India’s plan to draw foreign majors to ramp up production of active pharmaceutical ingredients (APIs) has drawn interest from eight companies as it mulls extending sops to existing domestic entities as well to reduce dependence on China.
The government has also begun an exercise to assign specific tariff code to every chemical to keep a check on imports, minister of state for chemicals and fertilizers Mansukh Mandaviya told ET.
The government would in a fortnight roll out the framework for the production linked subsidy scheme that was announced in March this year.
“Eight foreign companies have evinced interest in investing in the last one month,” Mandaviya said. “We are making rules and regulations for the scheme, it will be formulated in 15 days.”
Though India has a globally recognised pharmaceuticals industry, it is heavily dependent on China for inputs. India imports about $3.5 billion of APIs annually of which 70% is from China.
On March 20, the Union cabinet approved a Rs 6,940 crore production-linked scheme to promote domestic manufacturing of critical drug intermediates and APIs, as well as a Rs 3,000 crore scheme to promote bulk drug parks.
The government has identified 53 APIs under the scheme, which will be flexible enough to permit existing companies to participate...
Full text at GMPnews.Net