Four policies on PCPIR in the implementation stage
The Department of Pharmaceuticals is considering 11 FDI proposals worth Rs.7,211 crore in brownfield pharmaceutical projects while 15 FDI proposals worth Rs.1,512 crore have been approved from 1 April 2020 to 22 December 2020, according to a Ministry of Chemicals and Fertilizers industry review made public on 1 Jan 2020.
FDI inflows in the pharmaceutical sector (in both pharmaceuticals and medical devices) was Rs.5,846 crore in the year 2019-20 and Rs.3,039 crore from the April-September period of the financial year 2020-21.
Pharmaceutical is one of the top 10 attractive sectors for foreign investment in India which allows 100% foreign investment in Medical Devices and in greenfield pharmaceutical projects under the automatic route. Government approval is required for brownfield pharmaceutical projects where foreign investment is beyond 74% and up to 100%.
Elsewhere, the Government provides grant funding up to 50% of the project cost, subject to a ceiling of Rs.40 crore per project under the scheme for setting up Plastic Parks. The remaining project cost is funded by the State Government or state industrial Development Corporation or similar agencies of State Government, beneficiary industries and loan from financial institutions.
The scheme aims at setting up need-based plastic parks, an ecosystem with state-of-the-art infrastructure and enabling common facilities through a cluster development approach, to consolidate and synergize the capacities of the domestic downstream Plastic Processing industry.
Two of the six approved plastic parks are in Madhya Pradesh and one each in Odisha, Jharkhand, Tamil Nadu and Assam.
Two parks have almost achieved 100% progress in terms of the development of physical infrastructure. These are:
Tamot Plastic Park, Madhya Pradesh: The Rs.108 crore plastic park, approved in 2013, has completed 100% physical infrastructure in 2020. The authorities have allotted eight plots in the park to the industry and one unit is already functional in the plastic park.
Paradeep Plastic Park, Odisha: The Rs.107 crore plastic park, approved in 2013, has almost completed 100% physical infrastructure in 2020. The authorities have allotted seven plots in the park to the industry.
Currently, four Petrochemical Investment Regions (PCPIRs) policies are being implemented in Andhra Pradesh (Vishakhapatnam), Gujarat (Dahej), Odisha (Paradeep) and Tamil Nadu (Cuddalore and Nagapattinam) to promote investment and industrial development in these sectors.
Once fully established, these four PCPIRs are expected to attract investment of around Rs.7.63 lakh crore. As per data available from State Governments, investments worth Rs.2.12 lakh crore approximately have been made and or committed in these PCPIRs.
The PCPIRs promotes the Petroleum, Chemical and Petrochemical sectors in an integrated and environmentally friendly manner on a large scale. PCPIRs are envisioned with high-class common infrastructure and support services to provide a competitive environment conducive for setting up businesses. #investment #industries #manufacturing #projects #tenders /fiinews.com
