The Pharmacy industry specially the SME sector requires such a center since individual units cannot afford to have captive R&D facilities.
To fill the existing crucial gap in Research and Development in bulk drugs, a National Centre for Research and Development in Bulk Drug (NCRDBD) is to be set at NIPER, Hyderabad with a project cost of over Rs 52 crore and with an operating cost of over Rs 37 crore for five years. Approvals for the purpose have been given.
The performance of Bulk Drug sector is one of the critical factors that affect the overall efficiency and cost competitiveness of the pharmaceutical sector. There are nearly 2500 bulk drug manufacturing units in India. The estimated turnover of the Bulk Drug Industry in 2012-13 was around $12.5 billion.
The industry has shown a Cumulative Annual Growth Rate (CAGR) of 17 percent in the last three years and has a share of about 10 percent of the global bulk drugs market of about $110 billion. However, the import of Bulk Drugs has seen a CAGR of 18 percent during the last three years, indicating an increasing level of dependence on international supply for this critical input of pharmaceutical sector. This is further compounded by the fact that more than 60 percent share in imports of Intermediate for Active PIs is from a single country. The center is to be set up to urgently address these concerns and make the industry cost competitive. In Bulk Drug Industry, the reduced processes and improved technology can help in reducing the cost significantly.
The NCRDBD would be an innovative R&D provider in the field of bulk drugs and offer competitive and eco-friendly technologies in specified areas products and processes. This center will also provide centralized research facilities and technologies, analytical facilities and consulting services for process improvement and optimization. It would give special emphasis to the empowerment of MSME sector.