NEWS – Revamped Pharmaceuticals Technology Upgradation Assistance Scheme launched

REVAMPED PHARMACEUTICALS TECHNOLOGY UPGRADATION ASSISTANCE SCHEME:

• Aim – Offer subsidies based on quality reimbursement, aiding pharmaceutical companies in achieving revised Schedule M and WHO-GMP certifications
• Key Features of the Revised Scheme:

1. Broadened Eligibility Criteria:
   • Expanded eligibility beyond Micro, Small and Medium Enterprises (MSMEs) to include any pharmaceutical manufacturing unit with a turnover of less than 500 crores needing technology and quality upgrades.
   • Preference for MSMEs to support smaller players in achieving high-quality manufacturing standards.
2. Flexible Financing Options:
   • Emphasizes subsidies on a reimbursement basis rather than a traditional credit-linked approach, introducing more flexibility in financing.
3. Comprehensive Support for Compliance with New Standards:
   • Aligns with revised Schedule-M and WHO-Good Manufacturing Practice (GMP) standards.
   • Supports a wider range of technological upgrades including HVAC systems, water and steam utilities, testing laboratories, etc.
4. State Government Scheme Integration:
   • Allows integration with state government schemes for additional top-up assistance.
   • Aims to maximize support for the pharmaceutical industry in technology upgradation efforts through collaboration.
5. Incentive Structure based on Turnover:
   • Units with turnover less than Rs 5 crore receive a 20 percent incentive of investment under eligible activities.
   • Units with turnover ranging from Rs 50 crore to less than Rs 250 crore receive a 15 percent incentive of investment.
   • Units with turnover ranging from Rs 250 crore to less than Rs 500 crore receive a 10 percent incentive of investment under eligible expenses.

What is Pharmaceuticals Technology Upgradation Assistance Scheme?

• PTUAS has been incorporated as a sub-scheme under the Scheme – Strengthening of Pharmaceutical Industry (SPI), which was launched in July 2022.