The Pharmaceutical Department has kicked off the process for drafting budget recommendations to be submitted to the Finance Ministry. The pharma industry hopes some encouraging proposals from the Budget with the formation of exclusive department for pharmaceutical sector.
The Pharma Dept has written to all industry associations to forward their suggestions on levying and exception of direct and indirect taxes so that it can submit them well in time to the department of revenues. The associations have been asked to compile the recommendations of their members and submit the same to the department by middle of this month itself.
The suggestions will be codified as in the past years and will be forwarded as the recommendations of the department to be included in the budget for 2009-10. The associations have been advised to put forward only the proposals regarding pharma sector and avoid the proposals of general nature so that the process becomes easier and more effective, sources said.
"We have already got the letter from the department and we are in the process of collecting the views from our members. We will submit them at the earliest. It is still early to say what are going to be recommendations from our side," said a spokesman of IDMA.
However, this time the industry is hoping for the best since for the first time there is a pharmaceutical department. "Unlike in the past, such process will be more effective as there is an entire department to focus exclusively on pharma. Earlier the proposals were submitted as part of the recommendations of the chemicals and fertilizers department. So we are hoping that the industry, especially the small scale units, will have something to cheer about," said a leader of SPIC.
The industry associations are including several proposals to gain the maximum benefits from the government as they hope that Finance Minister may try to please all sectors as election is nearing.