India one of the largest manufacturers, exporters of generic medicines: DV Sadananda Gowda

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Union minister further emphasised that this is a good time to invest, and set up manufacturing base in India in pharma sector

Union Minister for Chemicals and Fertilizers DV Sadananda Gowda has said India is one of the largest manufacturers and exporters of generic medicines across the world.

During the initial phase, he said, HCQ and Azithromycin were identified as one of medicines under treatment protocol for COVID-19 in emergency cases. Referring to India supplying these medicines to more than 120 countries across the world; he underlined that India thereby earned the reputation of reliable supplier of medicines.

Gowda said that India is the only country with largest number of US-FDA compliant pharma plants (more than 262 including APIs) outside of USA with exports $20 billion worth of pharma products to various countries including high standards complying countries like US and Europe.

Addressing  virtual Latin America and Caribbean session on ‘Reimagining Distances’, during  LEADS 2020, organised by FICCI, Gowda said that  Indian pharma sector can grow to $65 billion industry by 2024.

"We have recently launched schemes for development of seven mega parks—three bulk drug parks and four medical devices parks across country. New manufacturers will be eligible for Production Linked Incentive (PLI) Scheme under which they will be eligible for financial incentives on basis of their sales for first 5-6 years," Gowda said.

The Union minister further emphasised that this is a very- very good time to invest, and set up manufacturing base in India in pharma sector.

"One can enter India market through Joint Ventures also. The advantage is that you can get access to big markets like domestic Indian market, US, Japan, EU and South East Asia through India as far as pharma sector is concerned. Anybody can contact my office if they are interested in Indian pharma sector, we will provide all possible facilitation and hand holding," he stressed.

Gowda also said that the market size of chemicals and petrochemicals sector in India is around 165 billion dollars. The size is expected to grow up to $300 billion by 2025. This presents a huge opportunity in Chemical sector India.

For example, to meet the growing demand India will need 5 crackers by 2025 and additional 14 by 2040. These crackers alone will require cumulative investment of $65 billion. To attract foreign participation, he said, Government of India is revisiting policies for chemical and petrochemical sector.

"We are thinking to extend financial incentive based on sales similar to what is being extended in our pharmaceutical sector. We are also tweaking our policies to strengthen our chemical industrial cluster which we call as PCPIRs and plastic parks. Together, these supportive Government policies will offer one of the best environments to do business in India as far as chemicals & petrochemical sector is concerned," Gowda said.

He further said that fertiliser sector is also an attractive sector in India. There is huge demand for fertilisers by our farmers every year. However, domestic production is itself is not enough to meet requirements of fertilisers.

"I am told that Latin American and Caribbean countries are also net importers of chemical fertilisers. Instead of competing in market as buyers, we should be cooperating for making supply chains more efficient so that adequate quantity can be sourced at competitive prices." he added

Image credit: The New Indian Express

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