Three programmes were introduced by the Indian government on July 21st to support Micro, Small and Medium-Sized Enterprises (MSMEs) in the pharmaceutical industry. At the launch event, Mansukh Mandaviya, the Union Minister, said that the programmes call for the establishment of clusters of effluent treatment facilities, common research centres, and technology upgradation for pharma MSMEs.
He believes that small companies ought to be permitted to update their facilities to match modern production standards. Under the slogan Strengthening Pharmaceuticals Industry, the efforts were introduced by the ministry of chemicals and fertilisers (SPI).
According to Mandaviya, who is in charge of the ministries of both health and chemicals and fertilisers, the new programmes offer numerous advantages that will help make the Indian pharmaceutical industry more resilient and future-proof. The Pharmaceutical Technology Upgradation Assistance Scheme could assist successful pharmaceutical MSMEs in updating their technology.
Either a capital subsidy of 10% on loan up to a maximum of Rs. 10 crore with a minimum payback time of three years or an interest subsidy of up to 5% on a decreasing debt basis are permitted under the programme. The Assistance to Pharma Industries for Common Facilities Scheme (API-CF) will boost the current pharmaceutical clusters’ capability for long-term expansion in a manner similar to this.
It allows for assistance of up to Rs 20 crore, or 70% of the authorised project cost, whichever is smaller. For the Himalayan and north-eastern regions, the grant-in-aid will be worth either Rs 20 crore per cluster or 90% of the project cost, whichever is less.
As part of the Pharmaceutical and Medical Devices Promotion and Development Scheme (PMPDS), study reports on subjects important to the Indian pharmaceutical and medical device industries will be prepared. An industry database for the pharmaceutical and medical device sectors is what the proposal wants to build. Mandaviya urged the sector to continue modernising in order to meet changing consumer demands in international marketplaces.
He asserted that the administration, which is led by Prime Minister Narendra Modi, is resolutely advancing the pharmaceutical sector. The plans, according to the minister, would promote investment, stimulate research and innovation and allow the industry to produce futuristic products and ideas.
The minister stated that in order to support the industry’s rapid growth, the government is trying to improve the ease of doing business and lower regulatory requirements.