Budget 2022 Expectations: Healthcare firms demand reduction in GST, import duty; Ease of FDI rules

New Delhi: Finance Minister Nirmala Sitharaman is all set to present the 2022 budget on February 1. With just a few days left for the presentation of the budget, experts from several industries have put forward their requests. As far as healthcare is concerned, founders and experts of healthcare companies have been demanding simplification of Foreign Direct Investment (FDI) norms as well as reduction in GST and import duty.

Amit Sharma, Founder and CEO, eExpedise Healthcare, said, “This year’s budget is significant and we expect the government to have concrete policies, frameworks and investments for affordable and accessible healthcare. One way the government does this is by investing in health care products. Lower GST services by placing life-saving drugs in the lowest GST bracket and having a “zero-rating” of GST for healthcare services.

“The government should work on the private public partnership (PPP) model for better infrastructure, research and innovation to make quality healthcare affordable and accessible to the masses. We are also looking forward to more investment and planning on the National Digital Health Mission (NDHM). Targeted incentives and tax holidays should be given to healthcare and allied sectors to make India a major destination,” Sharma said.

Meanwhile, Anika Parashar, Founder and CEO, The Woman Company, said, “The Union Budget should focus on women’s welfare – especially menstrual hygiene. We already have tax exemption on sanitary pads, however, manufacturing it. and production can be scaled up. Further lowering of import duty for raw materials could bridge the gap between supply and demand and also encourage more Indian manufacturers to start manufacturing biodegradable pads in the country ”

“There should be policy level incentives for Made in India products, women-run start-ups and ventures focusing on sustainability and solutions for women’s issues. The government should promote the use of biodegradable menstrual products to reduce the waste produced by plastic products – a figure that currently stands at 12.3 billion annually. We also expect the government to improve digital infrastructure in Tier II, III cities and rural areas so that the next set of consumers can enter the D2C ecosystem.”

Also, functional nutritionist Mugdha Pradhan, CEO and Founder, iThrive said, “The FDI investment process should be simplified, and compliance related to taxation should be kept to a minimum.” Read also: Moved to a new house? Here’s how to change the address on your Voter ID card online

“Since the medical industry does not pay GST and wellness is a part of it, the rate of GST for wellness services should be 5% instead of the existing 18%. In terms of GST, the wellness industry should be at par with the business industry,” Pradhan said. Read also: Phone memory full? Here’s how to make more space

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