The central government will facilitate the establishment of day-care cancer centers in all district hospitals over the next three years with 200 of these set to be established in 2025-26, Union Finance Minister Nirmala Sitharaman announced on Saturday while presenting the Union Budget 2025-26.
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In her record eighth budget, Sitharaman also revealed that 10,000 additional seats will be added in medical colleges and hospitals next year as part of the government’s goal to create 75,000 new seats over the next five years.
Healthcare experts welcomed these initiatives, emphasising their potential to enhance cancer care accessibility, affordability and medical education in the country.
Dr. D S Rana, Chairman of the Trust Board, Sir Ganga Ram Hospital highlighted the importance of broadband connectivity at the primary healthcare level, calling it “an excellent step in providing treatment and diagnosis to poor patients at their doorstep.” He praised the increase in medical seats and the establishment of cancer daycare centers at the primary healthcare level, calling it “a paradigm shift in cancer treatment for rural patients.”
Abhay Soi, Chairman and Managing Director, Max Healthcare Institute Limited, said, “The budget reinforces the nation’s journey towards realizing the vision of a Viksit Bharat by prioritizing key sectors such as agriculture, manufacturing, and healthcare. One of the key elements that empower people is quality, affordable, and accessible healthcare. The Budget reflects a strong commitment to strengthening India’s healthcare ecosystem, with commendable initiatives in medical education, cancer care, and access to life-saving medicines.
“The addition of 10,000 medical seats by next year, to reach 75,000 over the next five years, will help bridge the doctor-patient ratio, while the establishment of 200 cancer centers will significantly enhance oncology care across the country. The exemption of customs duty on critical drugs for cancer and rare diseases is a much-needed step to make advanced treatments more affordable. We also welcome the government’s emphasis on medical tourism through the ‘Heal in India’ initiative, which will position India as a global healthcare destination. Continued investments in healthcare infrastructure, innovation, and accessibility will be key to ensuring quality care for all and achieving a truly ‘Viksit Bharat’ in healthcare.”
Raj Gore, CEO, Healthcare Global Enterprises Limited & Lead, FICCI Cancer Task Force said “The 2025 budget presents a series of promising initiatives that will significantly impact cancer care in India. The full exemption of customs duty on 36 life-saving drugs, including cancer medications, is a key highlight. This will lower the cost of critical treatments, making them more accessible to a wider range of patients, and help address the financial burden that many families face when fighting cancer and other severe illnesses.
“The announcement of 200 daycare cancer centres in district hospitals by FY 2025-26 is another crucial step towards decentralizing cancer care. This initiative will help bridge the gap in accessibility, especially in rural and remote areas, ensuring that more patients receive timely diagnosis and treatment without the need to travel long distances. Additionally, the push for promoting medical tourism under the ‘Heal in India’ initiative is a strategic move to elevate India’s position as a global healthcare destination.
“The budget also promises 10,000 additional UG and PG medical education seats next year, with a goal of 75,000 new seats over the next five years. This expansion will help address the shortage of medical professionals and support the growing demand for specialized cancer care. These measures reflect a strong commitment to improving cancer care infrastructure, reducing treatment costs, and enhancing India’s global healthcare impact.”
Urvaksh Bhote, COO, Ruby Hall Clinic Pune, said that the Union Budget 2025 introduced major healthcare reforms which specifically focus on the cancer treatment system. District hospitals will establish daycare cancer centers during 2026 through which patients will gain better treatment accessibility while dispersing urban health care facilities, he added.
“A reduction in medical expenses occurs because of the new customs duty policy that exempts 36 essential life-saving drugs together with the lower pricing structure for an additional six drugs benefit patients who need help for rare medical conditions. The scheme incorporates 37 newly added essential medicines with 13 patient assistance programs to distribute needed drugs across the population. The benefits of these policies will properly reach those patients in greatest need depending on how efficiently the implementation works together with proper transparency standards,” he said.
Dr Bhote further said that these initiatives under the ‘Heal in India’ program supported by medical tourism development with the private sector will reinforce India’s position as a global healthcare leader. The international healthcare market competition power of India depends on investments that build both infrastructure and patient treatment experience, he added.
Dr. Mandeep Singh Malhotra, Director of Surgical Oncology at CK Birla Hospital, Delhi said “The Finance Minister’s proposal to establish daycare centers across India, either by upgrading civil hospitals or peripheral health centers to provide chemotherapy is a significant and commendable step. From my experience working with charitable organizations and helping develop a chemotherapy daycare center at a Gurdwara, I can confidently say that this will greatly benefit cancer patients across the country.
“Cancer statistics indicate that head and neck cancers, breast cancer, and gynecological cancers account for nearly 70% of the cancer burden in India. For the majority of these cases, first-line chemotherapy can be effectively administered at well-equipped daycare centers with proper training and support. However, patients with hematological malignancies, pediatric cancers or recurrent cancers require specialized facilities with advanced backup support. These cases should continue to be treated in dedicated cancer care centers. Overall, enabling daycare centers to administer first-line chemotherapy is a major step forward in expanding accessible cancer care.”
Dr. Shyam Aggarwal, Vice President, Indian Society of Medical and Pediatric Oncology said “Setting up daycare cancer centres at the district level is a welcome step. These centers will provide facilities for cancer chemotherapy, immunotherapy, and day care operations for a variety of cancers.”
Dr. Nilesh Rohtagi, Senior Director, Medical Oncology at Fortis Memorial Gurgaon said “This is a huge step towards creating a positive impact. If these centres are digitally linked and treatment guidelines are followed, outcomes will certainly improve.”
Finance Minister Nirmala Sitharaman on Saturday announced the removal of import duties on 12 critical minerals, lithium-ion batteries scrap, cobalt products, LED, zinc and 36 drugs for cancer and rare diseases.
Presenting the budget, Sitharaman also proposed not to levy more than one cess or surcharge.
She also proposed to exempt social welfare surcharge on 82 tariff lines that are subject to a cess.
