The Ministry of Chemicals and Fertilizers announced a major achievement on Friday with the successful completion of 32 projects under the Production Linked Incentive (PLI) Scheme. This initiative aims to strengthen domestic production of Key Starting Materials (KSMs), Drug Intermediates, and Active Pharmaceutical Ingredients (APIs).
According to the Ministry’s press release, these completed projects have a combined installed capacity of 56,679 metric tons (MT) per annum. The initiative is set to enhance India’s pharmaceutical supply chain and reduce dependence on imports.
Approved with a financial outlay of Rs 6,940 crores, the PLI Scheme is designed to boost domestic bulk drug production, enhance supply chain resilience, and minimize reliance on imported raw materials. The production phase of the scheme is scheduled to run from the fiscal year 2022-23 to 2028-29.
The scheme has attracted substantial interest, with 249 applications submitted. Of these, 48 projects have been selected to produce designated bulk drugs, including 13 projects undertaken by 10 Micro, Small, and Medium Enterprises (MSMEs). The completion of 32 projects marks a significant milestone, with 16 additional projects currently in development.
Ongoing projects are receiving support to secure necessary regulatory approvals, such as environmental clearances and drug manufacturing licenses. The Ministry has emphasized the crucial role of state governments in expediting these approvals to ensure timely project completion.
A notable achievement under the PLI Scheme is the surpassing of the initial investment target. Originally set at Rs 3,938 crores, actual investments have reached Rs 4,024 crores, reflecting strong industry confidence and a commitment to advancing India’s pharmaceutical manufacturing capabilities.
The distribution of approved projects across various states, detailed in the attached annexure, highlights the widespread impact of these investments nationwide.
The Ministry of Chemicals and Fertilizers reaffirmed its commitment to supporting the domestic pharmaceutical sector and advancing India’s self-reliance in drug manufacturing. The successful completion of these projects is expected to significantly contribute to India’s goal of becoming a global pharmaceutical hub and ensuring the availability of essential drugs for domestic use.
This progress aligns with the government’s broader “Atmanirbhar Bharat” initiative, which aims to foster self-reliance in key sectors and reduce dependence on imports. The PLI Scheme for Pharmaceuticals is a cornerstone of this initiative, providing crucial financial incentives and regulatory support to promote domestic manufacturing and innovation.
