Health And Biopharma Take Centre Stage In Union Budget 2026 With ₹10,000 Crore Push 

Delhi, February 1, 2026: Healthcare and biopharmaceuticals emerged as key focus areas in the Union Budget 2026-27. This was done with Finance Minister Nirmala Sitharaman announcing a multi-year policy push aimed at strengthening India’s research, manufacturing, and clinical ecosystems. Beyond recognizing health as a social priority, the Budget categorises it as a strategic driver of long-term economic growth.

₹10,000 Crore Biopharma Initiative Anchors Budget Measures

The announcements highlight a ₹10,000-crore biopharma plan over five years. This is done to enhance research, innovation, and domestic manufacturing in biotechnology and pharmaceuticals, and the project intends to improve India’s expertise in biologics and biosimilars which are becoming increasingly significant in both domestic healthcare and global supply chains.The government’s strategy combines production, research, and clinical expertise, which aligns with the goal of lowering reliance on imported high-value pharmaceuticals while increasing access to novel treatments within the country.

Focus On Education, Research and Clinical Capacity

The Budget outlines ways to enhance the facilities for pharmaceutical training and education. Plans call for both the creation of new national-level pharmaceutical education institutions and the refurbishment of existing ones, and this would be done to enhance advanced research capacity, clinical exposure, and industry partnership.Additionally, a statewide network of licensed clinical facilities has been proposed to bridge the gaps in translational research and practical training. This would assist in creating a skilled workforce that can adapt to the shifting needs of the sector.

Ayurveda And Traditional Medicine Get Fresh Emphasis

Along with biopharma, the budget increases financing for traditional medicine. The Finance Minister announced the establishment of three new All India Institutes of Ayurveda. She also highlighted the improvements to AYUSH pharmacies and testing facilities, and the expansion of the WHO Global Traditional Medicine Centre in Jamnagar.These efforts are intended to address the expanding global demand for traditional and alternative medicine. This would be done alongside improving quality standards, qualified manpower, and institutional capacity in the industry. Healthcare allocations under the Department of Health and Family Welfare and the Department of Health Research have shown a gradual rise in recent years. Combined allocations increased from ₹80,694 crore in FY21 to ₹84,471 crore in FY22, before moderating to ₹75,731 crore in FY23. By tying healthcare spending to industrial capacity, innovation, and job creation, the most recent budget expands on this foundation.

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