As the Finance Minister is going to introduce the Interim Budget 2024, the Indian pharmaceutical industry commands a significant share of more than 20 per cent in the global medical supply chain. The Indian pharma industry is expecting tax breaks, benefits that are focussed on research and development (R&D) and a further boost in the production-linked incentive (PLI) Scheme.
Experts are expecting that the government will bring the Goods and Services Tax ( GST ) rate on APIs at par with formulations. Additionally, industry leaders are hoping that the centre offers additional incentives to promote the manufacturing of pharma products.
Pharma manufacturers strongly demand the need to upskill people working in the industry, particularly in the manufacturing and quality functions.
It is also expected that the industry will see a further boost in the existing PLI scheme. So far, as part of the scheme, investments worth Rs 25,813 crore have been made and 56,171 new jobs were added as of September 2023. The PLI scheme was also launched for medical device manufacturing, where the government had given permission for investments of Rs 2,000 crore to 26 investors. The Indian pharma sector aims to grow to $120-130 billion by 2030 and $350-400 billion by 2047.
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