Aimed at benefiting domestic manufacturers and create employment, the Union Cabinet on Wednesday approved a Production Linked Incentive (PLI) scheme for pharmaceuticals.
The total quantum of incentives (inclusive of administrative expenditure) under the scheme is about Rs 15,000 crore over a period of fiscal 2020-21 to 2028-29.
"The scheme will benefit domestic manufacturers, help in creating employment and is expected to contribute to the availability of wider range of affordable medicines for consumers," said a statement.
The scheme is expected to promote the production of high-value products in the country and increase value addition in exports.
Total incremental sales of Rs 2,94,000 crore and total incremental exports of Rs 1,96,000 crore are estimated during six years from 2022-23 to 2027-28, the statement said.
The scheme is expected to generate employment for both skilled and unskilled personnel, estimated at 20,000 direct and 80,000 indirect jobs as a result of growth in the sector.
The programme is expected to promote innovation for the development of complex and high-tech products including products of emerging therapies and in-vitro Diagnostic Devices. It is also expected to improve the accessibility and affordability of medical products including orphan drugs to the Indian population. The scheme is also expected to bring in investment of Rs 15,000 crore in the pharmaceutical sector, said the release.
(With inputs from PTI)
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