NEW DELHI: In a move to boost domestic manufacturing of pharmaceuticals and medical devices in India under the Make in India mission, the government will work to set up a Pharma and Med Tech zone in Bengaluru soon, announced Minister for Chemicals and Fertilizers Ananth Kumar while inaugurating the second edition of the India Pharma & India Medical Device International Conference on Saturday. Deliberations are still underway at the highest levels in the government to make the Department of Pharmaceuticals an independent ministry, he explained.
India’s pharma sector, which has achieved a Compounded Annual Growth Rate (CAGR) of over 15%, would be worth $55 billion by 2020 from the present $32 billion, said the minister. India accounts for around 20% of the world’s generic medicine supply chain, exporting to over 250 countries globally, and the country’s pharma industry provides over 60% of global vaccines, he added.
The sector has received Foreign Direct Investment (FDI) close to $14 billion and has generated employment for over 2.5 million people across India this fiscal, the minister said.
The recent approval of the Pharma and Med Tech zone in Andhra Pradesh has attracted over 30 investment proposals from domestic and international pharma companies, according to Minister of State for Chemicals & Fertilizers Mansukh Lal Mandaviya. This has the potential to reduce the manufacturing cost of drugs and medical devices by around 30% as compared to global prices, he said.
Karnataka’s pharma industry constitutes 264 manufacturing units that include small-medium, large, public sector and multinational companies. The State pharma exports, with 40% of its Pharma produce being exported overseas, according to Karnataka Chief Minister Siddaramaiah.