PLI Scheme for Promotion of Domestic Manufacturing Drug
Intermediates and APIs
Approval accorded under Production Linked Incentive (PLI) Scheme
for Promotion of Domestic Manufacturing of critical Key Starting Materials (KSMs)/
Drug Intermediates and Active Pharmaceutical Ingredients (APIs) in the country
[Ministry of Chemicals and Fertilizers Press
Release/26.02.2021]
With an objective to attain
self-reliance and reduce import dependence in these critical Bulk Drugs - Key Starting
Materials (KSMs)/ Drug Intermediates and Active Pharmaceutical Ingredients (APIs)
in the country, the Department of Pharmaceuticals had launched a Production Linked
Incentive (PLI) Scheme for promotion of their domestic manufacturing by setting
up greenfield plants with minimum domestic value addition in four different Target
Segments (In Two Fermentation based - at least 90% and in the Two Chemical Synthesis
based – at least 70% ) with a total outlay of Rs. 6,940
cr. for the period 2020-21 to 2029-30.
The applications under four different Target Segments
were invited with 30th November, 2020 as the last date. In total, 215
applications have been received for the 36 products spread across the 4 Target Segments.
The guidelines prescribed that the applications would be processed and decided within
a period of 90 days, i.e., up to 28th February, 2021. Five applications
with a committed investment of Rs.3,761crore have already
been approved under Target Segment I.
Eligible products under Target Segment II (Fermentation Based Niche
KSMs/Drug Intermediates/APIs) were considered as per the decided evaluation and
selection criteria. The applications of following companies, which have committed
minimum/more than the minimum proposed annual production capacities and fulfil the
prescribed criteria have been approved, as under:
|
Sl.No. |
Name of approved Applicant |
Name of Eligible Product |
Committed Production Capacity (in MT) |
Committed Investment (in Rs. crores) |
|
1. |
M/s Natural Biogenex
Private Limited |
Betamethasone |
12 |
31.43 |
|
2. |
M/s Natural Biogenex
Private Limited |
Dexamethasone |
10 |
26.19 |
|
3. |
M/s Natural Biogenex
Private Limited |
Prednisolone |
15 |
39.29 |
|
4. |
M/s SymbiotecPharmalab
Private Limited |
15 |
5.00 |
|
|
5. |
M/s Macleods Pharmaceutical
Limited |
Rifampicin |
200 |
198.36 |
|
6. |
M/s Optimus Drugs Private Limited |
Vitamin B1 |
200 |
35.00 |
|
7. |
M/s SudarshanPharma
Industries Limited |
200 |
57.00 |
|
|
8. |
M/s Optimus Drugs Private Limited |
Streptomycin |
50 |
30.00 |
Eligible products under Target Segment III (Key Chemical Synthesis
Based KSMs/Drug Intermediates) were considered as per the decided evaluation and
selection criteria. The applications of following companies, which have committed
minimum/more than the minimum proposed annual production capacities and fulfil the
prescribed criteria have been approved, as under:
|
Sl.No. |
Name of approved Applicant |
Name of Eligible Product |
Committed Production Capacity (in MT) |
Committed Investment (in Rs. crores) |
|
1. |
M/s Saraca Laboratories
Limited |
1,1 Cyclohexane Diacetic
Acid (CDA) |
3000 |
50.00 |
|
2. |
M/s EmmennarPharma
Private Limited |
1500 |
21.94 |
|
|
3. |
M/s Hindys Lab Private
Limited |
3000 |
37.60 |
|
|
4. |
M/s AartiSpeciality
Chemicals Limited |
2-Methyl-5Nitro-Imidazole (2-MNI) |
4000 |
77.87 |
|
5. |
M/s Meghmani LLP |
Para amino phenol |
13500 |
55.06 |
|
6. |
M/s Sadhana Nitro Chem Limited* |
36000 |
197.27 |
*Subject to outcome of Writ Petition.
The setting up of these plants will lead to total
committed investment of Rs 862.01crore by the companies and employment
generation of about 1763. With this, a total of 19 applications with committed investment
of Rs.4623.01 crore have been approved by the Government. The commercial production
is projected to commence from 1st April, 2023 onwards and the disbursal
of production linked incentive by the Government over the six years period would
be up to a maximum of Rs.4,870 cr. Setting of these plants
will make the country self-reliant to a large extent in respect of these Bulk drugs.
Further, applications under the Target Segment-IV are proposed to be taken up for
approval before 28th February, 2021.
The Indian pharmaceutical industry is the 3rd
largest in the world by volume. It has high market presence in several advanced
economies such as the US and EU. The industry is well known for its production of
affordable medicines, particularly in the generics space. However the country is
significantly dependent on the import of basic raw materials, viz., Bulk Drugs that
are used to produce medicines. In some specific bulk drugs, the import dependence
is 80 to 100%.