Kiran Mazumdar-Shaw, Chairman and Managing Director of Biocon on the five issues that need to be addressed in pharmaceuticals by the new Narendra Modi government:
1. The price control that has been enforced on the industry should be reduced and the issue looked at in a more rational manner. Or else, it will eventually work towards discouraging the industry from manufacturing some essential drugs.
2. There is need for regulatory reforms because clinical trials are important for this industry. If we do not resolve the issues around clinical trials and their regulation, we will lose a huge opportunity for India.
3. There is need for greater fiscal incentives for manufacturing in pharmaceuticals because this holds the biggest opportunity for India in terms of global leadership. However, this being a very capital intensive affair, the industry needs a lot more fiscal incentives than those available today.
4. There is need for more incentives to encourage research. More investments need to be made into biotech incubators, accelerators and to encourage start ups in biotech, especially in biomedical devices and genomics.
5. Tax holidays in Special Economic Zones should be extended to the pharma industry to factor in the regulatory timelines required for manufacturing approvals.
As told to E.Kumar Sharma.