Budget 2026 Boosts Affordable Healthcare and Biopharma Access

Dr Dharminder Nagar,Co-Chair, FICCI Health and Services and MD, Paras Health

The Union Budget brings reassurance for patients and families at a time when healthcare costs are rising and lifestyle-related illnesses are becoming more common, especially in Tier 2 and Tier 3 cities where access to specialised care remains limited. The focus on strengthening the biopharma ecosystem is particularly timely, as conditions such as cancer, diabetes, and autoimmune disorders often require long-term and advanced treatment. By encouraging domestic manufacturing of biologics and biosimilars, the Budget supports better availability and affordability of these therapies, enabling hospitals to deliver advanced care closer to patients’ homes.

Building on this, the Budget proposes exemption from basic customs duty on 17 lifesaving drugs and medicines, including key cancer therapies, and adds seven rare diseases for exemption on personal imports of drugs, medicines, and specialized foods. This move will provide tangible financial relief to families managing serious and chronic illnesses, especially in smaller cities where treatment often involves travel and additional expenses. By reducing the cost burden, patients can access care more consistently without compromising on quality.

In parallel, the plan to expand the allied health workforce over the coming years will strengthen hospitals’ ability to provide comprehensive care. Improved access to trained professionals across diagnostics, critical care, and mental health services will help ensure consistent quality of care and better patient outcomes.

The proposal to develop regional medical tourism hubs in partnership with the private sector reflects a long-term vision for equitable healthcare development beyond metro cities. This initiative not only raises care standards but also broadens access to quality and affordable treatment for both domestic and international patients.

Together, these measures mark a significant step toward a healthcare system that is more accessible, affordable, and responsive to patient needs across regions, while providing meaningful relief to those battling cancer and rare diseases.

Arushi Jain, Director of Akums Drugs & Pharmaceuticals Ltd.

We see the Union Budget 2026 as a very encouraging step for the future of healthcare and biopharma in India. It creates the kind of stable, long-term ecosystem the industry needs to plan boldly and invest with confidence. With the Rs 10,000 crore Biopharma Shakti programme, stronger research, expanded clinical trial networks, and more robust regulatory systems, the budget clearly puts innovation and quality manufacturing at the heart of the national agenda. For Akums, this gives us the confidence to deepen our R&D pipeline, scale up world-class capabilities and bring advanced therapies to patients more quickly and affordably.

We also welcome the emphasis on traditional medicine with the proposal to set up three new All India Institutes of Ayurveda, alongside upgrades to AYUSH pharmacies and drug testing labs, which will strengthen certification standards and make Ayurveda more accessible across the country. When combined with wider clinical trial access beyond major cities, increased number of skilled allied health care professionals and patient-friendly measures like duty exemptions on critical and rare disease medicines, these steps help build a stronger, diversified and more resilient and integrated healthcare ecosystem. Over time, they can support stronger global partnerships, improve access and affordability for patients, and position India as a trusted global hub for integrated healthcare solutions.