ANSWER
MINISTER OF STATE INDEPENDENT CHARGE FOR MINISTRY OF THE PLANNING
AND MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS
( RAO INDERJIT SINGH)
Madam, Ministry of Chemicals & Fertilizers comprises three Departments namely
Department of Fertilizers; Department of Chemicals & Petrochemicals; and
Department of Pharmaceuticals. The reply to parts of the question is as below:
(a):
Department of Pharmaceuticals
The following schemes under the umbrella scheme “Scheme for Development of
Pharmaceutical Industry” have been launched since the year 2014 by Department of
Pharmaceuticals, Ministry of Chemicals & Fertilizers:
(i) „Pharmaceutical Technology Upgradation Assistance Scheme? (PTUAS): The
objective of the sub-scheme is to facilitate Small and Medium Pharma Enterprises (SMEs)
to upgrade their plant and machinery to World Health Organization (WHO)/Good
Manufacturing Practices (GMP) standards so as to enable them to participate and
compete in global markets.
Under the scheme, assistance in the form of interest subvention against sanctioned loan
by any scheduled commercial bank/financial institution, both in Public and Private sector
will be provided to pharma SMEs of proven track record. The Scheme is to be
implemented through a Public Sector Financial Institution (PSFI) which is to be identified
by the Government. A total of Rs. 144 Crore has been earmarked for the scheme. The
upper limit of interest subvention on loans for technology/infrastructure upgradation shall
be restricted to 6% per annum for a period of three years on reducing balance basis. The
maximum loan eligible for this purpose will be Rs. 4 Crore, availed by the concerned SME.
(ii) „Assistance to Medical Device Industry for Common Facility Centre?: Under the
scheme, financial assistance would be provided for creation of Common Facilities in any
upcoming Medical Device Park promoted by State Governments/ State Corporations.
Since 2018, a total of Rs. 100 crore has been earmarked for the Scheme. Maximum limit
for grant-in-aid under this category would by Rs. 25 crore per Medical Device Park CFC or
70% of the project cost of the CFC, whichever is less.
(iii) „Assistance to Pharmaceutical Industry for Common Facilities?: Under the scheme,
one time grant–in-aid is to be released for creation of identified infrastructure and common
facilities to Special Purpose Vehicles (SPVs) set up for the purpose since 2015 for
development of pharma industries. A total of Rs. 30 crores has been earmarked for the
scheme. Maximum limit for the grant in aid under this category would be Rs 20.00 crore
per cluster or 70% of the cost of project whichever is less.
(iv) „Assistance to Bulk Drug for Common Facility Centre?: The Department is operating
this cheme since 2018 under which financial assistance would be provided for creation of
Common Facilities in any upcoming Bulk Drug Park promoted by State Governments/
State Corporations. A total of Rs 200 crore have been earmarked for the Scheme.
Maximum limit for grant-in-aid under this category would by Rs. 100 crore per Bulk drug
park CFC or 70% of the project cost of the CFC, whichever is less.
Department of Fertilizers
The Government of India has notified the New Urea Policy (NUP) - 2015 on 25th May,
2015 for existing 25 gas based urea units with the objective of maximizing indigenous urea
production; promoting energy efficiency in urea production; and rationalizing subsidy
burden on the Government. NUP-2015 has led to additional production of approximately
20 LMT as compared to 2014-15, from the existing gas based urea plants and the total
production of urea during the year 2015-16 was 244.75 LMT, i.e. the highest ever urea
production in the country. The indigenous urea production for the years 2016-17, 2017-18
& 2018-19 (upto Dec, 18) was 242.01 LMT, 240.23 LMT & 177.62 LMT respectively.
It may be further stated that the Department of fertilizers has also implemented Direct
Benefit Transfer System (DBT) across all States/UTs w.e.f. March, 2018. Under the
proposed fertilizer DBT system, 100% subsidy on various fertilizer grades shall be
released to the fertilizer companies on the basis of actual sales made by the retailers to
the beneficiaries.
Sale of all subsidized fertilizers to farmers/buyers is envisaged to be made through Point
of Sale (PoS) devices installed at each retailer shop and the beneficiaries are to be
identified through Aadhar Card, KCC, Voter Identity Card etc.
Department of Chemicals and Petrochemicals: This Department has not introduced any
new schemes since 2014.
