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MP drug units initiate measures for setting up SPV to develop pharma cluster in Indore
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Laxmi Yadav, Mumbai
October 19 , 2020
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The Madhya Pradesh Small Scale Drug Manufacturers Association (MPSDMA) has initiated steps for setting up a special purpose vehicle (SPV) to develop a pharma cluster on Sanwer Road in Indore following a letter from district trade and industries centre in this regard.
The district trade and industries centre, Indore recently wrote to MPSDMA asking it to set up an SPV at the earliest and send the list of SPV members to it, so that the plot admeasuring 4000 sq metre in Sector-F, Industrial Area on Sanwer Road would be allocated to the SPV.
The plot has been earmarked for establishing a common facility centre (CFC) which will house a common testing facility, training centre, research and development centre, effluent treatment plant, common logistics centre, exhibition centre, conference hall etc. The CFC may be utilized by the SPV members as well as others in the cluster.
Around 200 drug units including formulation, API, Ayurveda units in Indore will benefit from the proposed pharma cluster. Due to financial constraints and lack of skilled human resource, pharma SMEs are finding it extremely difficult to expand.
Speaking at a programme held by Laghu Udyog Bharati last year, its Indore unit vice president Amit Chawla urged minister of state for micro, small and medium enterprises Giriraj Singh to set up a pharma cluster in Indore to ensure adequate testing, training and effluent treatment facilities for pharmaceutical industry.
Singh agreed to his request and assured him of the government support in developing the pharma cluster and common testing facility in Indore.
Later he took up the matter pertaining to cluster development with the department of pharmaceuticals which launched the cluster development programme for pharma sector in 2015 to provide support to the pharmaceutical industry especially SMEs in enhancing quality, productivity & innovative capabilities.
Subsequently 4000 sq metre open plot was earmarked by Madhya Pradesh Industrial Development Corporation (MPIDC) Indore in the industrial belt on Sanwer road to build CFC.
The cluster development programme would be implemented on a public private partnership (PPP) format through one time grant –in – aid to be released in various phases for creation of identified infrastructure and common facilities to a SPV set up for the purpose.
The SPV will have representatives from cluster members, financial institutions, state & Central governments and R&D organisation. The SPV shall have full operational autonomy to develop, operate and maintain the infrastructure.
Said Amit Chawla, general secretary, MPSDMA as well as Laghu Udyog Bharati, Indore unit, “The formation of SPV is underway. We have taken up the matter pertaining to formation of SPV with our association members so that maximum number of members will become part of SPV.”
“Earlier we requested for formation of CFC consisting of a common quality control lab, training centre, logistics hub, conference hall, exhibition hall etc to develop pharma MSMEs in MP. The anticipated project cost will be around Rs. 15 crore and we are seeking details on contribution of central and state governments, our responsibility and guidelines & rules regarding cluster development scheme. This will help us for development of the pharma cluster, formation of SPV, creating CFC,” said Chawla.
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