India’spharma exports have seen a steady increase over the past few years and are often considered as one of the strong export sectors for the country.
In the last fiscal India’s pharma exports touched USD 19.2 billion with the North American market constituting the biggest market for exports followed by Africa, European Union and ASEAN countries.
Similarly in the sunrise state of Andhra Pradesh Pharma exports have been steadily growing thanks to JNPC i.e. the Jawaharlal Nehru Pharma city for playing the role of a catalyst.
‘Out of the total plotted area of 1400 acres 1200 acres have been allotted in which 82 units are operating’ said Dr PPLal Krishna, Managing Director of RamkyPharma city (India) Ltd. the developers of JNPC.
This pharma city has an exclusive area demarcated for SEZ units and non SEZ area for domestic units.
It is stated that out of the total 82 companies in this pharma city 14 companies operate under the SEZ area while the remaining come under the domestic area.
‘The world’s biggest pharma company Pfizer has a presence here and employs about 3800 people’ said Mr Lal Krishna.
He further informs that out of the top 25 global pharma companies four of them have a presence in Ramky’spharma city.
‘This is because we have developed a world class pharma city with state of the art facilities from a common effluent treatment plant to having the best ISO certifications. We are the only park in India having an integrated environmental management services’ said the Managing Director.
As per Mr Lal Krishna the total revenues of the companies operating in JNPC (both SEZ and non SEZ) amounted to about Rs 28000 crores in the last fiscal (2018-19) which is a significant increase from the Rs 20,000 crores it had done in the previous fiscal (2017-18).
In terms of employment and investment generated Ramky’s JNPC claims to have garnered investments to the tune of Rs 25000 crores and generated employment for about 234000 people since its inception.
A joint venture between the Government of Andhra Pradesh and Ramky group,JNPC has seen many companies expand further here by taking additional space/units. Laurus Labs, Mylan, Granules Omnichem to name a few have all expanded to 3 units said Mr Lal.
New upcoming Units:
Some of the other global companies that are on the anvil include the likes of Biocon and Lupin. Construction is said to begin soon for these units.
Simultaneously 2 other major Japanese companies are also expected to start operations here with a total investment of more than Rs 500 crores.
‘Ramkypharma city is now full. We don’t have any more space for companies’ said Mr Lal Krishna.
Citing huge demand from both foreign and domestic pharma companies he says that the developers would be happy to get more land space from the government. ‘If the government can allocate us an additional 3000 acres I can sell it in 6 months’ said Mr Lal Krishna. With AP’s strategic location both to coastal and easy connectivity to major airports pharma companies find this region ideal for setting up their units.
The Managing director projects an additional investment of Rs. 30,000 crores in the pharma sector alone in AP if the government allots them additional space.
Having projected good growth for the pharma industry Mr Lal Krishna however cites skilled manpower to be the biggest challenge faced by the units here. This he says needs to be addressed with swiftness.