Published on February 7, 2017
The Union Budget has mentioned certain budget proposals, however, has failed to specifically deal with impending challenges directly affecting the key industry, said by market players of Pharma sector. However,
This year the move to eradicate certain NCDs, the proposal to set up two new AIIMS, additional post-graduate medical seats, proposed amendments in the Drugs and Cosmetics Rules and new rules for medical devices are welcome.
The Pharma Sector had great expectations from the Budget not only from a fiscal incentive perspective but also from a regulatory angle. Expectations were based on the Government's vision of making India one of the top three pharmaceutical markets by 2020, As per report.
Pharma industry was growing at an over 12 per cent per annum rate and it will get a further boost in the GST regime. Moreover, the government has come out with several schemes to provide drugs and medical devices at affordable rates.
Market analysts have said that overall, the Union Budget is a step in the right direction the biggest-ever allocation to the infra sector which would benefit all sectors, including the fast- growing pharmaceuticals. In order to stay competitive in the overseas market and given the uncertain global climate, special incentives would be given to innovation in the form of weighted deduction on R&D.