The Andhra Pradesh government has assured the pharmaceutical industry that the state government will do everything possible to attract and retain the industry in the state. The government's assurance is significant as it comes in the backdrop of increasing migration of industry from the state.

Andhra Pradesh Minister for Vaidya Vidhana Parishad and Hospital Services Vanama, Venkateswara Rao has promised the pharmaceutical industry that the state government would do everything possible to retain the edge the state is enjoying in the sector at present.

Addressing the Bulk Drug Manufacturers Association (BDMA) interactive meeting in Hyderabad on Thursday, the Minister responded to issues raised by BDMA members. He assured them that he would take up the matter with the Chief Minister and find solution to the problems facing the industry. He specifically said the government would do everything to retain the small and medium drug manufacturers (SMEs) in the State. He made this remark in the context of the SMEs migrating to neighbouring states.

The BDMA has appealed to the state government to take measures to halt the migration of small and medium pharmaceutical manufacturers from Andhra Pradesh to neighbouring and also other states.

The BDMA has asked the government to create special zones for small and medium manufacturers on the lines of Jawaharlal Nehru Pharma City in other parts of the state to ensure that SMEs flourish. The association said the government should address the issue on priority basis by adopting liberal polices towards the SME sector and also create infrastructure to save industrial base in the state.

M Narayan Reddy, president of BDMA said that thought Andhra Pradesh is the bulk capital of the country, it has been hit by problems that need to be
tackled urgently by the government. The small and medium pharmaceutical manufactures in Andhra Pradesh are migrating to neighbouring states for setting up their manufacturing units. The state is loosing its advantage to northern states also. "We request the government to take necessary measure to stop the migration", he said. The meeting was held to attract the government's attention to the problems facing the industry.

It can be noted that the Maharashtra government is developing a dedicated pharmaceutical SEZ in Nanded. The SEZ is being developed by the Maharashtra Industrial development Corporation (MIDC) and Infrastructure Leasing & Financial Services (IL&FS) in nearly 148 hectares area. It is learnt that the government in Maharashtra is making all possible efforts to attract bulk drug manufactures from Andhra Pradesh and other neighbouring states to set up their manufacturing base in the upcoming SEZ.

The BDMA has also requested for a 2.5 acre land for its premises. The association is currently operating from rented premises in the Sanathnagar Industrial Area in Hyderabad.