The new export promotion council for drugs and pharmaceuticals (Pharmexcil) will have Dinesh B Mody, former president of Indian Drugs Manufacturers Association (IDMA) as its founder chairman. The first vice-chairman of the council is to be Venkat Jasti, president Bulk Drugs Manufacturers Association (BDMA). With the government of Andhra Pradesh deciding to contribute Rs.3 crore towards the establishment charges of Pharmexcil, the formal launch of the new council is awaited anytime now. According to sources, the chief minister of AP is to hand over the cheque to the Union Commerce Ministry at a glittering function being planned at Hyderabad towards the end of this month.

The decision was taken at the steering committee meeting held at Hyderabad on Thrusday, represented by both IDMA and BDMA. The Pharmexcil is expected to project Indian capabilities in drug manufacturing and R&D sector and market Indian strengths in pharmaceutical services sector abroad.

The other Steering Committee Members including, NH Israni of Blue Cross Laboratories, K Nityananda Reddy of Aurobindo Pharma, Arun Sawhney of Dr Reddy Laboratories, Nalvade of Aventis and Executive Committee members of Bulk Drug Manufacturers Association (BDMA), Indian Drug Manufacturers Association (IDMA), Organisation of Pharmaceutical Producers of India (OPPI), were also present at the meeting.

The formation of Pharmexcil has been in the air for the last several years. It had also received Central nod a couple of years ago. Though the in-principle approval was ready, the industry associations could not go ahead with the formation of the council due to the inability to raise the necessary corpus fund. The confusion over the headquarters of the council had also caused lot of delay. However, the issue was finally sorted out with IDMA going back from its demand to have the office in Mumbai. With AP state government coming forward to provide financial assistance for the council, the fund raising problems were also solved.

After a series of meetings that were held during the last couple of months, the industry organizations have finally reached a consensus thereby clearing all necessary formalities for the establishment of the new council.

Speaking at the steering committee meeting, K Vidhyadher Rao, hon’ble minister for Major Industries, Andhra Pradesh, has assured that government of Andhra Pradesh will extend all possible assistance for the development of pharmaceutical industry. He also said that the government of Andhra Pradesh is releasing Rs.3 crore towards corpus fund and space in Parishram Bhavan to locate Pharmexcil office in Hyderabad and the government is determined to see that Pharmexcil starts functioning with effect from April 1, 2004. He also explained to the members about Andhra Pradesh government plans to provide world-class infrastructure for the pharmaceutical industry in Pharmacity at Visakhapatnam and for that allotment of land will take place shortly. The sources informed that the council will be formally launched by chief minister of Andhra Pradesh, Nara Chandrababu Naidu, shortly.