**Executive Summary**
This document is the response to Unstarred Question No. † 2087 in Lok Sabha on December 12, 2025, regarding the "Promotion of Research and Innovation in PRIP Scheme". The Minister of State in the Ministry of Chemicals and Fertilizers provides details on the amendments made to the scheme, financial assistance, criteria for identifying priority innovation areas, institutional arrangements, and measures to promote Pharma-MedTech investments in underdeveloped regions. The amended scheme was notified on October 1, 2025.
**Key Points / Main Content**
* **Amendments to PRIP Scheme:**
* The Promotion of Research and Innovation in Pharma MedTech Sector (PRIP) scheme was amended and notified on 1.10.2025.
* Amendments aim to facilitate smooth implementation, increase clarity in governance, and improve benefit-sharing mechanisms.
* **Scheme Components:**
* Component A: Strengthening research infrastructure by setting up centers of excellence at National Institute of Pharmaceutical Education and Research (NIPERs).
* Component B: Promotion of Research and Innovation in the Pharma MedTech sector.
* **Financial Assistance (Component A - NIPERs):**
* Seven centers of excellence have been established at NIPERs in Mohali (₹100 crore), Ahmedabad (₹110 crore), Guwahati (₹100 crore), Kolkata (₹100 crore), Raebareli (₹100 crore), Hajipur (₹99.99 crore), and Hyderabad (₹90 crore).
* **Financial Assistance (Component B - MSMEs, Startups, Industry):**
* For Early Stage Projects: MSMEs and startups can apply for projects costing up to ₹9 crore for assistance of up to ₹5 crore (100% for the first ₹1 crore and 50% of additional cost).
* For Later Stage Projects: Industry, MSMEs, and startups can apply for projects costing up to ₹285 crore for assistance up to ₹100 crore (35% of the project cost, 50% in strategic priority innovation areas).
* Applications have been invited from pharmaceutical and MedTech industry and startups.
* **Strategic Priority Innovation Areas:**
* Criteria for inclusion: projects that address India's public health concerns with lower market potential.
* Later Stage Projects in these areas may receive financial assistance up to 50% of the approved project cost (vs. 35% for other projects), up to a maximum of ₹100 crore.
* **Institutional Arrangements:**
* Strengthening of research infrastructure at the seven NIPERs.
* Encouraging collaboration between industry/startups and government academic/research institutions.
* **Other Initiatives:**
* The Department of Pharmaceuticals has launched other schemes like PLI for Pharmaceuticals and Bulk Drugs, Strengthening of Pharmaceuticals Industry scheme and the Scheme for Promotion of Bulk Drug Parks to promote pharma-MedTech investment.
* Projects under PLI schemes spread across 21 States/UTs and over 540 manufacturing locations, including 18 projects in districts identified as aspirational by NITI Aayog.
**Impact Analysis**
**Stakeholder: Pharmaceutical and MedTech Industry and Startups**
* **Impact:** Opportunity to receive financial assistance for research and development projects and commercialization efforts in specific priority areas.
* **Action Required:** Apply for financial assistance under Component B of the PRIP scheme. The application process does not require startups and industries to declare the State where they are registered.
**Stakeholder: National Institutes of Pharmaceutical Education and Research (NIPERs)**
* **Impact:** Strengthening of research infrastructure and support for centers of excellence.
* **Action Required:** Utilize allocated funds to enhance research capabilities and promote industry-academia collaboration.
**Stakeholder: Indian Public**
* **Impact:** Potential for improved access to new medicines, complex generics, biosimilars, and novel medical devices, addressing public health concerns.
* **Action Required:** N/A
**Stakeholder: Industrially Under-Developed Regions**
* **Impact:** Promotion of investment and research to generate skilled employment and diversify the regional industrial base.
* **Action Required:** N/A
Key Entities Referenced
Promotion of Research and Innovation in PRIP Scheme: A scheme designed to promote research and innovation in the pharmaceutical and medical technology sector in India.
Ministry of Chemicals and Fertilizers: The government ministry responsible for administering policies related to the chemical and fertilizer industries in India, including the PRIP scheme.
National Institute of Pharmaceutical Education and Research (NIPERs): A network of institutes focused on pharmaceutical education and research, playing a central role in the PRIP Scheme's component A.
Production Linked Incentive (PLI) Scheme for Pharmaceuticals: A scheme designed to boost the domestic production of pharmaceuticals by providing financial incentives based on sales.
Department of Pharmaceuticals: The department under the Ministry of Chemicals and Fertilizers responsible for the development of the pharmaceutical industry.
