**Executive Summary**
This document is the answer to Unstarred Question No. 1061 raised in the Lok Sabha regarding the implementation of the Strengthening of Pharmaceuticals Industry (SPI) Scheme. The document outlines the number of project proposals received, approved, and rejected, as well as the actions taken to strengthen quality control and regulatory compliance. The answer was submitted on December 5, 2025.
**Key Points / Main Content**
* **SPI Scheme Sub-Schemes:**
* Two sub-schemes under the SPI scheme: Assistance to Pharmaceutical Industry for Common Facilities and the Revamped Pharmaceuticals Technology Upgradation Scheme.
* Details of project proposals, including those received, approved, and rejected, are provided in the Annexure.
* **Pharmaceutical Exports:**
* Data on the volume and value of domestically manufactured pharmaceuticals (bulk drugs, drug intermediates, drug formulations, biologicals) exported over the last four financial years is provided.
* **Quality Control and Regulatory Compliance:**
* Manufacturers must obtain licenses for manufacturing drugs for export, complying with the Drugs and Cosmetics Act, 1940 and the rules thereunder.
* Licensing authorities investigate quality-related issues and take action based on the Drugs and Cosmetics Act, 1940 and the Drugs Rules, 1945.
* The Central Drugs Standard Control Organisation (CDSCO) and the Ministry of Health and Family Welfare have taken measures to improve quality, safety, and efficacy of medicines.
* **Measures Taken:**
* Risk-based inspections of drug manufacturing and testing firms initiated in December 2022.
* Revised Schedule M to the Drugs Rules, 1945, in line with international standards, came into effect for large manufacturers in June 2024, and will extend to smaller manufacturers by the end of 2025.
* Mandatory printing or affixing of bar codes or Quick Response (QR) codes on packaging labels for top 300 drug brands.
* Mandatory QR codes on labels of active pharmaceutical ingredients (bulk drugs) for tracking and tracing.
* Amendments to the Drugs Rules, 1945, to ensure responsibility of marketers for drug quality and regulatory compliance.
* Amendment of the Drugs and Cosmetics Act, 1940, to provide for stringent penalties for spurious and adulterated drugs.
* Establishment of special courts for speedy disposal of cases relating to offenses under the Drugs and Cosmetics Act, 1940.
* Amendments to the Drugs Rules, 1945, to require bioequivalence studies for manufacturing license applications and evidence of stability and safety of excipients.
* Increased number of sanctioned posts in CDSCO.
* Coordination between the Central regulator and State Drug Control Organisations.
**Impact Analysis**
**Pharmaceutical Manufacturers**
* **Impact:** Subject to regulations, quality control measures, and licensing requirements.
* **Action Required:** Comply with the Drugs and Cosmetics Act, Drugs Rules, and updated guidelines, including those related to QR codes, bioequivalence studies, and revised Schedule M, based on turnover.
**Drug Licensing Authorities**
* **Impact:** Responsible for investigating quality issues and taking action against violations.
* **Action Required:** Enforce the provisions of the Drugs and Cosmetics Act and Rules, conduct investigations, and take appropriate action.
**Ministry of Health and Family Welfare and CDSCO**
* **Impact:** Oversee and implement measures to ensure drug quality, safety, and efficacy.
* **Action Required:** Continue to implement risk-based inspections, revise guidelines, and coordinate with state authorities to maintain regulatory compliance.
**Pharmaceutical Industry Stakeholders/Applicants for SPI Scheme**
* **Impact:** Involved in project proposal submissions, approvals, and rejections under SPI sub-schemes.
* **Action Required:** Review Annexure for details on project proposals, understand reasons for rejection (if applicable), and adhere to eligibility criteria for future submissions.
Key Entities Referenced
Strengthening of Pharmaceuticals Industry (SPI) Scheme: A scheme to strengthen the pharmaceuticals industry, with sub-schemes for common facilities and technology upgradation.
Drugs and Cosmetics Act, 1940: An act governing the manufacturing, licensing, and quality control of drugs.
Drugs Rules, 1945: Rules made under the Drugs and Cosmetics Act, 1940.
