India budget for financial year 2011-12 neutral on Pharmaceuticals sector

One of the most awaited affairs of Indian parliament took place today. The Government of India presented the budget for 2011-12. Today the finance minister of India presented the budget in the Lok Sabha. There were lots of expectation from the Pharma sectors and companies like Khatore Pharmaceuticals (www.khatorepharma.com) that are engaged in Ayurvedic (alte
ative) medicine business. The budget hiked the allocations for health for the next financial year of 2011-12. The government continued to provide the push for better health care for the citizens and hiked the plan outlay for health by 20 percent. Alte
ative medicines also got a push in the budget with the government announcing the reduction in the import duties for certain inputs for the manufacture of alte
ative medicine.

The budget was especially good for the poor people and increased the allocations for “The Rashtriya Swasthya Bima Yojana” which will be now extended to MGNREGA beneficiaries, beedi workers and others. In 2011-12, the government further proposed to extend the scheme to cover unorganized sector workers in hazardous mining and associated industries like slate and slate pencil, dolomite, mica and asbestos etc.

The biggest relief for the industry and companies like Khatore Pharmaceuticals (www.khatorepharma.com) is that the budget did not hike the excise duty on drugs and did not roll back the stimulus package that were extended couple of years back, though there were some apprehensions in this regard. This will boost the sales of the small pharma companies and help them in these tough economic times when the prices of most of the things have increased.

India has a growing business of pharmaceuticals industry and it is the leader in Ayurvedic medicine and one of the leaders in the generics. There was more that the Government could have done for the industry and overall the budget was neutral for the industry.

Khatore Pharmaceuticals makes Ayurvedic medicines. The key product from Khatore Pharmaceuticals is Kamalahar which is very good for Ayurvedic treatment of liver disorders such as hepatitis, Jaundice, cirrhosis, fatty liver, etc.