Govt promises policy support for pharma machinery & medical devices
Updated: Jul 19, 2014 11:48:42am
New Delhi, Jul 19 (KNN) Following concerns raised by the engineering industry about dumping of unregulated imports of pharmaceutical machinery from China, the government has assured policy support for pharmaceutical machinery and medical devices.
Briefing the media about the meeting of the stakeholders on Pharmaceutical Machinery, Medical and Surgical Equipment here today, Executive Director of EEPC India, Bhaskar Sarkar said, “We are facing a peculiar problem when it comes to trade with our neighbouring countries. While imports of pharmaceutical machinery are being dumped into India from China, we are confronted with an embargo on our machinery exports to Pakistan.
“We have taken up these issues with the government and the Commerce Ministry has responded with positive assurances,” he said.
EEPC is an apex organisation representing the USD 62 billion engineering export industry.
The engineering industry has raised its concern to the government about dumping of unregulated imports of pharmaceutical machinery from China and sought its entry into Pakistan seeking removal of embargo by Islamabad even as the Commerce Ministry has assured to promote India’s medical device and pharma machinery sector.
Medical device and pharma machinery which holds a bright future has been identified as a niche sector by Ministry of Commerce.
India’s USD 3.5 billion market for medical devices and equipment is dominated by imports which account for 65 per cent share of the medical devices. Among the major suppliers of medical devices, US, Germany and Japan are on top claiming 85 per cent of the total imports under this head.
“Most of the multi-national corporations have entered into India to encash the booming market,” Joint Secretary, Ministry of Commerce, Ravi Capoor stated.
It also noted that when it comes to the pharma machinery, of the Rs 6,000 crore worth of production, exports account for Rs 1800 crore . While the industry is growing at a rapid pace of 15-20 per cent, “there is a big scope for improving on exports of the pharma machinery and engineering skills just as the country has built a reputation of being a major supplier of the generic pharmaceuticals,” Sarkar said.
Also present on the occasion, Joint Secretary in the Commerce Ministry, Sudhanshu Pandey extended full government support for promoting the country’s engineering in the growing pharma sector.
Pandey said the Commerce Ministry would support the industry to out the new markets as part of the initiative to build on exports of the generic pharma and initiatives in foreign markets to promote domestic production.
Various suggestions were given to the government which included correction of the inverted duty structure, setting up of the Special Economic Zones for Pharma Engineering, changes in the D and C Amendment Bill to make it fair to the manufacturers and addressing internal non-tariff barriers.
It was also suggested that a comprehensive list of HS Codes, essential for any international trade, is developed and inadverdent advantage to imports be stopped.
The limitation of medical device falling under the preview of D&C act has been the major deterrent for the growth of the sector. The time delays and hassles make business non-viable and non-lucrative. For e.g. implantable medical devices has to be routed through Central and state governments, a process which often takes 24-48 months. This delay due to the absence of a Single window clearance hinders new product development, an EEPC-Yes Bank study said. (KNN/ES)
Briefing the media about the meeting of the stakeholders on Pharmaceutical Machinery, Medical and Surgical Equipment here today, Executive Director of EEPC India, Bhaskar Sarkar said, “We are facing a peculiar problem when it comes to trade with our neighbouring countries. While imports of pharmaceutical machinery are being dumped into India from China, we are confronted with an embargo on our machinery exports to Pakistan.
“We have taken up these issues with the government and the Commerce Ministry has responded with positive assurances,” he said.
EEPC is an apex organisation representing the USD 62 billion engineering export industry.
The engineering industry has raised its concern to the government about dumping of unregulated imports of pharmaceutical machinery from China and sought its entry into Pakistan seeking removal of embargo by Islamabad even as the Commerce Ministry has assured to promote India’s medical device and pharma machinery sector.
Medical device and pharma machinery which holds a bright future has been identified as a niche sector by Ministry of Commerce.
India’s USD 3.5 billion market for medical devices and equipment is dominated by imports which account for 65 per cent share of the medical devices. Among the major suppliers of medical devices, US, Germany and Japan are on top claiming 85 per cent of the total imports under this head.
“Most of the multi-national corporations have entered into India to encash the booming market,” Joint Secretary, Ministry of Commerce, Ravi Capoor stated.
It also noted that when it comes to the pharma machinery, of the Rs 6,000 crore worth of production, exports account for Rs 1800 crore . While the industry is growing at a rapid pace of 15-20 per cent, “there is a big scope for improving on exports of the pharma machinery and engineering skills just as the country has built a reputation of being a major supplier of the generic pharmaceuticals,” Sarkar said.
Also present on the occasion, Joint Secretary in the Commerce Ministry, Sudhanshu Pandey extended full government support for promoting the country’s engineering in the growing pharma sector.
Pandey said the Commerce Ministry would support the industry to out the new markets as part of the initiative to build on exports of the generic pharma and initiatives in foreign markets to promote domestic production.
Various suggestions were given to the government which included correction of the inverted duty structure, setting up of the Special Economic Zones for Pharma Engineering, changes in the D and C Amendment Bill to make it fair to the manufacturers and addressing internal non-tariff barriers.
It was also suggested that a comprehensive list of HS Codes, essential for any international trade, is developed and inadverdent advantage to imports be stopped.
The limitation of medical device falling under the preview of D&C act has been the major deterrent for the growth of the sector. The time delays and hassles make business non-viable and non-lucrative. For e.g. implantable medical devices has to be routed through Central and state governments, a process which often takes 24-48 months. This delay due to the absence of a Single window clearance hinders new product development, an EEPC-Yes Bank study said. (KNN/ES)
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