Budget 2022 has many offerings for Pharma industry. India will spend an estimated 2.23 lakh crore on public health expenditure for the financial year 2021-2022. This is an increase of 137 per cent against budgeted expenditure from the previous year. While the government has increased overall budget expenditure for healthcare and pharma industry, industry people have many insights to share on what they think about the budget 2022. 

Following are the comments on Budget 2022 from Pharma industry experts: 

Rahul Tikoo, MD, Indian Subcontinent, Huntsman International: 

Today’s macro budget announced by our honorable Union Finance Minister Shrimati Nirmala Sitharaman is progressive in nature with technology enablers across key contributory sectors. She laid down a robust path to fast-track India towards a centenary of equality, entrepreneurial drive, and economic upliftment- with an aspiration of sharp rebound in the Indian economy at 9.2 percent. Overall, the blueprint to India@100 gives a fillip to an upward growth aspiration of this nation. A capital expenditure allocation of a massive Rs7.5 lakh crore towards digitization of the economy is a clear message to the world that New India’ inclusive and differentiated growth will lead to creation of opportunities for millions of youths, women and farmers. It also seeks a smooth transition in the country’s energy needs and commitments on climate change.

The introduction of digital rupee by using block chain technology, focus on 5G, drone technology, clean energy are all enablers to build a sustainable, digital, and inclusive India. A major push to free televised education through digital university under One Class-One Channel scheme is a welcome move to facilitate education for millions of students across rural India.  The announcement of PM Gati Shakti program for digital multimodal connectivity will aid in creation of an agile supply chain and reduced travel time for movement of goods. This initiative along with high focus on infrastructure will help in making India competitive. One station one product concept is well thought and has a potential to be popularised to support local businesses and supply chains. Smart Infrastructure spending creates a multiplier effect on the long term sustainable economic growth.

Removal of exemptions on customs levy on certain chemicals and textiles that can be manufactured in India and provision of concessional duties on raw material that are used in manufacturing of intermediate products will boost the objective of Make in India and Atmanirbhar Bharat.

In summary, Budget 2022 has laid a strong foundation for sustainable growth through focus on clear prioritization of public spending, infrastructure development, digital economy, improved logistics- hence, making India a competitive manufacturing destination for the World.

Yogesh Mudras, Managing Director, Informa Markets in India

This year, the Union Budget has been one of recovery and stabilization from the impact of COVID-19. The Budget has taken some initiatives for MSMEs and India Inc for start-ups. The extension of ECLGS scheme is a welcome move for MSMEs. The tax concession period has been extended by one more year, which in my opinion is a very positive move. A tax rate of 15% has been decided for the newly incorporated manufacturing unit which will further boost manufacturing activities. Healthcare and infrastructure were the main highlights of Budget 2022 and immense investment has been allocated for the expansion of roadways and logistics networks. Introduction of ‘Digital Rupee’ using blockchain technology sends a strong message that India is at the forefront of technology implementation. A digital currency issuance by the RBI will result in a structured approach with controlled regulation and bring in transparency to transactions enabling accounting of all money. The push on digitization will make way for more inclusion in the ecosystem. The focus on 'Ease of doing business' is a great step, as it will further promote entrepreneurship in the economy. India is to grow at 9.27%, the highest among all large economies. With a focus on contributing to the environment, chemical-free natural farming focusing on soil, biodiversity and human well-being is a welcome move. The budget is growth-oriented with an impetus on capital expenditure to fuel economic growth and employment generation. SEZ Act to be replaced with the new legislation is a much-needed announcement. Introduction of the battery swapping policy and recognizing battery and energy as a service will help to develop charging infrastructure and increase the use of EVs in public transportation. This would motivate businesses to incorporate EVs into their fleet and create new avenues for companies to venture into the business of battery swapping. The formation of a strong charging infrastructure alongside the highways across the country would promote the use of EVs for interstate travel. An additional allocation of Rs 19,500 crore to boost manufacturing of solar modules under the government’s flagship PLI scheme has the potential to create 60 lakh new jobs, while producing 30 lakh crore jobs during next five years. International travel has been severely impacted during the pandemic. We are pleased with the introduction of e-passports as it will provide a boost to the travel industry and add convenience. Extension of ECLGS scheme with an additional allocation for the hospitality sector is a positive move as it would help small and mid-size hotels overcome liquidity issues and pave way for growth.

Pranav Bajaj Co-founder, Medulance

 Budget 2022 has surely come as a booster dose for the healthcare sector.

The new initiatives announced by the Finance Minister will help India recover from the damages to the healthcare infrastructure caused by the pandemic and strengthen it further. These initiatives, especially the open platform for the National Digital Health Ecosystem will also help  strengthen the healthcare sector of the nation at the core. The past few years have revolutionised the way mental health is being viewed, I am sure that the National Tele Mental Health program will receive a very warm welcome.The Tax breaks for setting up hospitals in tier 2 and tier 3 cities is highly appreciated, this break will encourage the boom in quality healthcare providers in these cities, along with the proposal for the PM Gati Shakti Master Plan will help connect the tier 2 and tier 3 cities and will ensure that the healthcare services are accessible to all regions equally. 

The increase in the GDP proportion for healthcare was much needed and is rightly implemented. All these announcements made today have come as a ray of hope for the healthcare sector. I am sure that the country is moving towards a stronger, more accessible and quality healthcare infrastructure.

Prabhdeep Singh, Founder and CEO StanPlus

"The upcoming launch of an open platform for the National Digital Health Ecosystem is exciting news for us. It will include digital registries of health providers and facilities, a unique health identity, and universal access to health facilities, all of which will aid us in saving lives by allowing us access to contextual health information in quick time, enabling faster and better medical response in emergencies.