3 Anticancer Drugs Become Cheaper As Makers Reduce MRP

In a move to make anticancer drugs more affordable, manufacturers have started reducing the maximum retail price (MRP) on three key medications—Trastuzumab Deruxtecan, Osimertinib, and Durvalumab—following government directives. Union Minister of State for Chemicals and Fertilisers, Anupriya Patel, informed the Lok Sabha on Friday that the government had issued notifications to lower the basic customs duty (BCD) to zero on these drugs and cut the Goods and Services Tax (GST) rate from 12 per cent to 5 per cent.

Patel explained that, in compliance with these notifications, manufacturers have reduced the MRP on these drugs and submitted the updated pricing information to the National Pharmaceutical Pricing Authority (NPPA). The NPPA had previously issued a memorandum instructing companies to adjust prices to reflect the reduction in taxes and duties, ensuring that consumers benefit from the lowered costs.

For instance, AstraZeneca Pharma India Ltd has revised the MRP per vial on several formulations. "As informed by the company vide letter dated 19.11.2024, downward revision on account of BCD becoming nil shall be implemented when the stocks benefitting from BCD relief are released for commercial sales in the market," stated the Ministry of Chemicals and Fertilisers.

The government's budget decision to exempt customs duty on these three anticancer drugs aims to alleviate the financial burden on cancer patients and improve access to treatment. The reduced GST rate and customs duty exemption apply to Trastuzumab Deruxtecan, used for breast cancer; Osimertinib, used for lung cancer; and Durvalumab, which is used for both lung cancer and biliary tract cancer.

Cancer cases are rising significantly in India, with a recent Lancet study reporting approximately 12 lakh new cancer cases and 9.3 lakh deaths in 2019, making India the second-highest contributor to the disease burden in Asia.

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