India to waive basic customs duty on import of oxygen, related equipment and Covid vaccine for 3 months

Tribune News Service

New Delhi, April 24

Reeling under an acute medical oxygen supply crisis, India has decided to waive basic customs duty on import of oxygen and related equipment as also on Covid vaccines for three months.

Health cess on oxygen and oxygen equipment also stands exempted for three months.

The decision was taken at a high-level emergency meeting Prime Minister Narendra Modi chaired on Saturday as reports of critical patients dying for want of oxygen began to pour in from Delhi, Rajasthan and Punjab.

Supplies of oxygen through tankers has not been stabilised yet and hospitals in the national capital territory region are sustaining patients on meagre oxygen supplies moving from hour to hour.

Even AIIMS New Delhi began to report challenges on Saturday.

The Prime Minister chaired the meeting to review the steps taken to boost oxygen availability in the country saying there was an immediate need to augment the supply of medical-grade oxygen as well as equipment required for patient care both at home and in hospitals.

He asked all ministries and departments to work in synergy to increase availability of oxygen and medical supplies.

The PM was briefed that basic customs duty was exempted on remdesivir and its API recently.

The meeting decided that in order to augment the production and availability and to meet the rising demand of oxygen full exemption from Basic Customs Duty and health cess on import of a range of items be granted for three months.

The following items will be exempted from the customs duty: 

Medical-grade oxygen, oxygen concentrator along with flow meter, regulator, connectors and tubing;

Vacuum Pressure Swing Absorption (VPSA) and Pressure Swing Absorption (PSA) oxygen plants, Cryogenic Oxygen Air Separation Units (ASUs) producing liquid/gaseous oxygen, oxygen canister, oxygen filling systems, oxygen storage tanks, oxygen cylinders, including cryogenic cylinders and tanks, oxygen generators, containers for shipping oxygen, cryogenic road transport tanks for oxygen

Parts of the above to be used for the manufacture of equipment for production, transportation, distribution or storage of Oxygen, any

device from which Oxygen can be generated;

Ventilators (capable of functioning as high-flow devices) with nasal canula; compressors, including all accessories and tubing; humidifiers and viral filters, high-flow nasal canula device with all attachments, helmets for use with non-invasive ventilation, non- invasive ventilation or nasal masks for ICU ventilators, non-invasive ventilation, nasal masks for ICU ventilators.

“It was also decided that Basic Customs Duty on import of Covid vaccines also be exempted with immediate effect for a period of three months,” a PMO statement said.

The decision will boost availability of these items as well as make them cheaper.

The PM directed the Revenue Department to ensure seamless and quick custom clearance of such equipment.

The Department of Revenue has nominated Gaurav Masaldan, Joint Secretary, Customs, as the nodal officer for issues related to customs clearance for the above-mentioned items.

The government said IAF planes are bringing in cryogenic oxygen tanks from Singapore. “IAF is also transporting oxygen tanks in the country to reduce travel time,” the statement said.

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