The Central Government has disbursed Rs.96 crore of soft loans to various pharmaceutical and biotech companies for augmenting the research & development activities in these sectors.
Of the 24 companies that received loans, seven companies are from Hyderabad, four are from Maharashtra, three each in Gujarat, Karnataka and Tamil Nadu, two companies are from Uttar Pradesh, and one each in Delhi and West Bengal. Loans disbursed to companies in Andhra Pradesh and Maharashtra account for over 75 per cent of the total disbursed funds.
Companies that obtained loans from Andhra Pradesh include Biological Evans, AVRA Synthesis, Virchow Biotech, Sudharshan Biotech, Shantha Biotech, Bharat Biotech and Indigene Pharma. Bharat Serums, Biomix Network, Lupin and Lensel Optics received loans for R&D, from Maharashtra.
INTAS Pharmaceuticals, Cadila, Alembic are the Gujarat companies that received loans from Centre. From Karnataka, Microtest Innovations, Natural Remedies and Xcyton Diagnostic have received loans. Dalmia Centre for Research and Development, ABL Biotechnologies and Rumi Herbals all from Tamil Nadu obtained loans.
UP based Dabur Research Foundation and Tulsi Ayurvedic Products and Research have obtained loans from Centre. While Promed Exports of New Delhi got a loan. Institute of Molecular Medicine from West Bengal is the only institution that got loans from the eastern part of the country.
Lupin has obtained loan up to Rs 16.6 crore, Bharat Biotech has obtained Rs 13.1 crore, Biological Evans has got Rs 10.51 crore and Bharat Serums got loan up to Rs 10.48 crore, Indigene Pharmaceuticals and Biomix Network got Rs 10 crore each, which account to about 75 per cent of the loans disbursed to companies.
As per the terms and conditions of the loan, the repayment will commence after the project period and the total amount including the interest will be recovered in 10 annual instalments. The loan carries an interest of three per cent per annum. The R&D projects for which loans have been obtained by the companies are in progress and the repayment of loan is yet to begin, as per Ministry of Science and Technology, Government of India.