(b)
Department of Pharmaceuticals
Under the scheme „Assistance to Medical Device Industry for Common Facility Centre?, in
Department of Pharmaceuticals, proposals were received from the State Governments of
Andhra Pradesh, Telangana and M/s HLL Medipark Ltd (HML), Chennai, which is a
Central Public Sector Enterprise, under administrative control of Ministry of Health &
Family Welfare. In-principle approval has been accorded to the proposal received from
Andhra Pradesh.
Under the Scheme „Assistance to Pharmaceutical Industry for Common Facilities?,
proposals were received from Madhya Pradesh, Andhra Pradesh, Gujarat and Tamil
Nadu. Out of these, the proposal of an Effluent Treatment Plant (ETP) received from
Chennai Pharma Industrial Infrastructure Upgradation Complex (CPIIUC), Alathur District
Kanchipuram, Chennai, Tamilnadu was selected. Recently, one proposal from
Government of Himachal Pradesh (Solan) and 2 proposals from Maharashtra
(Aurangabad, Pune) have also been received. In-principle approval has been accorded to
the proposal received from Pune, Maharashtra.
Under the Scheme „Assistance to Bulk Drug Industry for Common Facility Centre?
proposals were received from the State Governments of Assam, Andhra Pradesh and
Himachal Pradesh. In principle approval has been accorded to the proposals received
from Assam and Andhra Pradesh.
No proposal has been received under „Pharmaceutical Technology Upgradation
Assistance Scheme?.
Department of Chemicals & Petrochemicals implements only Central Sector Schemes and
does not implement any Centrally Sponsored Schemes.
(c)
Department of Pharmaceuticals
There is no provision for State-wise allocation in any of the schemes of the Department of
Pharmaceuticals.
No funds have been allocated for the Schemes of „Assistance to Bulk Drug for Common
Facility Centre?, „Assistance to Medical Device Industry for Common Facility Centre?, and
Pharmaceutical Technology Upgradation Assistance Scheme? as yet.
Under scheme of Assistance to Pharmaceutical Industry for Common Facilities?, about Rs.
4.5 Crore has been released to M/s Chennai Pharma Industrial Infrastructure Upgradation
Complex (CPIIUC), Alathur District Kanchipuram, Chennai, Tamilnadu so far. Funds
allocated and utilized under this scheme from 2015-16 to January, 2019 are as under:
(Rs. In Crore)
Year Funds allocated (Rs. Crore) Funds utilized
2015-16 12.50 0.00
2016-17 9.99 1.49
2017-18 9.99 0.82
2018-19 10.89 2.29
Department of Fertilizers
Budget Allocation and Fertilizer Subsidy released during the years 2014-15 to 2018-19:
(Rs. In Crore)
Financial Year Budget Allocation Subsidy Released
2014-15 75,067.31 75,067.31
2015-16 76,537.56 76,537.56
2016-17 70,100.01 70,100.01
2017-18 69,197.96 69,197.96
2018-19
(as on 31.01.2019)
73,439.85 67,490.12
Department of Chemicals & Petrochemicals implements only Central Sector Schemes and
does not implement any Centrally Sponsored Schemes. Hence, allocation for the schemes
implemented by it is not made State-wise. The details of funds allocated and utilized by
Department of Chemicals & Petrochemicals implements for the Central Sector Schemes
implemented by it is as follows:-
(Rs in Crores)
Financial Year Budget Allocation Amount Released
2014-15 63.01 16.57
2015-16 61.32 12.86
2016-17 54.01 35.10
2017-18 150.00 112.15
2018-19
(as on 31.01.2019)
58.51 215.87
(d)
Department of Pharmaceuticals has not set any time limits for implementing its
schemes. The schemes implemented by Department of Chemicals & Petrochemicals
are approved for continuing upto a period co-terminous with the 14th Finance
Commission, i.e. 31.03.2020. However, it is also informed that the „Assam Gas Cracker
Project?, one of the schemes implemented by this Department has already been
commissioned on 2nd January, 2016.
(e)
In the Department of Pharmaceuticals, the Scheme Steering Committees (SSCs) are
responsible for approving the projects and monitoring their implementation. In the
Department of Chemicals & Petrochemicals, the progress of all the schemes are
regularly monitored in the Senior Officer?s Meeting held in the Department every week/
fortnight.
(f)
In the Department of Pharmaceuticals, no NGOs are involved in the existing projects. In
the Department of Chemicals & Petrochemicals, action is taken in all such cases where
any NGO is found violating any rules.
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