The Prime Minister's Office (PMO) has asked the ministries of Health & Family Welfare and Chemicals & Fertilizers to give suggestions for full implementation of the Mashelkar Committee report on drug regulatory system. The PMO directive comes as follow up to a policy note on pharmaceuticals submitted by the deputy chairman of Planning Commission, Montek Singh Ahluwalia.

In his note, Ahluwalia had highlighted implementation of Mashelkar Committee report as key to overall progress in pharma sector. "Mashelkar Committee recommended the creation of a strong well equipped and professionally managed Central Drug Administration. Clearly detailing out its function and organization, it also recommended the shifting of the authority of licensing of manufacturing units from the states to a central authority". The policy note suggested the setting up of a working group by the Planning Commission to review past proposals and prepare an operationally feasible proposal, which could be considered by a Group of Ministers.

The deputy chairman's report attempts to address the concerns of the industry and stresses the need for developing a world class pharmaceutical industry. He wanted the government to support the efforts of major Indian firms to expand their presence in global markets and their capacity to do research. For rest of the companies whose business interests lie with the country, he wanted to offer support to improve their quality standards.

Based on the response from the ministries, the principal secretary may evolve a consistent approach and assign deadlines for achieving each task identified by the respective ministries.