In an endeavour to encourage local manufacturing of drug, the government recently approved Rs 15,000 crore financial outlays over five-year period to the Department of Pharmaceuticals. The decision was undertaken in a Cabinet meeting held recently.
The move is part of a scheme under which the government announced production linked incentives for 10 sectors including auto, pharmaceuticals and textiles worth Rs 2 lakh crore in a bid to boost manufacturing, make India self reliant and generate employment, a MINT report said.
“The Indian pharmaceutical industry is the third largest in the world by volume and 14th largest in terms of value. It contributes 3.5% of the total drugs and medicines exported globally. India possesses the complete ecosystem for development and manufacturing of pharmaceuticals and a robust ecosystem of allied industries,” the Cabinet said in a statement.
Production-linked incentives will be offered for sectors such as white goods manufacturing, pharmaceutical, specialised steel, auto, telecom, textile, food products, solar photovoltic and cell battery, Information and Broadcasting Minister Prakash Javadekar was quoted as saying by the report.