GOVERNMENT INTERACTS WITH CHEMICAL INDUSTRY
An Inter-active Session
of Department of Chemicals & Petrochemicals with Industry
Association/Representatives of Chemical, Petrochemical and Pharmaceutical
Sector was held here today. Government and representatives of
Chemical Industry deliberated upon vital issues/problems concerning
the Industry, viz., competitiveness, modernization, infrastructure
exports, petrochemical policy and Mega Chemical Industrial Estate.
In his message, which was read over in the Conference, Shri Dhindsa
said that several initiatives have been undertaken to promote
the growth of the Chemical Industry. The Department has recently
received a report of the Task Force on Petrochemicals. A high-powered
group of experts has studied the various facets of the Petrochemicals
Industry, major policy issues and has made recommendations for
enhancing competitiveness and growth of this sector. Based on
this report, the Department is now engaged in the formulation
of a National Policy on Petrochemicals.
Summing up the
discussions, Secretary Chemicals & Petrochemicals Shri Vinay
Kohli stressed upon the growing need for knowledge-partnerships
between the Industry and the Government research/academic institutions.
The three autonomous institutions, viz., National Institute of
Pharmaceutical Education & Research (NIPER), Central Institute
of Plastics Engineering and Technology (CIPET) and institute of
Pesticides Formulation Technology (IPFT) functioning under the
aegis of Department of Chemicals & Petrochemicals, need to
be reoriented to collaborate actively with the Industry in areas
of research and training. The Industry also needs to partnership
more actively with these organizations. Shri Kohli also stressed
upon the need for more capital, specially, foreign direct investment
for modernization as well as strengthening of R & D efforts
in this sector. Regarding the Free Trade Agreement, Shri Kohli
stated that although initially these measures may appear to have
an adverse impact but in the long run the industry stands to benefit
through increased competitiveness and access to larger markets.
Representatives
of Chemical Association, highlighted various issues related to
their sector. Serious concern was expressed about Free Trade Agreement
with Singapore and the REACH proposal of the European Union. High
cost of energy, Labour Law Reforms, severe punishment for sale
and manufacture of spurious drugs, priority sector lending for
R & D were the other issues raised by the Chemicals Sector
representatives.
The investment
in the Chemical Sector are hampered due to lack of state-of-the-art
infrastructure. The initiative taken by the Department for setting
up an integrated Mega Chemical Industrial Estates was welcomed
by the Industry. This concept envisages setting up of world-class
infrastructure facilities which would result in synergy in operations
and would tremendously improve the cost competitiveness of Indian
products in the world market.
Representatives
of Petrochemicals Sector stressed that a transparent pricing mechanism
for natural gas should be evolved to take care of interests of
producers and consumers. It was also suggested that synthetic
fibres should be included under the Technology Upgradation Fund.
The Group also
discussed the emerging scenario in the Pharmaceutical Sector in
view of the impending product patent regime. Upgradation of IPR
infrastructure, strengthening of Drug Regulatory infrastructure,
R & D requirements for the Industry and Data Exclusivity were
some of the important issued discussed.
The representative
of Ministry of Health & Family Welfare informed that based
on the recommendations of the Mashelkar Committee Report, their
Department has initiated for study to assess the magnitude of
the problem of spurious drugs. It was also informed that a Capacity
Building Project for strengthening the Drug Regulatory Regime
both in the Centre and the States is underway.
