With the Drugs and Pharmaceutical Research Programme (DPRP) losing its sheen steadily in the recent years, the Government is planning to shift the same from the Department of Science and Technology (DST) to the Department of Biotechnology (DBT).

However, the DST claimed that the DPRP, aimed at promoting industry-institutional collaboration in research, is still with the Department and it would continue to run it during the current five year plan period also.

The overlapping schemes in other departments which extended grants and soft loans to the pharmaceutical industry have made the DPRP less attractive, despite the efforts of the DST to promote the same. The move for shifting it to the DBT has gathered momentum once again on these grounds, sources said.

The scheme and the DST also came in for sharp criticism by the Parliamentary Panel attached to the ministry recently. “The Committee notes with serious concern, the lackadaisical approach adopted by the Department towards a crucial programme such as the ‘Drugs and Pharmaceutical Research’ programme. It notes that there are overlapping grant of loans and schemes being implemented by Departments of Biotechnology and Scientific & Industrial Research, providing grants/soft loans on more attractive terms to pharma industry, which has resulted in a decline in demand for the 'Drugs and Pharmaceutical Research' scheme run by the DST and consequent decrease of funds allocated under the programme. The Committee feels that this is a serious case of lack of coordination between the three departments viz. DST, DBT and DSIR, which incidentally function under the same Ministry,” the panel said.

The programme was launched in 1994-95 for promoting Industry-Institutional Collaboration in R&D in drugs and pharmaceuticals sector. The programme aims at enhancing capabilities of institutions and the Indian drugs and pharma industry towards development of new drugs in all systems of medicine.

However due to poor demand, the budgetary allocation has come down sharply in the recent years. The allocation was Rs.60 crore and it was revised drastically to Rs.50 crores during the year of 2011-12. It was slashed further to Rs.40 crore this year. While the allocation stood at Rs.150.00 crores in the Budget Estimates of 2005-06, it was reduced to Rs.105.crores in Revised Estimates of 2005-06 and again increased to Rs.130 crores in Budget Estimates of 2006-07. It showed drastic decline in the last six years, as the demand for the same came down sharply.

DST sources said the programme will remain with it during the 12 th plan period and it has put in place a comprehensive plan. The plan includes components like new initiatives for transfer of technology on translational path, stress on animal health related projects, popularization through workshops, strengthening of monitoring, special coverage for biostatistics protocols development and powerful software and capacity building, the development of vaccines with a link to Ayurveda and Siddha drugs and vaccines, and standardization, scientific validation of Ayurvedic/Siddha formulations.

During the last five years, grant-in-aid was given to 39 projects (23 public private partnership collaborative projects, 14 projects for creation of national facilities and 2 grants-in-aid projects to industry for neglected diseases besides that 30 loan projects to pharma R&D industries, sources said.