GOVERNMENT OF INDIA
MINISTRY OF CHEMICALS AND FERTILIZERS
DEPARTMENT OF PHARMACEUTICALS
LOK SABHA
UNSTARRED QUESTION NO.† 2087
TO BE ANSWERED ON THE 12th DECEMBER, 2025
Promotion of Research and Innovation in PRIP Scheme
†2087. Shri Lumbaram Choudhary:
Shri Mahendra Singh Solanky:
Shri Praveen Patel:
Shri Bidyut Baran Mahato:
Shri Dilip Saikia: Shri Dulu Mahato:
Shri Vijay Kumar Dubey:
Shri Dineshbhai Makwana:
Dr. Vinod Kumar Bind:
Shri Naba Charan Majhi:
Smt. Kamlesh Jangde:
Dr. Prashant Yadaorao Padole:
Smt. Smita Uday Wagh:
Shri Khagen Murmu:
Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:
(a) whether the Government has recently made amendments in the Promotion of Research
and Innovation in (PRIP) Scheme, if so, the details thereof and the reasons therefor;
(b) the amount of financial assistance provided for initial and subsequent stage projects
under revised guidelines, State-wise;
(c) the criteria for identifying strategic priority innovation areas and the form of incentives
offered for projects aiming to address high priority public health challenges thereunder;
(d) the institutional arrangements made under the said scheme to facilitate development of
National Pharma-MedTech innovation ecosystem; and
(e) whether the Government proposes dedicated measures to promote Pharma-MedTech
investment and research clusters in industrially under-developed regions like Jalgaon Lok
Sabha Constituency (Khandesh) in Maharashtra, to generate skilled employment and
diversify the regional industrial base?;
ANSWER
THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND
FERTILIZERS
(SMT. ANUPRIYA PATEL)
(a): Yes. Promotion of Research and Innovation in Pharma MedTech Sector (PRIP) scheme
was amended and the amended scheme was notified on 1.10.2025. The recent amendments
were carried out to facilitate smooth implementation, bring greater clarity in governance
and make benefit-sharing mechanisms more effective. Key features of the scheme as
amended are as under:(i) It has two components, namely, Component A: Strengthening the research
infrastructure through setting up of centres of excellence at National Institute of
Pharmaceutical Education and Research (NIPERs) and Component B: Promotion
of Research and Innovation in Pharma MedTech sector.
(ii) Component A is for setting up of centres of excellence at NIPERs.
(iii) Component B is for providing financial assistance to support research and
development (R&D) for development of products and technologies (outputs) or
expeditious validation of R&D outputs for market launch and large-scale
commercialisation in three priority areas, namely new medicines, complex
generics and biosimilars, and novel medical devices.
(b): Under component A, a total of seven centres of excellence have been set up, one at each
of the seven NIPERs established at the following places:
(1) NIPER, Mohali, in the State of Punjab, with an approved outlay of ₹100 crore;
(2) NIPER, Ahmedabad, in the State of Gujarat, with an approved outlay of ₹110
crore;
(3) NIPER, Guwahati, in the State of Assam, with an approved outlay of ₹100 crore;
(4) NIPER, Kolkata, in the State of West Bengal, with an approved outlay of ₹100
crore;
(5) NIPER, Raebareli, in the State of Uttar Pradesh, with an approved outlay of ₹100
crore;
(6) NIPER, Hajipur, in the State of Bihar, with an approved outlay of ₹99.99 crore;
and
(7) NIPER, Hyderabad, in the State of Telangana, with an approved outlay of ₹90
crore.
Under component B of the scheme, for Early Stage Projects, MSMEs and startups may
apply for projects costing up to ₹9 crore for assistance of up to ₹5 crore. For Later Stage
Projects, projects of industry, MSMEs and startups costing up to ₹285 crore may apply for
assistance up to ₹100 crore. The scale of financial assistance for Early Stage Projects is
100% for cost up to ₹1 crore and 50% of additional cost beyond ₹1 crore, subject to a
maximum up to ₹5 crore. The scale for financial assistance for Later Stage Projects is 35%
of the project cost (50% in case of projects in Strategic Priority Innovation areas), subject
to a maximum of ₹100 crore. Under this component, the Department of Pharmaceuticals
has invited applications for research and innovation projects from pharmaceutical and
MedTech industry and startups. The application process for financial assistance under
component B of the scheme does not require startups and industries to declare the State
where they are registered.
(c): The criteria adopted for inclusion of projects in Strategic Priority Innovation areas is
that they address areas of India’s public health concern for which market potential is
relatively lower. For Later Stage Projects in these areas, financial assistance may be to the
extent of 50% of the approved total project cost, as against 35% for projects in other areas,
subject to a maximum of ₹100 crore.
(d): The arrangements under the scheme to institutionally promote the national pharma-
MedTech innovation ecosystem include the following:
(i) Under component A, institutional strengthening of research infrastructure has been
undertaken through the setting up of centres of excellence at the seven National
Institutes of Pharmaceutical Education and Research, which are institutes ofnational importance for imparting postgraduate and doctoral education and conduct
high-end research in various specialisations in pharmaceutical sciences and medical
technologies. These centres are in the specialisations of anti-viral and anti-bacterial
drug discovery and development, medical devices, bulk drugs, flow chemistry and
continuous manufacturing, novel drug delivery system, phyto-pharmaceuticals and
biological therapeutics, with a view to help in building specific research capacities
in the identified priority areas, tapping industry-academia linkage. These are aimed
at strengthening the research infrastructure in the pharma-MedTech sector by
providing advanced facilities to conduct research and help in nurturing talent pool
by promoting industry-academia linkage.
(ii) Under component B, industry and startups are encouraged under the scheme to
collaborate flexibly with reputed Government academic and research institutions
specified in the Scheme guidelines to develop, translate and commercialise
institutional intellectual property and to augment institutional research capacities in
India.
(e): The Department of Pharmaceuticals has launched the Production Linked Incentive
(PLI) Scheme for Pharmaceuticals, the PLI scheme for promotion of domestic
manufacturing of critical Key Starting Materials (KSMs) / Drug Intermediates (DIs) and
Active Pharmaceutical Ingredients (APIs) in India (commonly referred to as PLI Scheme
for Bulk Drugs), the Strengthening of Pharmaceuticals Industry scheme, PRIP scheme and
the Scheme for Promotion of Bulk Drug Parks to promote pharma-MedTech investment and
research across regions, including in clusters in industrially underdeveloped regions, with a
view to promote the industry and generate skilled and unskilled employment. Under the PLI
Schemes for Pharmaceuticals and Bulk Drugs and the Strengthening of Pharmaceuticals
Industry scheme, projects spread across 21 States and Union territories at over 540
manufacturing locations, including 18 projects located in districts identified as aspirational
districts by NITI Aayog, have been approved.
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