Ministry of Chemicals and Fertilizers: The ministry responsible for the pharmaceuticals department and the SPI scheme.
Central Drugs Standard Control Organisation (CDSCO): A national regulatory body for pharmaceuticals and medical devices.
GOVERNMENT OF INDIA
MINISTRY OF CHEMICALS AND FERTILIZERS
DEPARTMENT OF PHARMACEUTICALS
LOK SABHA
UNSTARRED QUESTION NO.1061
TO BE ANSWERED ON THE 5TH DECEMBER, 2025
Proposals for Implementation SPI Scheme
1061. Shri Tangella Uday Srinivas:
Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:
(a) the number of project proposals received, approved, and rejected under each component of
the Strengthening of Pharmaceuticals Industry (SPI) Scheme during the last four financial years,
State-wise and district/cluster-wise in the country, including Andhra Pradesh;
(b) the reasons for rejection of proposals;
(c) the funds allocated and disbursed for approved projects during the same period, Statewise
and cluster-wise, especially for Andhra Pradesh;
(d) the total volume and value of domestically manufactured pharmaceuticals exported during
the last four years, year-wise;
(e) whether the Government is aware of the fact that pharmaceutical consignments from the
country failed quality tests in foreign markets and if so, the details of such cases; and
(f) the corrective actions taken/proposed to strengthen quality control and regulatory
compliance?
ANSWER
THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND
FERTILIZERS
(SMT. ANUPRIYA PATEL)
(a) to (c): Project proposals are received and considered for approval and rejection under two
sub-schemes of SPI scheme, namely, Assistance to Pharmaceutical Industry for Common
Facilities and the Revamped Pharmaceuticals Technology Upgradation Scheme. Details of
project proposals received, approved and rejected under each of these sub-schemes during the
last four financial years, State- and district-wise in the country, including in the State of Andhra
Pradesh, along with the reasons for rejection and the funds allocated and disbursed for approved
projects during the said period, State- and district-wise, including in the State of Andhra Pradesh,
are at Annex.
(d): The volume and value of domestically manufactured pharmaceuticals (bulk drugs, drug
intermediates, drug formulations, biologicals) exported during the last four years, year-wise are
as under:Financial Export volume Export value
year (metric tonnes) (crore ₹)
2020-21 6,42,718 1,74,064
2021-22 10,72,475 1,74,955
2022-23 10,55,352 1,94,254
2023-24 12,24,616 2,19,441
2024-25 12,40,537 2,45,966
Source: Directorate General of Commercial Intelligence and Statistics
(e) and (f): The Ministry of Health and Family Welfare has informed that manufacturers are
required to obtain license for manufacturing of drugs for export as per the provisions of the Drugs
and Cosmetics Act, 1940 and the rules made thereunder, as well as to comply with the
requirements of the importing country.
As and when inputs are received regarding cases involving issues related to quality, the
same are investigated by the licensing authorities concerned for taking action under the
provisions of the Drugs and Cosmetics Act, 1940 and the Drugs Rules, 1945, as the licensing
authorities are empowered to take action in case of any violation to the provisions of the said
Act and rules.
The Central Drugs Standard Control Organisation (CDSCO) and the Ministry of Health
and Family Welfare have taken several measures to ensure quality, safety and efficacy of
medicines throughout the country, as stated below:
(i) To assess regulatory compliance of drug manufacturing premises in the country,
CDSCO, in collaboration with State regulators, initiated risk-based inspections of
drug manufacturing and testing firms in December 2022. This initiative has provided
valuable insights into the ground reality of manufacturing practices and has led to
relevant corrective actions, resulting in noticeable improvements in the regulatory
framework.
(ii) Schedule M to the Drugs Rules, 1945 has been revised vide Ministry of Health and
Family Welfare’s notification dated 28.12.2023, in line with international standards
{of the World Health Organization (WHO)}, and the same has come into effect for
drug manufacturers with turnover more than ₹250 crore from 29.6.2024. However,
for manufacturers having turnover of up to ₹250 crore, the timeline for
implementation has been extended till 31.12.2025, vide notification dated 11.2.2025.
