Kerala is likely to emerge as a hot destination for setting up biotechnology units in the country, following the recently announced BT policy of the state, which offers attractive schemes and incentives for investors.
According to informed top-level sources, the Government would take a proactive role to participate in the ventures, rather than merely acting as a facilitator offering basic infrastructure, besides luring the investors with liberal incentives.
Among the many ways being explored, the Government, through its healthcare institutions and research agencies is planning to participate in clinical research, along with the biotech private players setting up their shops in the state.
The Government has already entrusted the state run Thiruvananthapuram based Rajiv Gandhi Centre for Bio Technology and the Sree Chithira Thirunal Institute of Medical Sciences to identify and develop human resource in the field, said the sources.
The sources note that among the four areas identified for biotech development in fisheries, agriculture, industry and health, BT research and development in traditional healthcare could be the main thrust area, thanks to the state's strength in Ayurveda. The state is home to 120 odd Ayurveda hospitals and boasts of 20 odd leading traditional Ayurveda drug manufacturing units.
To attract the investors, it is learnt that the Government is planning to set up an exclusive single window clearance facility to process all biotechnology interventions and applications. The proposed ventures will be allowed to acquire agriculture lands in excess of current ceiling limits, besides exemption given to stamp duty and registration fees. The Government lands also will be given to biotech units at concessional rates.
As part of creating investor friendly atmosphere, the Government may amend the Industrial Dispute Act to change the employees working hour duration and working hour specifications for women employees, applicable only to the biotech companies.
The Government is planning to extend all the incentives currently being offered to the IT units, applicable to the proposed biotech units. Apart from that, while general biotech units will be given power based on industrial consumption tariffs, agro-based BT units will be offered reduced tariffs applicable for agricultural purposes. Further, BT industries will have exemption from statutory power cuts and payment of electricity duty.
The sources informed that the Government has plans to set up a separate BT industry promotion mission to monitor and achieve the objectives of industrial promotion in the field in an effective and time bound manner.
While the Government would utilize the Rs.100 crore-corpus fund to create infrastructure, campaigns would stress on the positive factors of the state like investor friendly environment, climate, quality of life index, communication advantages, quality and availability of skilled manpower etc. said the sources.