Specific drug-rate entry covers imported APIs and bulk drugs, overriding general chemical chapter entries for concessional IGST treatment.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Bulk drugs and active pharmaceutical ingredients qualify as "all drugs and medicines" for the specified IGST rate entry because the inclusive statutory definition of "drug" covers substances used as drug components. Their use in manufacture, testing, clinical trials, bioavailability studies or bioequivalence studies does not change their character as drugs. The description-based entry covers APIs even where classified under chemical chapters, and prevails over general chapter-based entries for organic and inorganic chemicals. Imports of bulk drugs or APIs therefore attract IGST at 5% under the relevant rate entry, unless they fall within the separate nil-rated entry.....