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Government receives 215 applications for bulk drug PLI and 28 for medical devices

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Department of pharmaceuticals in a press statement during the day said, "PLI scheme for bulk drugs and PLI scheme for medical devices have shown a very positive response from the pharmaceutical as well as the medical device industry."

Government receives 215 applications for bulk drug PLI and 28 for medical devices
In a bid to encourage manufacturing of bulk drugs and medical devices in the country, the Narendra Modi government on Tuesday has received "a very positive response" for the two Production Linked Investment (PLI) schemes spearheaded by the department of pharmaceuticals.
Confirming CNBC-TV18's newsbreak, department of pharmaceuticals in a press statement during the day said, "PLI scheme for bulk drugs and PLI scheme for medical devices have shown a very positive response from the pharmaceutical as well as the medical device industry."
"The industry has shown a very good response to these schemes whereby 215 applications made by 83 pharmaceutical manufacturers have been received under the PLI scheme for bulk drugs. Similarly, 28 applications made by 23 medical device manufacturers have been received under the PLI scheme for medical devices. The closing date of applications was 30.11.2020. IFCI Ltd. is the Project Management Agency (PMA) for implementation of both the schemes."
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Government sources privy to the developments told CNBC-TV18, "Some of the key manufacturers who have submitted their applications includes Alembic Pharmaceuticals Ltd, Aurobindo Pharma Ltd, Bajaj Healthcare Ltd, Brooks Laboratories Pvt Ltd, Cadila Pharmaceuticals Ltd, Dr Reddy’s Laboratories Ltd, Lupin Ltd, IPCA Laboratories Ltd, Sun Pharmaceutical Industries Ltd, Surya Life Sciences Ltd and Vinati Organics Ltd."
Similarly, for the PLI scheme for manufacturing of medical devices has excited 23 companies with a total of 28 applications, government confirmed.
"The key applicants under medical device PLI scheme are Wipro, GE Healthcare Pvt Ltd, Siemens Healthcare Pvt Ltd, Helix Pvt Ltd, Skanray Technologies Pvt Ltd, NIPRO India Corporation Pvt Ltd etc.," government sources in the know told CNBC-TV18.
When it comes to the future process, well as stated by the government, only 136 applications out of the 215, received for bulk drugs and APIs will be given the PLI benefits and 28 applications will be shortlisted for the PLI benefits under medical devices.
"Since in case of medical devices only 28 applications have come in, it is not necessary that all 28 applications received will get the clearance," government sources said.
The final scrutiny as per the process is that the appraisal of applications under PLI schemes begins today. IFCI Ltd is the project management agency which will do the appraisal of the applications and the scrutiny and the final approvals for PLI benefits will be given by Empowered Committee chaired by CEO Niti Aayog.
The final approvals for bulk drug and API PLI scheme will be given in 90 days by the government and for the medical devices PLI, will be given in 60 days.
Looking at the increasing imperative of drug security, support to domestic production capability in bulk drugs would ensure higher resilience of the Indian pharmaceutical industry to external shocks.
The PLI scheme for medical devices will help meet the objective of product diversification and production of innovative and high value medical devices in India. These initiatives have the potential to contribute significantly to achieving higher objective of affordable healthcare in the country and globally on a sustained basis.
The PLI schemes for bulk drugs and for medical devices was approved by the government on March 20, 2020. The initial guidelines for implementation of both the schemes which were initially issued on July 27, 2020 were amended based on the feedback received from the industry. These revised guidelines were issued on October 29, 2020. Both the schemes have shown a very encouraging response from the pharmaceutical as well as the medical device industry, government said.
To watch out for is who all make it for the final stage availing the PLI benefits announced by the government.
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