Government of India’s New Policy to Boost Pharma Research Invention

Pankaj Patel highlights the government's upcoming incentive policy, fostering pharmaceutical research and development invention.

The government of India is creating a new pharmaceutical research incentive method that will encourage several Indian enterprises to take part in research and development (R&D), according to Pankaj Patel, chairman of Zydus Lifesciences Ltd. He noted that there is a prospect for new medication discoveries because there is no cure for 40,000 illnesses worldwide.

Patel underlined the importance of continuous invention to improve products and offerings for customers. He highlighted that introducing new products is essential for staying competitive. He also mentioned that in the next two years, the government is set to disclose a new motivation policy for pharmaceutical research, marking the beginning of an invention journey for many pharmaceutical companies. Patel shared these perceptions during a fireside chat on "Pharma Innovations and India’s Future," organized by CII.

Patel said that the ecosystem for development has not yet been established when asked if Indian pharmaceutical businesses are ready to switch from manufacturing generics to creating unique compounds. He pointed out that the industry's main USP is now its low prices, which have always been its main focus.

Patel recognized that both the industry and policymakers are responsible for not nurturing an ecosystem favorable to modernization. However, he pointed out that the government is now seriously considering innovation, which will require changes in the regulatory system and the establishment of a funding mechanism, as improvement comes with inborn risks and requires risk capital. Patel expressed hopefulness, stating that the government’s announcement of ₹1 lakh crore for research and innovation will benefit not just the pharmaceutical sector but all industries.