Finance Minister Nirmala Sitharaman announced significant changes to medicine tariffs in the Union Budget 2025, impacting pharma stocks. The budget includes exemptions from basic customs duty (BCD) for 36 essential drugs and reduced duty rates for six life-saving drugs. This move aims to make critical medications more affordable and accessible, benefiting cancer patients and reducing treatment costs.
Pharma stocks showed mixed reactions. Companies like Sun Pharma, Mankind Pharma, Ajanta Pharma, Divi’s Labs, and Biocon saw positive trends, climbing up to 2%. Conversely, major players such as Cipla, Dr. Reddy’s Labs, Zydus Life, and Lupin experienced declines, falling by 1-2%.
The budget also allocated Rs 98,311 crore for healthcare, focusing on medical infrastructure, health insurance, and pharmaceutical advancements. This increased funding is expected to boost domestic drug manufacturing and reduce import dependency.
