The Finance Minister also announced that seven additional rare diseases will be added to the list eligible for import duty exemption on drugs
Digital Desk: The Union Budget 2026–27, announced a major healthcare push, with significant relief for cancer patients through the exemption of basic customs duty on 17 cancer-related drugs and medicines. Presenting the Budget in Parliament, Finance Minister Nirmala Sitharaman said the move aims to make life-saving treatments more affordable and reduce the financial burden on patients, particularly those from vulnerable sections.
The Finance Minister also announced that seven additional rare diseases will be added to the list eligible for import duty exemption on drugs, medicines and food for special medical purposes imported for personal use. The measure is expected to improve access to expensive therapies for patients suffering from rare and critical conditions.
Alongside the relief on cancer drugs, Sitharaman unveiled a major initiative to strengthen mental healthcare infrastructure. She announced the setting up of NIMHANS 2.0, a national-level mental health institute in North India, addressing the absence of such a facility in the region. Existing National Mental Health Institutes in Ranchi and Tezpur will also be upgraded as regional apex centres to enhance trauma care and psychiatric services.
To strengthen emergency response systems, the Budget proposes a 50 per cent expansion of emergency and trauma care facilities in district hospitals across the country. The Finance Minister noted that sudden medical emergencies often place severe financial strain on poor households, making the expansion critical.
In another key announcement, Sitharaman said the Centre has accepted the 16th Finance Commission’s recommendation to retain the states’ share in central taxes at 41 per cent, with an allocation of ₹1.4 lakh crore proposed for states in 2026–27.
The Budget also laid emphasis on traditional medicine. The government proposed setting up three new All India Institutes of Ayurveda to meet growing global demand. Upgradation of AYUSH pharmacies, drug testing laboratories, and the WHO Global Centre for Traditional Medicine in Jamnagar was also announced to strengthen quality standards and skilled manpower in the sector.