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Peethaambaran Kunnathoor, Chennai February 18 , 2025
The Haryana Pharmaceutical Manufacturers Association (HPMA) will soon approach the Union health minister J P Nadda for special incentives like capital investment subsidy, interest subsidy on working capital and other benefits to the pharma industries in Haryana as the pharma sector is in the midst of crisis in Haryana.

He pointed out to the minister that the central government is providing such benefits to the Jammu and Kashmir pharmaceutical industries. As Haryana is adjacent to J&K state, such benefits should also be extended to Haryana also.
 
HPMA president RL Sharma informed Pharmabiz that without financial assistance in the form of soft loans with subsidies, the small-scale pharma manufacturing units in the state cannot survive as the entire industry is in deep trouble. Since the union health minister JP Nadda is also heading the ministry of chemicals and fertilisers, HPMA will demand for soft loans to the MSME units through the Small Industries Development Bank of India (SIDBI) at concessional interest rates.
 
“All the 250 small-scale pharma units in Haryana are in severe crisis, for our survival we need money in the form of soft loans with subsidies. For adapting to the new good manufacturing practices, a huge amount of money is required. If the government provides financial support to the industry, we are ready to go with the upgradation process. However, we are not sure whether it can be completed in a 12 months' period,” he said.
 
Secondly, while pledging our allegiance to the government for its commitment to ensure quality in medicines as per WHO standards, HPMA further demands a period of two more years to complete the process of upgradation of production facilities as prescribed in the revised Schedule M. Financial assistance and extension of time are essential factors for improving and modifying the manufacturing facilities. “We support the government in all its efforts to escalate the Indian pharma sector into international standards, but we need support from the government,” he said.
 
Speaking to Pharmabiz, Sharma said previously there were schemes for pharma units in Himachal Pradesh, Uttarakhand and Jammu and Kashmir exempting the industries from Central excise duties. But, even after the introduction of GST, the central government is giving many incentives in the form of loans, subsidies and other benefits to Jammu and Kashmir. HPMA wants such kinds of benefits and incentives to Haryana pharma industries also because Haryana is a neighbouring state of J&K. Besides, the pharma hubs in Himachal, Uttarakhand and Jammu and Kashmir affect the businesses of Haryana. The pharma sector in Haryana is facing competitions and the industry is in a critical stage.
 
He said the association has sought an appointment with the Union health minister to apprise him of the difficulties of the pharma MSMEs in the country to adapt to the Schedule M regulations. HPMA had met the health minister, J P Nadda, at his office last year and submitted a memorandum listing various demands respecting the upgradation process.
 
“We accept the steps taken by the government for upgradation of the manufacturing facilities of the small-scale pharma industries as the reforms are to ensure quality drugs as per WHO standards. We had earlier requested three years' time, but now the government has given only a 12 months' period for the implementation of the regulations. We are not satisfied with this short period of time, hence we are going to ask for two more years. Last year the health minister had given us an appointment to meet him, accordingly we made our submissions to him. But for the implementation we need some financial assistance also”, he added.
 
In Haryana, the pharma sector is dominated by small-scale players with 90 per cent of the total manufacturing units. Very few major players are engaged in exports. The association president said about 25,000 people depend on the pharma industry in the state, and the total turnover of the industries comes around Rs. 5,000 crore.

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