The government on July 21 launched a scheme to help pharma companies beef up their production capacities, upgrade to global standards, and boost medical devices manufacturers.
The Pharmaceutical and Medical Devices Promotion and Development Scheme (PMPDS) focuses on pharmaceutical clusters to ensure sustained growth by creating common facilities.
Union Minister for Chemicals and Fertilisers Mansukh Mandaviya said the scheme will help the existing pharma manufacturing units to meet national and international regulatory standards by upgrading their facilities to the WHO GMP standards.
“We have immense opportunities in the pharma sector of India. There are over 10,000 facilities, including companies and plants, in this sector. This scheme has been designed to strengthen this sector,” Mandaviya said.
PMPDS will facilitate growth and development of pharmaceutical and medical devices sectors through study and survey reports, awareness programmes, and creation of databases.
Stressing on the need for a shift in the pharma sector business model from volume to value, Mandaviya said the companies should focus on creating value-based products in the country.
“We can manufacture affordable medicines but at the same time the bar has to be raised. We need to rise to the occasion where, if the world needs good manufacturing practices and products, India should be in a position to provide that and that’s why the government has brought this scheme,” he said.
The scheme has three components: Assistance to Pharmaceutical Industry for Common Facilities (APICF), Pharmaceutical Technology Upgradation Assistance Scheme (PTUAS) and Pharmaceutical and Medical Devices Promotion and Development Scheme (PMPDS).
Under the pharmaceutical technology upgradation assistance scheme (PTUAS), the government aims to incentivise MSME pharma units for undertaking capital expenditure necessary towards obtaining of WHO-GMP or Schedule M certifications.
PMPDS is a credit-linked subsidy scheme with a loan cap of Rs 10 crore sanctioned by any scheduled commercial bank.
The government will allow creation of Database of pharmaceutical and medical device sector and allow the preparation of study reports on topics of importance for this sector under the scheme.
The Centre will allow creation of common infrastructure facilities to strengthen pharmaceutical clusters in the APICF scheme.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
