Scheme Monitoring Committee (SMC) of the Union Ministry of Health and Family Welfare has accorded in principle approval to Karnataka Ayush Industry cluster under the Central scheme. The investment for the cluster is Rs 16. 8 crore, of which Central government is chipping in Rs 10 crore and the remaining is coming in as the industry partners' equity.

Karnataka department of Industries will allot 2 acres of industrial land in one of the industrial areas around Bangalore which is likely to be Dobspet off Tumkur Road. The facility, which is of international standard is expected to be commissioned within 18 months. It will include a manufacturing facility and testing centre for production.

The information on in principle approval of the State cluster was communicated to the Karnataka Indian Medicine Manufacturers Association (KIMMA) headed by JSD Pani by Jalaja IAS Secretary Department of Ayush.

In this connection, Pani who is also the chairman Ayurpark Health Care Limited has been asked by the department of Ayush to submit detailed project report within two months for release of the first installment of the Grant in aid.
KIMMA has taken lead and facilitated the formation of the Special Purpose Vehicle (SPV) to implement the project. The Special Purpose Vehicle, has already been registered as Ayurpark Health Care Limited having 22 promoters from the industry to begin with and is all set to add on 150 small and micro Ayush industries into the cluster.

PR Jagadeesh Nayak, P Sanjay, Dr SL Narayana and Prem Colaco are the board of directors of the newly formed SPV, Ayurpark Health Care Limited.

Representing government of Karnataka at the Scheme Monitoring Committee in New Delhi included M Madan Gopal Secretary, State Health and family Welfare and Dr BN Prakash, State Directorate of Ayush.

A proposal for equity participation in Ayurpark Health Care Limited by Government Central Pharmacy to the tune of around Rs 50 lakh is under consideration by the Government. Jalaja is confident that this proposal will be through because it helps the Government Central Pharmacy to increase its production capabilities by utilizing the infrastructure that is going to be created by the Industry cluster. Presently the Government Central Pharmacy is not able to utilize even half of the budget allocation provided for production of Ayurveda and Unani Medicines, stated Pani.

Karnataka Forest Industries Development Corporation is also considering the equity participation in the Ayush Industry Cluster which strengthens sourcing of quality medicinal plants and its parts to the cluster to provide backward linkages.

Karnataka State Medicinal Plant Authority which can work together with the industry cluster is unfortunately not active in Karnataka. In this connection, Jalaja is seeking a meeting with the Principal Secretary Forest Department, Government of Karnataka to appraise the need to revive the activities of this organization particularly at the time when the Government of India coming out of various schemes through National Medicinal Plant Board to promote the cultivation of medicinal plants and trees.