The pharma outfits located in Baddi-Barotiwala-Nalagarh (BBN) belt of Himachal Perdesh expect to access an affordable capital from the Capital Subsidy Scheme for financial assistance to pharma SSI units for upgradation and compliance of Schedule ‘M’ Standards as per the Drugs and Cosmetic Rules of 1945 of the Drugs and Cosmetic Act of 1940.
Over 400 pharma units (mostly small and medium)clustered in this belt were operationing on thin margins with no scope of further expansion due to accessibility of capital.
The Chairman of Himachal Drug Manufacturers’ Association Sanjay Guleria told that there was a consistent need of additional capital as the pharma market has been growing persistently at 12%-15% rate annually.
“With the growing focus on health from government sector, incresing level of education and rising income level there is an assured market for pharma products. It simultaneouly requires the upgradation of technology as we have to comply with the R&D going on in pharma sector”.
The new guidelines approved by the Ministry of Micro Small and Medium Entreprises on the proposal of Department of Pharmaceuticals would help us to upgrade, he said.
Under the new guidelines issued by MSME on Credit Linked Capital Subsidy Scheme(CLCSS) for technology upgradation, pharam units would be able to avail the benefits of CLCSS for financial assistance for an expanded list of 179 equipments and machineries that was earlier restricted to 41 only.
Out of the 179 new technologies/equipments/accessories 135 are for manufacturing of formulations and remaiing 44 for bulk drugs.
As the scheme envisages 15% capital subsidy assistance limited to the project cost upto Rs 100 lac in other words total capital subsidy limit of Rs 15 lac per SSI unit, most of the units located in Baddi and surrounding areas are gearing up for expansion and upgradations.
Most of the small units located here outsource to bigger brands and technology upgradation was a pre-requisite to retain business from the large players, they informed.
