Multinational companies (MNCs) have urged the Indian government to ease customs duties on imported medical devices used in critical care, stating that high levies increase the cost burden on healthcare.

The Technology Association of India (TMAI), representing the medical technology industry, has asked the government to rationalise customs duties in the upcoming Union Budget for FY2026–27. According to the industry body, current tax levels directly impact the cost of critical care and treatment, as Basic Customs Duty, Health Cess, surcharge, and GST together raise the landed cost of medical devices by up to 30% in some segments.

MNCs argue that with rising input costs due to global supply-chain disruptions, calibrated duty reductions are no longer a concession but a public health imperative to ensure affordability.

In India, medical devices are subject to 12% GST, and inputs used for producing finished devices are taxed at 18% under the rationalised GST framework. Meanwhile, imported devices attract customs duties ranging between 7.5% and 10%, depending on the product category and country of export.

The industry also noted that nearly 70% of medical technology demand in India is met through imports, with multinational players heavily dependent on imported devices to meet healthcare needs.

ET Healthworld