Budget 2024: The government wants to establish India as a center of innovation; the pharmaceutical industry may get more funding

 Budget 2024: The government wants to establish India as a center of innovation; the pharmaceutical industry may get more funding

Budget 2024: The government wants to establish India as a center of innovation; the pharmaceutical industry may get more funding

In his Budget 2023 address, the Finance Minister unveiled a new initiative to support pharmaceutical research and innovation by creating Centers of Excellence.

To build a value-based future, India's $50 billion pharmaceutical industry must increase its R&D capability. Finance Minister Nirmala Sitharaman is anticipated to propose further measures to boost R&D in the pharmaceutical sector in the Union Budget 2024–2025.

In her last budget address on February 1, 2023, Sitharaman emphasized the importance of R&D efforts and the pharmaceutical industry in India.

The Minister unveiled a new initiative to support innovation and research in pharmaceuticals via Centers of Excellence in order to advance R&D.

He had said that while India strives for self-reliance in the pharmaceutical sector, particularly in the production of active pharmaceutical ingredients (APIs), the industry would also be encouraged to engage in R&D in certain priority areas.

In September of this year, the government introduced a new strategy on R&D and innovation in the pharmaceutical and medtech sectors against the background of the budget announcement.

Positioning India as a high-volume, high-value participant in the global pharma market and ensuring quality Tries to do, this strategy attempts to shift the cost-focused nature of the Indian pharma and medtech sector to one that is value and innovation oriented. aims for accessibility and affordability.

The plan calls for the creation of accessible, reasonably priced solutions for high-priority healthcare issues, the introduction of commercially viable products that will quicken the expansion of the pharmaceutical industry, and industry-wide cooperation between state-run and private organizations. will encourage cooperation and scholarly ties.

In addition, a plan to support research and development in the pharmaceutical and medical technology industries was authorized, requiring a capital investment of Rs 5,000 crore.

Seven Centers of Excellence would be established at the National Institute of Pharmaceutical Education and Research (NIPER) with a budget of Rs 700 crore, according to the proposal. The locations of the centers will be prearranged.

A budget of Rs 4,250 crore has been set aside to promote research in six key areas: medical devices, stem cell treatment, complicated generics, including orphan pharmaceuticals, biosimilars and antimicrobial resistance, novel chemical entities, and medical devices.

Financial assistance for both internal and academic research will be provided to large institutions, MSMEs, SMEs, and startups that collaborate with government institutions.

India's $50 billion pharmaceutical industry must increase its R&D capabilities if it wants to build a value-based future. In terms of volume, the nation's pharmaceutical business ranks third globally. Thanks to innovation and discoveries, the pharmaceutical business has the potential to reach a valuation of $120-130 billion over the next 10 years.