Minister of State for Shipping and Chemicals & Fertilizers Mansukh Mandaviya has said that total foreign direct investment (FDI) in the drugs and pharmaceutical sector in the country rose to Rs 2,065 crore during first half of current financial year (April to September period of FY20). He highlighted that the FDI equity inflow in the drugs and pharmaceutical sector stood at Rs 1,842 crore in FY19. FDI in the sector was at Rs 6,502 crore in FY18, Rs 5,723 crore in FY17, Rs 4,975 crore in FY16 and Rs 9,052 crore in FY15.
To attract larger FDI in the pharmaceutical sector, Mandaviya said the government reviews FDI policy on an ongoing basis with a view to liberalise and simplify it progressively and improve the country's investment climate by providing ease of doing business. Also, he said various measures are taken under Make in India initiatives facilitating investment, fostering innovation and thereby promoting robust business environment in the country.
Further, he mentioned that the government amended the FDI policy on pharmaceutical sector in June 2016 by allowing 100 per cent FDI for greenfield pharmaceutical projects and up to 74 per cent FDI for brownfield pharmaceutical projects through the automatic route and beyond that through government's approval. Besides, he stated the drugs and pharmaceuticals sector is witnessing an era of unparalleled growth and innovation. Drugs and pharmaceuticals are India's largest sectors- both in terms of revenue and employment.
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