The Department of Pharmaceuticals has conveyed ‘in-principle’ approval to the proposals of the three States Viz, Himachal Pradesh (HP), Gujarat and Andhra Pradesh (AP) under the Scheme for 'Promotion of Bulk Drug Parks', a key initiative to support bulk drug manufacturing in the country.

The scheme, with a financial outlay of Rs 3,000 crores notified in 2020, provides financial assistance to three states for establishing bulk drug parks and aims to bring down the cost of manufacturing bulk drugs by creation of world-class common infrastructure facilities supported by the Central Government and thereby increase the competitiveness of the domestic bulk drug industry.

Under the scheme, proposals were received from 13 States. The Department was guided by an Advisory Committee under CEO, NITI Aayog in the appraisal of the proposals, based on the quantitative as well as qualitative methodology.

The financial assistance to the proposed Bulk Drug Park in Gujarat and Andhra Pradesh would be 70 per cent of the project cost of common infrastructure facilities. In the case of Himachal Pradesh, being a hilly state, financial assistance would be 90 per cent of the project cost. Maximum assistance under the scheme for one Bulk Drug Park would be limited to Rs 1000 crores.

As per the proposals submitted by these States, the Bulk Drugs will be established in 1402.44 acres of land at Tehsil Haroli, District Una, Himachal Pradesh, 2015.02 acres of land at Tehsil Jambusar, District Bharuch, Gujarat and 2000.45 acres of land at KP Puram & Kodhada of Thondagi Mandal of East Godavari District, Andhra Pradesh. These three states were instructed to submit their detailed project reports in the next 90 days, to appraise the same and to process for issuance of final approval under the scheme.