India’s GST Rate on Medical Devices Cut to 5%

The Indian government has reduced the Goods & Services Tax (GST) on a wide range of medical devices to 5% effective from 22 September 2025.

As a physician, this move signals both opportunity and responsibility:

• Patient affordability improves – With lower tax, devices such as diagnostics kits, monitors or consumables may cost less. This can improve access for patients especially in smaller clinics or rural settings.

• Clinic procurement benefits – The cost of equipping a clinic or hospital with new devices may reduce, allowing us to invest in better or more devices with the same budget.

• Quality vigilance needed – Cheaper cost is positive, but we must keep insisting on high‐quality devices. Lower tax doesn’t mean lower standards. We should still check certifications, vendor credibility, post‐market data.

• Opportunity to upgrade – If budgets free up via the tax cut, we might pilot newer device models, upgrade existing equipment sooner, or adopt better monitoring tools which directly benefit patient outcomes.