Government Launches Rs 5000 Crore Scheme to Boost Pharma Innovation

The Department of Pharmaceuticals will be supporting the research and innovation in pharma and medical technology, as the department has released an online portal for a scheme of Rs.5,000 crore. India is one of the major pharmaceutical markets in the world. This initiative will support the goal of the country in being a global innovation hub.

Currently, Indian pharma is valued at USD 50 billion, where domestic consumption alone makes USD 23.5 billion in total value. Considering that major medical drugs in the Indian market will be losing their patent protection by 2030, this new funding will help push the companies in R&D of the new medicines.

Under this scheme (PRIP) Promotion of Research and Innovation in Pharma MedTech Sector, will be supporting the large scale companies and the startup pharma companies to remove the gap of lack of research in the industry. One of the officials highlighted that, under this scheme, every pharmaceutical company can easily conduct online registration. According to the plan, larger companies can seek the funding of Rs.125 crore and startups with funds of Rs.1 crore over five years.

There are two important components in this scheme. The first component of the scheme strengthens the research infrastructure. Under this component Centers of Excellence (CoEs) will be set up in the already existing National Institutes of Pharmaceutical Education & Research. The second component will be promoting the research in Pharma & MedTech through offering financial assistance to companies and projects for R&D and academic collaborations. This funding will cover six major areas- drug discovery and development, medical devices, stem cell therapy, medicines for rare diseases and treatment for drug-resistant diseases.

CEO of Mankind Pharma, Sheetal Arora said, “The new PRIP portal is a game-changer for Indian Pharma. This Rs.5,000 crore investment is exactly the boost we need as we’re on the verge of massive growth. India already leads the world in generic medicines, providing 20 percent of the global supply. But PRIP helps us shift towards innovation, potentially bringing in another Rs.17,000 crore for R&D by FY28. This will truly sharpen our competitive edge.”