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State government lethargic on its biotech policy: officials
Prabodh Chandrasekhar, Mumbai | Thursday, August 14, 2003, 08:00 Hrs  [IST]

The biotech parks, which were launched by the Government of Maharashtra in 2001, has been receiving lukewarm response from the industry and investor community both in the domestic and the international front, as the state government is yet to put in a serious effort to promote the same. The official sources from the Industry Department themselves admits that as the promotional exercises are not very industry driven as there are no clear directions and involvement from the ministerial side.

On top of this, there is hardly any direct interaction of the chief minister or his council of ministers with biotech companies who have shown interest in setting up shop. In the state, most of the industry related discussions and implementation functions are left with the bureaucrats, which creates hurdles in real promotion campaigns as the officials are only message carriers but not decision makers, complained senior government officials with various state departments involved with the project.

The Hinjewadi Biotech Park at Pune, with a developable land of 110 acres have so far been able to attract only two companies namely Shreya Life Sciences and Emcure. Thus 80-85 acres of developable land is still left in the park.

On the contrary, southern states like Karnataka or Andhra Pradesh hold regular biotech seminars, where the chief minister personally interacts with the corporates on an individual basis to assess and implement the latter's requirement for venturing in the state.

"Biotech seminars in Maharashtra is presided and promoted by bureaucrats, with a rare showing from the chief minister. In all its probability, a prospective company will prefer the southern states with a direct discussion from the CM compared to Maharashtra whose bureaucrat has given only half promises, who does not even know whether his assurances will be implemented by the cabinet," said a senior state official.

"Very frequently we read biotech ministers from AP and Karnataka visiting potential European and American countries and marketing BT parks at home. We never hear such things from Maharashtra ministers. Sometimes the bureaucrats from the state may pay visit abroad," added the official.

"Industry driven enthusiasm is missing with Maharashtra government compared to other governments," said a senior Ernst & Young (E&Y) official. E&Y is an advisor to the governments of Maharashtra and AP on their biotech policy.

Even on stability basis, a corporate would prefer a more stable government like the Andhra Pradesh or the Karnataka government compared to Maharashtra. On account of its inconsistencies, the state has missed on several hopeful players who later chose the southern states to commence their operations.

In a recent meeting with the CM and his ministers, Dr. R. A. Mashelkar, Chairman, Maharashtra Biotech Commission had emphasized on the importance of marketing its policies with maximum industry-state interaction to be dealt by ministers and not bureaucrats.

No other city in the country has got the strategic advantage offered by the Mumbai-Pune corridor. Here on one end Mumbai is the financial nerve of the country, at the other end Pune is a knowledge centre with numerous institutions related to the biotechnology industry. The infrastructure to connect both the cities is also top class, with good airports and ports. "Bangalore and Hyderabad do not offer the infrastructure, intellectual and financial assets offered by the Mumbai-Pune corridor. However, this advantage has to be clearly put into the minds of the investor by the CM himself," he said. The end point is that the investor will lack interest and divert if the government does not come forward with some interest, the official sources quipped.

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