The Department of Pharmaceuticals (DoP) has started the process for the implementation of its much awaited Cluster Development Programme for the pharma industry to strengthen the existing infrastructure facilities in the country in order to make Indian pharma industry a global leader in pharma exports.

The DoP has now invited expression of interest (EOI) from interested representatives of associations, groups of drug manufacturers or pharma enterprises for formation of special purpose vehicles (SPVs) for establishing or upgrading the common facility centres under the Cluster Development Programme for pharma sector in the public private partnership (PPP) mode.

Earlier, the DoP had engaged Projects & Development India Ltd (PDIL), a public sector undertaking under the ministry of chemicals & fertilizers, as project management consultant (PMC) for implementing this ambitious programme.

The programme would be implemented on a PPP format through one time grant-in-aid to be released for creation of identified infrastructure and common facilities. The scheme is for setting up of new clusters as well as up-gradation of existing clusters. Rs. 125 crore have been earmarked for the central sector scheme for the 12th Five Year Plan.

The programme is intended to increase the competitiveness, easy access to standard testing facilities and value addition in the domestic pharma industry especially to SMEs through creation of common world class facilities; and will strengthen the existing infrastructure facilities in order to make Indian pharma industry a global leader in pharma exports.

It will reduce the cost of production by up to 20 per cent in the clusters leading to better availability and affordability medicines in domestic market and will help industry meet the requirements of standards environment at a reduced cost through innovative methods of common waste management. The programme will further exploit the benefits arising due to optimisation of resources and economies of scale.