The Central Drugs Standard Control Organization (CDSCO) has launched a 100-day awareness campaign to disseminate information about the recent reduction in Goods & Services Tax (GST) rates on medicines, pharmaceuticals, and medical devices, effective since September 22, 2025.
The campaign, mandated by the Drugs Controller General (India), targets the public, healthcare providers, and the entire industry supply chain to ensure the public benefits from the GST rationalization.
Key GST Reductions in Healthcare
The awareness campaign highlights specific benefits stemming from the GST rationalization:
The GST rate on many essential medicines was reduced from 12% to either 5% or NIL. This measure aims to significantly reduce the financial burden of managing chronic illnesses like diabetes, hypertension, and cancer.
The campaign prominently features the message that GST on selected life-saving cancer medicines has been removed (Tax-Free).
GST on Medical Devices & Equipments (including medical-grade oxygen and diagnostic kits) was reduced from 12% to 5%.
GST on spectacles, spectacle lenses, and contact lenses was reduced from 12% to 5%.
GST on services for the treatment or disposal of bio-medical waste and job-work in pharmaceutical manufacturing was also reduced from 12% to 5%.
Mandates for Stakeholders
The CDSCO has issued separate and specific instructions to different stakeholders to ensure the campaign’s success over the 100-day period:
1. CDSCO Zonal and Sub-Zonal Offices
- Direct Action: Display banners and posters in all CDSCO offices.
- State Coordination: Request state drugs authorities to appoint a nodal officer for campaign activities and ensure similar awareness actions (banners, posters) are taken in state offices.
- Industry Outreach: Encourage large companies in their jurisdiction to issue advertisements in local print and electronic media.
- Public Engagement: Participate in panel discussions in public forums on the issue.
2. State/UTs Licensing Authorities, Chemists and Druggists Associations (CDAs)
- Retail Visibility: Ensure manufacturers, wholesalers, and retailers (directly or through CDAs) display banners and posters in their premises and at all pharmacies.
- Reporting: Compile and forward pictures of actions taken to the CDSCO-HQ.
3. Pharma/MedTech and Cosmetic Industry Associations
- Mass Media: Encourage members to issue advertisements in print and electronic media.
- Public Display: Display banners and posters at manufacturing sites/offices and in public places.
- Social Media: Run sustained social media campaigns utilizing influencers and consistent posts.
- Engagement: Participate in relevant panel discussions.
4. Internet Pharmacy Associations
- Digital Banners: Encourage members to display banners on their websites regarding the GST reduction.
- Invoice Inclusion: Ensure the message regarding the GST reduction is printed on all invoices issued.
- Social Media: Run sustained social media campaigns and encourage delivery partners to participate in awareness actions.
All directed entities must ensure the continuation of the campaign for 100 days and compile pictures of actions taken for reporting to the CDSCO Headquarters.