The AP Industrial Infrastructure Corpn (APIIC) has invited Expression of Interest from prospective bidders for the development of the Pharma City being set up at Parawada, near Visakhapatnam. The last date for the submission of EoI is December 16, 2002. The state government wants to speed up the process and select the developer by March 2003. The project will come up on an area of 1,900 acres at a proposed outlay of Rs 300 crore. The project will provide world-class infrastructure with comprehensive environment and hassle-free clearance to attract emerging global pharma players.
The Pharma City is proposed to be developed under public-private partnership. The private sector partner, with a majority stake in the Special Purpose Vehicle (SPV) to be formed for the project, would not only have to develop infrastructure, but market it to domestic and foreign pharmaceutical companies to set up units in the Pharma City.To be developed under build, operate and maintain (BOM) basis, the Pharma City would be administered through a decentralized park administration. The state government has already approved a single window system to facilitate speedy execution of the project. The Chennai-based L&T Ramboll Consulting Engineers had completed the feasibility study and prepared a master plan for the project.
The Andhra Pradesh Pollution Control Board has accorded in-principle clearance for the project, based on an environmental impact assessment study. Since the Pharma City project is planned to take advantage of the window of opportunities available in the post-GATT scenario by 2005, APIIC has invited EoI from pharma companies to indicate their interest to set up units in the Pharma City.
The state government had held successful road shows in Singapore and London to draw interest from infrastructure developers. According to sources in the APIIC, the nodal agency for the Pharma City project, the Singapore government had shown interest to take up the project. Chief Minister Chandrababu Naidu, during his recent visit to Singapore, made a presentation on the subject. Singapore's Industries Minister T Shanmugharatnam, accompanied by AP Major Industries Minister Vidyadhar Rao and Venkat Jasti, president, BDMA, and convenor of the Chief Minister's Task Force on the pharma industry, recently visited the project site. He is understood to have been convinced about the potential of the project.Malaysian Prime Minister Dr Mahathir Mohammed, who visited Hyderabad recently, had also shown keen interest to participate in the project.