Govt Proposes Over Rs 460 crore Support for
Development of Pharma Sector (including Medical Devices)
The government has proposed over Rs 460 crore support for the
development of pharmaceuticals industry with an aim to reduce cost of bulk drugs
and medical devices through setting up of common facility centres and to help
SMEs upgrade technology.
Announcing guidelines for five sub-schemes under the pharma
development programme, the Department of Pharmaceuticals (DoP) said the
objective is to reduce cost of production by 20-25 per cent in bulk drug parks.
Similarly, for medical devices also, the aim is to bring down
the cost of production significantly in the dedicated medical device parks,
thereby leading to better availability and affordability in the domestic market.
The government is looking at providing assistance to bulk
drug industry by setting up common facility centres. It has been proposed as a
central sector scheme with a total size of Rs 200 crore for 2018-2020, the DoP
said in an announcement on its website.
"The scheme would be implemented through a one-time grantin-aid
to be released for creation of identified infrastructure and common facilities
to a State Implementing Agency (SIA) set up for the purpose," it added.
The purpose of the grant is to render the financial
assistance for establishment of common facilities in any upcoming bulk drug park
promoted by state governments / state corporations, it added.
Another scheme for which the guidelines for implementation
have been mooted is for assistance to medical device industry for setting up of
common facility centres.
"The scheme termed as development of common facility centre
for medical device (DCFCMD) is proposed as a central sector scheme," the
Assistance under the scheme will be admissible for creation
of common facilities in medical device park and it will be implemented through a
one-time grant-in-aid, the note said.
The third scheme proposed is for the assistance for cluster
"The scheme termed as cluster development programme for
pharma sector (CDP-PS) as a central sector scheme and the total size of the
scheme is proposed as Rs 20 crore for CDP-PS for 2018-2020," the note added.
It would be implemented on a public private partnership (PPP)
format through one time grant-in-aid to be released in various phases for
creation of identified infrastructure and common facilities to special purpose
vehicles (SPVs) set up for the purpose, it added.
Besides, the DoP said the pharmaceutical promotion
development scheme (PPDS) will aim at promotion, development and export
promotion in pharma sector by extending financial support for conduct of
seminars, conferences and exhibitions, among other activities.Under the scheme,
mounting delegations for promotion of exports as well as investments, conducting
studies/ consultancies, for facilitating growth, exports as well as critical
issues affecting pharma sector will be supported. It further said a budgetary
allocation of Rs 144 crore for 2018- 2020 has been made for pharmaceutical
technology upgradation assistance scheme (PTUAS).
It is possible to extend benefit of interest subvention to
around 250 pharma SMEs under the scheme, it added. he goal of this scheme is to
facilitate small and medium pharma enterprises (SMEs) of proven track record to
World Health Organisation (WHO)/Good Manufacturing Practices norms to enable
them to participate and compete in global markets and earn foreign exchange.
Jun 25, 2018.