Budget 2024: Pharmaceutical sector needs significant R&D incentives, tax breaks and strong intellectual property framework – Budget 2024 News

Budget 2024: With Finance Minister Nirmala Sitharaman presenting the Union Budget for 2024 later this month, pharma industry leaders are demanding a renewed focus on the industry.

Mridul Dhanuka, Director, Orchid Pharma told Financial Express.com that with the upcoming Budget, they expect to further strengthen the position of our sector to further differentiate ourselves in the global arena. “We have proven our capabilities; now we need support to access and compete effectively in the global market,” Dhanuka said.

“Orchid Pharma’s breakthrough invention, the new chemical entity (NCE) antibiotic Cefepim-Enmetazobactam, is a prime example of Indianpotential to revolutionize global healthcare. This achievement highlights the enormous potential of the Indian pharmaceutical industry“which is ready to play a bigger role in global innovation,” he said Financial Express.com.

He also revealed that they expect increased allocation for healthcare infrastructure and significant incentives for R&D. Increased tax benefits, such as a tax credit of up to 200% on R&D expenses, could significantly boost investment in cutting-edge research and drug discovery, he noted.

Moreover, extending the Production Linked Incentive (PLI) scheme to the entire pharmaceutical sector would not only boost domestic manufacturing but also encourage exports by providing financial assistance for setting up world-class manufacturing facilities.

“In conclusion, we believe it is important to accelerate regulatory approvals by streamlining processes in line with global standards. This would enable Indian pharmaceutical companies to showcase their innovations globally and make a greater contribution to global health.” “solutions,” he added.

Similarly, VS Mani, Executive Director and Global CFO of Glenmark Pharmaceuticals He also said that the government’s PLI programme has started yielding tangible results in the form of strengthening domestic pharmaceutical production, reducing dependence on imports, attracting talented manpower and increasing investments in the sector.

“This, along with the focus on quality improvement through Good Manufacturing Practices and revised Schedule M, lays a solid foundation for the industry to grow. The Promotion of Research and Innovation in Pharmaceutical Medical Technology (PRIP) is a strategic step towards increasing indigenous R&D. Moreover, streamlining of regulations through the new Drugs and Cosmetics Act will further strengthen India’s position as a global leader in pharmaceuticals. Looking ahead, it is crucial to retain a skilled workforce and introduce robust initiatives that encourage the best scientific talent,” Mani said. Financial Express.com.

He added that policies that encourage skilled workers of Indian origin from around the world to return and contribute to the country’s development will be crucial to supporting innovation and industrial development.

Meanwhile, Nikhil Chopra, CEO and Whole-time Director of JB Pharma, said the pharmaceutical industry has been praising the government for its continued support for its growth.

“Looking ahead, the upcoming Budget presents an exciting opportunity to strengthen this position and propel us to even greater heights. One key focus area is strengthening the framework for intellectual property (IP). A strong IP system will encourage companies to invest in groundbreaking research and development that leads to the discovery of new life-changing-saving medicines. The government’s commitment to stringent Good Manufacturing Practices (GMP) and quality control measures is commendable. These efforts ensure that the highest quality medicines reach patients across the world,” Chopra said Financial Express.com.

Moreover, the government’s initiatives to address the growing challenges posed by infectious and non-communicable diseases are commendable, he added.

“Building on this success, the Budget could explore initiatives that encourage the development and manufacturing of value-added generic medicines. This would not only benefit patients by providing access to more advanced treatments, but would also cement India’s position as a leader in next-generation pharmaceuticals. Given the rapid transformation, it is essential that the skill set is also updated. Government support in skill development is crucial to ensure that the industry has a workforce that is fit to meet the challenges of the future,” Chopra said. Financial Express.com.

He also stressed the need to strengthen primary health care.

“As interest in preventive healthcare grows, measures and incentives need to be taken to encourage early diagnosis. Addressing supply chain issues also remains critical. Government action to address these gaps will be necessary to ensure the industry’s continued growth and efficiency,” he added.

Mohan Jain, Director, Naprod Life Sciences said they are also expecting strategic improvements that will strengthen the Indian pharma sector. We expect the Budget to extend the current trajectory of innovation, sustainable growth and also encourage R&D.

“Having introduced policies last year to simplify access to the international market, we now hope to see measures that will help improve quality standards across the country. This will only strengthen our domestic capabilities and also expand our global reach, contributing significantly to economic growth and healthcare innovation,” Jain said. Financial Express.com.

He added that it is crucial that the upcoming budget is aligned with the pharmaceutical industry’s vision of making India a global leader in pharmaceuticals by 2030.

Moreover, Dr. Saloni Wagh, Director, Supriya Lifescience Ltd. said: Financial Express.com that she is optimistic about the upcoming EU budget and its potential positive impact on the healthcare and pharmaceutical sectors.

“We hope to see significant progress, particularly by increasing vaccination coverage against cervical cancer among young girls, a key step in preventing a disease that affects many women in India. In addition, expanding healthcare Outreach to ASHA and Anganwadi workers under Ayushman Bharat will recognise their invaluable contribution to India’s rural healthcare system. Strengthening maternal and child healthcare programmes will improve service delivery and health outcomes for vulnerable populations,” said Dr Wagh Financial Express.com.

She added that strengthening the position of women, with particular emphasis on entrepreneurship and improving the quality of life, remains a priority.

“We urge the government to increase research and development (R&D) and innovation in the pharmaceutical sector and improve infrastructure. These measures are essential to maintain India’s competitive edge in global markets and effectively address health challenges,” she added.

Dr Wagh says the government’s commitment to provide loans of over Rs 30 crore to women entrepreneurs under the Mudra Yojana scheme is commendable.

“The upcoming budget provides an opportunity to further progress towards achieving the goal of ‘Viksit Bharat’. We expect measures to increase women’s participation in the labour market by developing their skills and entrepreneurship, ensuring their significant role in the development of our country,” she added.

Shweta Rai, Country Head, South Asia, Bayer Pharmaceuticals, highlighted that the Union Budget 2023 has given impetus to pharmaceutical research and development (R&D) through new schemes and allocations.

“We look forward to the government continuing to focus on R&D in the upcoming Union Budget. Health Minister JP Nadda’s strategic focus on non-communicable diseases (NCDs) and extending the reach of Ayushman Bharat to the elderly population in his 100-day programme is a welcome move in the context of an ageing population and rising incidence of NCDs like diabetes and chronic kidney disease. We hope that increased budget allocations in these areas will help make innovative therapies available to people across the country,” Rai said. Financial Express.com.

We expect the emphasis on women’s health, announced in the interim budget earlier this year, to be maintained in this Union Budget, Rai said. Financial Express.com.

“As India moves towards integrating digital health solutions, we expect budgetary allocations that will strengthen healthcare infrastructure and service delivery capabilities. These investments are crucial to increasing the efficiency and accessibility of healthcare services, ultimately ensuring better health outcomes and quality of life for all citizens,” she said.