To bring in standardization for small ayurvedic manufacturers and to help them grow their manufacturing businesses, the Ayush department has set up the first cluster in Maharashtra 'Konkan Cluster' to facilitate the licensed manufacturers get more common facilities through the cluster approach. Civic infrastructure of the cluster is nearing completion and will be operational in a couple of months time.

The total cost of the project is Rs.14.79 crore of which Rs.8. 87 crore has been sanctioned as grant from the Ayush Department, government of India under the scheme of which Rs.6.70 crore has been received. The rest Rs.2.17 crore will be received shortly on completion of the project.

The scheme entails contribution of 20 per cent funding from the cluster and the rest 80 per cent from the central government. The cluster of 35 to 40 manufacturers will not only ensure common facility for around 15 different sections like tablets, capsules, powder, syrup, etc but would also offer advanced lab testing facilities under one roof thereby enhancing efficiency, authenticity and efficacy of the product.

"The civil work for Konkan Cluster is nearing completion. The cluster spans an area of 50,000 square feet at Sangmeshwar Taluka located between Ratnagiri and Chiplun on Mumbai-Goa Highway. The multiple common facility will include 5000 to 7000 square feet lab testing facility," said Dr Nand Kishore Jethale, chairman, Konkan Ayur Pharma Pvt Ltd, name of the company under which the Konkan Cluster has been set up. The Cluster has 16 partners which has 47 per cent participation from the investors and 53 per cent from the manufacturers.

"We have been able to contribute funds for the cluster with the help of shareholders contributing 15 per cent of the amount and 25 per cent through Union Bank of India as a term loan to meet our share of 40 per cent as mandated under the cluster scheme. Around 15 investors and 15 manufacturers have registered with the Special Purpose Vehicle (SPV) through which Rs.2 crore has been deposited in installments of Rs.1.06 crore and Rs.94 lac respectively and the rest will be borne through term loan from Union Bank of India and contribution from shareholders," explains Dr Jethale.

"Setting up of the Konkan Cluster was pending for four years and has finally taken off. The scheme was planned to facilitate development of multiple common facilities for Ayush industry in each state of the country," informs Dr Suhash Walchale, technical officer and licensing authority, Department of Ayurveda, Maharashtra.