Budget 2026: Duty Waiver on Cancer Drugs, New NIMHANS & Schemes for Divyangjan

Finance Minister Nirmala Sitharaman announced a customs duty waiver on 17 drugs for cancer and seven for rare diseases to lower treatment costs. The budget also includes plans to establish a second National Institute of Mental Health and Neurosciences (NIMHANS-2) in North India to address regional shortages in mental healthcare. Two new schemes, Divyangjan Kaushal Yojana and Divyang Sahara Yojana, were introduced to provide skill training and scale up production of assistive devices for persons with disabilities. Additionally, the government aims to increase emergency and trauma care capacity in district hospitals by 50 percent.

Key Points: Budget 2026: Customs Duty Cut on Cancer Drugs, NIMHANS-2 Announced

  • Customs duty waived on 17 cancer drugs
  • NIMHANS-2 to be built in North India
  • New schemes for Divyangjan livelihoods
  • 50% capacity boost for district hospital trauma care
  • Duty exemption for 7 more rare disease drugs
2 min read

Budget 2026: Govt waives custom duty on cancer and rare diseases drugs, to build NIMHANS-2

FM Nirmala Sitharaman waives customs duty on 17 cancer drugs, 7 for rare diseases, announces NIMHANS-2 in North India, and new schemes for Divyangjan.

"Basic customs duty on 17 drugs and medicines will be exempt to help reduce treatment costs. - Nirmala Sitharaman"

New Delhi, Feb 1

The Government on Sunday proposed to waive customs duty on 17 drugs for cancer, seven for rare diseases, as well as to build a second National Institute of Mental Health and Neurosciences in North India to boost mental healthcare in the country.

Presenting the ninth Union Budget 2026 in the Parliament, Union Minister Nirmala Sitharaman announced relief for cancer and rare disease patients.

"Basic customs duty on 17 drugs and medicines will be exempt to help reduce treatment costs," the Finance Minister said.

"In addition, seven more rare diseases will be brought under duty exemptions for personal imports of drugs, medicines and foods for special medical needs used in cancer care, expanding financial support for patients requiring specialised therapies," she added.

Sitharaman also emphasised the Centre's support for mental health issues and proposed to set up a NIMHANS 2 in North India.

NIMHANS, based only in Bengaluru as of now, is India's only leading centre for psychiatric care and neuroscience research.

Since its establishment, it has played a central role in shaping mental‑health education, advancing research, and providing specialised treatment across the country.

In addition, the government will also work on upgrading the National Mental Health Institutes in Ranchi and Tezpur.

"This decision was driven by the shortage of dedicated mental‑health facilities across North India," Sitharaman said.

Further, the Finance Minister also proposed to strengthen and increase capacities by 50 per cent in district hospitals by establishing emergency and trauma care centres.

This will help "empower the vulnerable to access mental health and trauma care" in rural areas.

The government also proposed two schemes to empower Divyangjan with dignified livelihood opportunities -- Divyangjan Kaushal Yojana and Divyang Sahara Yojana.

Divyangjan Kaushal Yojana aims to "ensure dignified livelihood opportunities through industry-relevant and customised training specific to each divyang group," Sitharaman said.

Divyang Sahara Yojana aims to "support the Artificial Limbs Manufacturing Corporation of India (ALIMCO) to scale up production of assistive devices, invest in R&D and AI integration".

It will also strengthen PM Divyasha Kendras and support the setting up of Assistive Technology Marts as modern retail-style centres, the FM said.

- IANS

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Reader Comments

A
Aman W
NIMHANS-2 in North India is a fantastic announcement. Mental health services are severely lacking there. But the key will be execution - we need to ensure it's built with adequate staff and resources, not just as a showpiece project.
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Rohit P
Good move on the drugs. But what about making these medicines available under Ayushman Bharat or CGHS? Duty waiver is one thing, ensuring affordable and easy access in government hospitals is another. The government needs to work on the entire supply chain.
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Sarah B
The focus on mental health in this budget is commendable. Upgrading institutes in Ranchi and Tezpur and building capacity in district hospitals can be a game-changer for rural access. Mental health should be treated with the same urgency as physical health.
K
Karthik V
Divyangjan Kaushal Yojana and Sahara Yojana sound promising. Skill development and access to assistive devices are critical for true inclusion. Hope the implementation is effective and reaches the grassroots. Jai Hind!
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Nikhil C
While the intent is good, I'm cautiously optimistic. We've seen many schemes announced in budgets that take years to materialize. The trauma care centres in district hospitals is a great idea, but will the states have the funds and will to implement it? The centre-state coordination is key.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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