Chhattisgarh eyes investments with high-incentive policy and dedicated pharma park

Chhattisgarh is stepping up efforts to position itself as a leading pharmaceutical and biotechnology hub in central India, backed by a high-incentive industrial policy, a dedicated pharma park at Nava Raipur and expanding healthcare and manufacturing infrastructure in the state.

“Our objective is to convert investment intent into time-bound execution. We have identified Pharmaceuticals and biotechnology as priority sectors for industrial growth and our incentive framework is designed to ensure investors recover a significant part of their capital while establishing globally competitive manufacturing operations,” said Rajat Kumar, Secretary, Industry, Government of Chhattisgarh.

"Pharmaceuticals and biotechnology have been classified as thrust sectors under the Industrial Development Policy 2024–30. Eligible units can avail industrial investment incentives of up to 100 percent of eligible fixed capital investment including reimbursement of net State GST paid for up to 12 years, subject to prescribed limits or alternatively opt for fixed capital investment grants,” he said.

As per policy provisions, pharmaceutical projects with investments of Rs 50–200 crore are eligible for capital grants of up to Rs 60 crore, while projects in the Rs 200–500 crore range can avail grants of up to Rs 150 crore.

Investments exceeding Rs 500 crore are eligible for capital grants of up to Rs 300 crore. Additional incentives include 100 percent exemption from electricity duty for 12 years, exemption from stamp duty, relief on registration charges and 50 percent reimbursement of charges for new electricity connections. Projects with investments above Rs 1,000 crore are eligible for customised incentive packages.

A key anchor for the sector is the 142-acre dedicated pharma park at Nava Raipur, which is being developed as a plug-and-play manufacturing cluster for formulations, APIs, contract research and manufacturing services, medical devices and AYUSH products. The park will be supported by common infrastructure including need-based water supply, effluent treatment plants and solid waste management facilities under a PPP framework.

The state offers a strong talent base, with over 50,000 graduates entering the workforce annually from institutions such as IIT, IIM, AIIMS, NIT, IIIT and NLU, supported by over 100 pharmacy colleges and 300 vocational training centres. 

The pharmaceutical manufacturing ecosystem is being complemented by investments in healthcare and allied sectors. These include a 350-bed multi-speciality hospital planned in Bastar and the upcoming Bombay Hospital. The state has also recently received investment commitments from Shalby Hospitals for a multi-speciality hospital project and from Torrent Pharmaceuticals for pharmaceutical manufacturing.