(iii) To require manufacturers to print or affix on packaging labels of top 300 brands of
drug formulation products bar code or Quick Response (QR) code that stores data or
information legible with software application to facilitate authentication, the Drugs
Rules, 1945 were amended through notification dated 17.11.2022, which came into
force from 1.8.2023, to provide for such printing or affixation in respect of the drug
formulation products specified in Schedule H2 to the said rules.
(iv) On 18.1.2022, the Drugs Rules, 1945 were amended to provide that every active
pharmaceutical ingredient (bulk drug) manufactured or imported in India shall bear
QR code on its label at each level of packaging, that stores data or information
readable with software application to facilitate tracking and tracing. Such stored dataor information shall include the minimum particulars, including unique product
identification code, batch number, manufacturing date, expiry date, etc.
(v) On 11.2.2020, the Drugs Rules, 1945 were amended to provide with effect from
1.3.2021 that, along with the manufacturer, any marketer who sells or distributes any
drug shall be responsible for the quality of that drug as well as other regulatory
compliances under these rules.
(vi) The Drugs and Cosmetics Act, 1940 was amended through an amending Act of 2008
to provide for stringent penalties for manufacture of spurious and adulterated drugs.
Certain offences were also made cognizable and non-bailable.
(vii) For speedy disposal of cases relating to offences under the Drugs and Cosmetics Act,
1940, State and Union Territory Governments have set up special courts.
(viii) To ensure efficacy of drugs, the Drugs Rules, 1945 have been amended to provide
that applicants for grant of manufacturing license shall submit along with their
application the result of bioequivalence study of oral dosage form of some drugs.
(ix) The Drugs Rules, 1945 have been amended to make it mandatory that applicants
submit to the State Licensing Authority evidence of stability, safety of excipients,
etc. before manufacturing license is granted by such authority.
(x) The number of sanctioned posts in CDSCO has been increased significantly over the
last 10 years.
(xi) For uniformity in the administration of the Drugs and Cosmetics Act, 1940, the
Central regulator coordinates activities of State Drug Control Organisations and
provides expert advice through the Drugs Consultative Committee meetings held
with the State Drugs Controllers.Annexure
Annexure referred to in the reply to parts (a) to (c) of the LOK SABHA UNSTARRED Q.
NO. 1061 for answer on 5.12.2025, raised by Shri Tangella Uday Srinivas, regarding
Proposals for Implementation SPI Scheme
Details of project proposals received, approved and rejected under each sub-scheme of the
Strengthening of Pharmaceuticals Industry (SPI) scheme during the last four financial
years, along with the reasons for rejection and the funds allocated and disbursed for
approved projects
I. Assistance to Pharmaceutical Industry for Common Facilities sub-scheme
State / Amount Amount
S.
Name of applicant Union District sanctioned disbursed Status
no.
territory (crore ₹) (crore ₹)
1. Tirupati Research & Andhra Chittoor 20.00 10.00 Approved
Development Pvt. Pradesh
Ltd.
2. Welzo Research & Himachal Solan 19.53 17.58 Approved
Development Pvt. Pradesh
Ltd.
3. Himachal Pharma Solan 17.87 0.00 Approved
Testing Lab Ltd.
