Govt approves Medical Devices Park common facilities in HP and MP

The total financial outlay of the scheme is Rs. 400 crore.

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Medical Device
Medical Device

Last Updated on January 9, 2024 by The Health Master

The Department of Pharmaceuticals (DoP) has accorded final approval to the medical devices park projects in Himachal Pradesh and Madhya Pradesh, with a financial assistance of Rs. 100 crore each for development of common infrastructure facilities in the medical devices parks.

During the month of February, 2022, the Janaushadhi Kendras have helped the common man to save around Rs. 377 crore by providing medicines at an affordable rate, said the Department in its latest report.

The Scheme Steering Committee of the DoP, in its recent meeting, accorded final approval to the development of common facilities in the medical devices parks in Himachal Pradesh and Madhya Pradesh and the same was conveyed to the States through a letter on February 10, 2022, said the monthly summary report of the Department.

According to this, both the States will be getting a financial assistance of Rs. 100 crore each for development of Common Infrastructure Facilities in the medical devices park to be developed by these State governments.

Proposals from 16 States/Union Territories – Chhattisgarh, Goa, Gujarat, Haryana, Himachal Pradesh, Karnataka, Kerala, Jammu & Kashmir, Madhya Pradesh, Maharashtra, Punjab, Rajasthan, Tamil Nadu, Telangana, Uttar Pradesh, and Uttarakhand – were received under the scheme for Promotion of Medical Devices Parks.

After evaluation of proposals, the Scheme Steering Committee in its meeting held on September 14, 2021 accorded the in-principle approval and the same was conveyed to the four States – Himachal Pradesh, Tamil Nadu, Madhya Pradesh and Uttar Pradesh- through an Office Memorandum on September 24, 2021.

The Scheme for Promotion of Medical Devices Parks was approved by the Cabinet on March 20, 2020. The operational guidelines of the scheme were issued on July 27, 2020 and the last date for receiving the proposals from the States/UTs was October 15, 2020.

Under the Scheme, a one-time grant-in-aid of maximum Rs. I00 crore will be provided for creation of common infrastructure facilities in selected medical device park proposed by a State Government.

The parks will provide common testing and laboratory facilities/centres at one place reducing the manufacturing cost significantly and will help in creating a robust ecosystem for medical device manufacturing in the country.

The total financial outlay of the scheme is Rs. 400 crore. IFCI Ltd is the Project Management Agency (PMA) for the scheme to provide assistance to DoP.

The scheme aims to provide financial assistance in the form of grant-in-aid for the purpose of creation of common infrastructural facilities to 4 states for Medical Device Parks (maximum Rs.100 crore each).

The National Pharmaceutical Pricing Authority (NPPA) has received an overcharged amount of Rs. 3.42 crore during the month of February. The inflow of Foreign Direct Investment (FDI) during the month was Rs. 565.53 crore.

It may be noted that the FDI into the sector has been on a growth in the last two years, primarily to address the Covid-19 related demands. The Department received two more FDI proposals during the month, taking the total pending proposals at the end of the month to 11.

Meanwhile, under the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP), during the month of February, the Centre has started 19 more Janaushadhi Kendras taking the total number of Kendras to 8,689 as on February 28, 2022. During the month, the Kendras sold medicines for Rs. 62.78 crore, resulting in saving of around Rs. 377 crore to the common man.

The product basket as on February 28, stands at 1616 medicines and 250 surgical devices. It has sold Rs. 90 lakh worth of Suvidha sanitary napkins, which are sold at Rs. 1 per pad.

During the month the Department also approved eight applications in the second round of production linked incentive (PLI) scheme for bulk drug, taking the total numbers to 49 applications out of the total 239 applications received.

Another eight applications for the PLI scheme for medical devices were also approved, taking the number of applications approved to 21, out of the total 42 applications received. It has received 278 applications for the PLI scheme for pharmaceuticals, of which 55 has been approved so far.

The DoP has also announced vacancies including the post of Director for NIPERs Raebareli and Ahmedabad; one post of director/deputy secretary, two posts of under secretary and principal private secretary in the DoP, and some posts in the public sector undertakings.

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