges the critical role of preventive health and supporting medical technology in strengthening healthcare delivery.
By easing costs and improving affordability, the measure will enhance access to quality healthcare services, support early disease detection, and bring greater consistency by standardising GST rates across preventive, curative and rehabilitative care.
We also welcome the reduction of GST slabs on retail health products such as health insurance, glucometers and corrective spectacles, which will make essential healthcare services and products more affordable for citizens. These progressive measures will go a long way in advancing the vision of a Swasth Bharat underpinning a Samriddh Bharat.”
Mr. Sudarshan Jain, Secretary General, Indian Pharmaceutical Alliance, noted:
“The Indian Pharmaceutical Alliance welcomes the Government’s decision to exempt life-saving and cancer medicines from GST, a step that will bring direct relief to patients and their families. Equally, the reduction in GST on a wide range of medicines from 12% to 5% will help ease the overall treatment burden and make essential therapies more affordable.
These reforms will improve the accessibility of medicines, ensure wider availability across healthcare settings, and contribute positively to the Government’s vision of affordable healthcare for all. The pharmaceutical industry remains committed to working alongside policymakers to further enhance patient access and advance India’s healthcare outcomes.”
Mr. Himanshu Baid, Managing Director, Poly Medicure Ltd, said: “We welcome the Government’s landmark decision to reduce GST from 12% to 5% on a wide range of medical products, including diagnostic kits, reagents, surgical apparatus and other critical Medtech products. This progressive reform will directly benefit patients by lowering treatment costs, improving affordability, and expanding access to essential medical technologies. It is a transformative step that will strengthen India’s healthcare system and advance the vision of affordable healthcare for all.”
Industry experts underlined that the reforms would ease the burden on patients, encourage preventive healthcare, and support India’s mission of Affordable Healthcare for All.
