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Gireesh Babu, New Delhi April 08 , 2026
The Department of Pharmaceuticals (DoP) has once again revised the Revamped Pharmaceuticals Technology Upgradation Assistance Scheme (RPTUAS) modifying the norms related to claiming the first instalment of the subsidy and submission of manufacturing standards certificates for shortlisting of applicants under the sub-scheme.

The move comes close to the heels of the Parliamentary Panel on Chemicals and Fertilisers, which recommended the DoP to take urgent measures to ensure the fund to be transferred to the eligible micro, small, and medium enterprises (MSMEs) in a time-bound manner.

"Pursuant to deliberations, the Scheme Steering Committee (SSC) for the Scheme 'Strengthening of Pharmaceutical Industry' (SPI) has recommended to further liberalise the modalities of implementation of the sub-scheme-RPTUAS," said the DoP while announcing the fresh modifications in the guidelines of the sub-scheme.

The modification states that to claim the first instalment of subsidy or incentive, the shortlisted applicant will require to submit any one of the certificates, that is, the revised Schedule M or the World Health Organisation's (WHO) Good Manufacturing Practice (GMP) certificate with Chartered Accountant certified expenditure incurred after January 1, 2024 on eligible activities under the scheme.

The guideline so far was that to claim the first instalment of the subsidy, the shortlisted applicant should submit revised Schedule M certificate and CA certified expenditure after January 1, 2024 on eligible activities under the scheme. The modification is to accept WHO-GMP certificate also, in the place of revised Schedule M, for claims related to first instalment of the subsidy.

Besides, it has also modified the guideline related to submission of documents for claiming the second instalment of the subsidy. The shortlisted applicant should subsequently submit the remaining one certificate, that is the revised Schedule M or WHO-GMP certificate with CA certified expenditure incurred after January 1, 2024, on eligible activities under the scheme, while the previous guideline mandated only WHO-GMP certificate to be submitted for the claim for the second instalment.

In 2024, the DoP has revised the guidelines with an upward revision of maximum incentive and include the expenditure incurred on product equipment for calculation of the subsidy amount.

The latest modification is announced shortly after the recommendation of the Department-related Parliamentary Standing Committee on Chemicals and Fertilisers to take urgent measures to ensure the fund to be transferred to the eligible micro, small, and medium enterprises in a time-bound manner after taking note that no actual expenditure has been incurred under so far.

The Panel, while considering the Demand for Grants of the DoP for the financial year 2026-27, observed that sole reliance on post-certification reimbursement model and lack of field-level engagement with beneficiary MSME units have rendered the funds allotted under the Scheme completely unspent.

"Therefore, the Committee recommend that urgent measures to ensure that funds under the RPTUAS earmarked for technological upgradation of eligible MSMEs are disbursed in a time-bound manner in the final Financial Year i.e. 2025-26 may be taken by the Department and the Committee be apprised accordingly," said the Panel headed by Member of Parliament Kirti Azad Jha.

The Panel noted that despite Budget Estimates allocation of Rs. 95 crore in 2023–24, Rs. 5 crore in 2024–25 and Rs. 100 crore in 2025–26, no actual expenditure has been incurred under the Scheme so far.

Release and utilization of financial assistance under the scheme are contingent upon the completion of procurement of plant and machinery, installation, technology upgradation and the receipt of certification and verification from the concerned drug regulatory authority/authorities confirming compliance with the revised Schedule M of the Drugs Rules, 1945, and the World Health Organization – Good Manufacturing Practices.

It also noted that the approved projects are at different stages of implementation. Approval of Rs. 18.24 crore in favour of 18 applicants, who had applied during the initial phase of the scheme, is under process and the amount will be released shortly.

This indicates that funds have not been disbursed under the scheme so far, and to that extent the corresponding financial outlay is committed expenditure, observed the Panel.

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