The Ministry of Chemicals and Fertilisers said on Thursday that the government has approved eight companies under the production linked incentive (PLI) scheme to promote domestic medical device manufacturing.
The permissions were provided at the ninth meeting of the empowered committee, which took place on November 25, after the ministry reviewed all of the applications in accordance with the scheme requirements.
The establishment of these eight units would result in a total committed investment of 260.4 crore by the corporations, as well as the creation of about 2,599 jobs. From April 1, 2023 onwards, commercial manufacturing is expected to begin, “it added.
The total number of applications accepted in both phases now stands at 21, with a committed investment of 1,059.33 crore and job creation of about 6,411, according to the statement.
According to the report, the establishment of these factories would make the nation self-sufficient in the medical equipment industry to a great degree.
The Department of Pharmaceuticals launched a PLI scheme to ensure a level playing field for domestic medical device manufacturers, with a total financial outlay of Rs 3,420 crore for the period 2020–21 to 2027–28, with the goal of boosting domestic manufacturing and attracting large investment in the medical device sector.
According to a separate statement from the ministry, the empowered committee also accepted numerous applications in the bulk pharmaceuticals market.
According to the announcement, the building of eight factories would result in a total committed investment of around 151.12 crore by the firms and the creation of roughly 1,951 jobs.
It was also said that commercial production of these plants would begin on April 1, 2023. With this, the total number of applications accepted in both rounds now stands at 50, with a committed investment of Rs 4,498.38 crore and job creation of about 10,743. According to the ministry, the establishment of these factories would make the nation self-reliant in terms of bulk medications to a considerable extent.
India is now heavily dependent on the import of basic raw materials, such as bulk medications required to make medicines. The import dependency on certain bulk medications ranges from 80 to 100 percent.