PMA demands government to withdraw proposal of imposing 17% GST

KARACHI: Pakistan Medical Association (PMA) showed concern over the federal government’s major proposal in mini-budget to slap 17 per cent general sales tax (GST) on raw materials for pharmaceutical products for Rs45 billion revenues. This imposition of 17 per cent GST on raw materials would cause the price hike of medicine which was already very costly and is out of the reach of the impoverished people of the country, and even the middle class of society feels burdened.  

As per the PMA, this move would make it difficult for poor people to get treatment for their sick family members. They strongly opposed this proposal. PMA further articulated that, unfortunately, the present government had already amplified the drug prices eleven times during its tenure. In such conditions, when health facilities were scarce at public hospitals, this increment of medicine prices would add to the misery of the people.  

PMA had been demanding for the last many years to expand the health budget up to the 6% of the Gross Domestic Product (GDP) so that people could get treatment for their ailments. Although it is less, people had to spend money in state-owned hospitals. PMA suggested the government to make public health facilities accessible in 2022 so that nobody dies without proper treatment.  

According to the reports published in a media section, the government would impose 17 per cent GST on food items, including infants’ milk, in the upcoming mini-budget. These food items are essential for a balanced diet; increasing the price of food items would increase the burden of diseases and increase malnutrition and stunting. 

PMA demanded that the federal government review its decision and withdraw the proposal of imposing 17 per cent GST on food items and raw materials for pharmaceutical products to impede the further increase of drug prices. They further asked the government to ease the difficulties of the poor people who already suffer from inflation and a dire economic situation.