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Pharma units struggle to upgrade plants

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Meghdoot Sharon Mehsana
Last Updated : Jan 28 2013 | 2:05 AM IST
 While medium and large pharmaceutical companies are racing ahead as far as technology upgradation is concerned, small scale industry (SSI) units in Gujarat are yet to wake up to the post-WTO industry scenario.

 Most of the over 300 SSI pharmaceutical companies in the state have not even begun the process of upgrading the existing facilities to adhere to the schedule M guidelines under the Drugs and Cosmetics Act.

 Under the schedule M guidelines, which should be met by December 2003, it is mandatory for pharmaceutical units to upgrade the air handling, water handling and other systems in their plants.

 The Indian Drug Manufacturers Association (IDMA) officials admit that it will be impossible for all SSI pharmaceutical units in Gujarat to adhere to the guidelines as many of them have not even begun the process.

 Each SSI unit will require to spend between Rs 20 lakh and Rs 40 lakh to upgrade their units.

 The state government has a provision where SSI units will get a five per cent reduction in interest on loans up to Rs 1 crore.

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First Published: Jul 16 2003 | 12:00 AM IST

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