4. Inducare Maharashtra Pune 7.18 6.46 Approved
Pharmaceuticals &
Research Foundation
5. Tindivanam Pharma Tamil Nadu Tindivanam 15.88 6.00 Approved
Park Association
6. Jeedimetla Effluent Telangana Medchal 20.00 18.00 Approved
Treatment Ltd. Malkajgiri
7. Telangana Hyderabad 18.87 4.72 Approved
Lifesciences
Foundation (earlier
Hyderabad Pharma
city Limited)
8. Devbhumi Uttarakhand Haridwar 20.00 18.00 Approved
Pharmaceutical
Analytical Testing
and Training
Foundation
9. Pundrug Punjab Mohali — — Rejected as
the10. Brahma Kamal Uttarakhand Udham — — applicant
Biomed Foundation Singh did not meet
and Research Nagar the
Institute eligibility
criteria as
per scheme
guidelines
II. Revamped Pharmaceuticals Technology Upgradation Scheme
State / Number of Approved
S. No. Union District applicant grant-in-aid Status
territory approved/rejected (in lakh ₹)
1 Andhra Anakapalli 2 283.17 Approved
Pradesh Jaggayyapeta 1 200.00 Approved
NTR 1 33.24 Approved
Prakasam 1 50.27 Approved
Srikakulam 1 200.00 Approved
Krishna 2 — Rejected as
the applicant
did not meet
the eligibility
criteria as per
scheme
guidelines
2 Assam Kamrup 1 46.87 Approved
3 Bihar Muzaffarpur 1 3.94 Approved
4 Dadra and Daman 1 120.94 Approved
Nagar
Haveli and
Daman and
Diu
5 Gujarat Ahmedabad 14 1,024.66 Approved
Vadodara 5 758.98 Approved
Banaskantha 1 45.04 Approved
Bharuch 4 244.64 Approved
1 — Rejected as
the applicant
did not meet
the eligibility
criteria as per
scheme
guidelines
Gandhinagar 4 390.32 Approved
Sabarkantha 6 377.39 ApprovedKutch 1 200.00 Approved
Mehsana 9 739.24 Approved
Panchmahal 1 58.27 Approved
Rajkot 3 251.24 Approved
Surat 3 216.18 Approved
1 — Rejected as
the applicant
did not meet
the eligibility
criteria as per
scheme
guidelines
Surendranagar 2 26.72 Approved
Valsad 2 137.12 Approved
6 Haryana Ambala 1 128.09 Approved
Faridabad 1 200.00 Approved
Faridabad 1 — Rejected as
the applicant
did not have
drug license
Gurugram 1 85.97 Approved
7 Himachal Solan 27 2,772.14 Approved
Pradesh Sirmaur 15 1,598.54 14 approved;
one rejected as
it was a
duplicate
application
8 Jammu and Pulwama 2 100.53 Approved
Kashmir
9 Karnataka Bengaluru 4 538.93 Approved
Dharwad 2 194.28 Approved
Uttara Kannada 1 79.97 Approved
10 Kerala Malappuram 1 157.67 Approved
Palakkad 1 49.47 Approved
Thrissur 1 70.40 Approved
11 Madhya Bhopal 1 103.36 Approved
Pradesh Dhar 1 67.95 Approved
Indore 4 610.90 Approved
12 Maharashtra Akola 1 200.00 Approved
Nagpur 2 206.31 Approved
Nasik 1 39.33 Approved
Palghar 6 937.24 Approved
1 — Rejected as
the applicant
did not meet
the eligibilitycriteria as per
scheme
guidelines
Pune 5 420.58 Approved
Raigad 5 571.52 Approved
Ratnagiri 1 13.18 Approved
Thane 7 517.67 Approved
13 Odisha Cuttack 1 66.34 Approved
14 Puducherry Puducherry 2 69.18 Approved
15 Punjab Amritsar 1 11.07 Approved
Ludhiana 1 35.56 Approved
Sahibzada Ajit 3 332.86 Approved
Singh Nagar
Sahibzada Ajit 1 — Rejected as it
Singh Nagar was a
duplicate
application
16 Rajasthan Alwar 1 63.83 Approved
Jaipur 1 — Rejected as
the applicant
did not meet
the eligibility
criteria as per
scheme
guidelines
17 Tamil Nadu Chennai 1 115.88 Approved
Kancheepuram 1 73.89 Approved
Krishnagiri 1 200.00 Approved
Thanjavur 1 10.96 Approved
18 Telangana Hyderabad 1 105.84 Approved
Medchal- 3 325.73 Approved
Malkajgiri
Sangareddy 1 — Rejected as
the applicant
did not meet
the eligibility
criteria as per
the scheme
guidelines
19 Uttar Meerut 1 29.90 Approved
Pradesh Gautam Buddha 1 35.70 Approved
Nagar
20 Uttarakhand Dehradun 2 160.40 Approved
Haridwar 8 741.61 ApprovedUdham Singh 2 138.92 Approved
Nagar
21 West Howrah 1 27.32 Approved
Bengal Kolkata 3 247.72 Approved
South 24 2 223.52 Approved
Parganas
Purba 1 70.40 Approved
Bardhaman
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