The pharmaceutical industry is again stressing on a cut in the excise duty on pharmaceutical products, which would be the best possible option to curb the prices of drugs in the markets

Confederation of Indian Pharmaceutical Industry (CIPI) and Indian Drug Manufacturers’ Association (IDMA) have sent detailed pre-budget memoranda to the Finance Minister and have requested reduction of excise duty from the current 16 per cent to 8 per cent.

CIPI has also suggested slashing of interest rate to 5 per cent from the existing 12 percent on the soft loans for the purpose of implementing Schedule M.

The IDMA also has argued for the lowering of excise duty on all allopathic as well as ayurvedic drugs. It also sought an increase in the existing abatement of 42.5 percent to at least 55 percent.  They have also voiced for excise duty exemption to physicians samples upto 4 percent of sales value as earlier.

The industry, especially the small scale sector, has been demanding a positive approach from the Government by reducing the present excise duty so that the benefits could be directly passed on to the consumers with lower prices on the drugs.