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CM moots `discovery city'

By Our Special Correspondent

HYDERABAD, NOV. 9. The Chief Minister, Mr. N. Chandrababu Naidu, on Friday spoke of creating a `discovery city' in Hyderabad by setting up various centres of excellence relating to pharmaceutical industry, including the International Institute of Life Sciences and an Institute for Intellectual Property Rights.

Addressing leading industrialists of pharma sector, Mr. Naidu said the benefits of the special economic zone would be extended to `pharma city' being developed at Viskahapatnam with private/ public partnership. It would have world class infrastructure, state-of-the-art environmental protection measures and single window clearance, facilitating local industry to expand and global MNCs to set their joint ventures.

He sought support from the pharma industry for setting up a special export promotion council, PHARMAXCIL in Hyderabad and urged it to raise a corpus of Rs. 3 crores as suggested by the Union Commerce Ministry. On his part, he was prepared to allot land and State's share. In fact if the representatives of the industry conveyed their decision in the next few days, he would request the Prime Minister, Mr. A. B. Vajpayee, to lay the foundation stone for it in December.

Responding to the industry's demands as articulated by Mr. N. H. Israni, president of Indian Drug Manufacturers Association and Dr. Ajit Dangi, Director General of Organisation of Pharmaceutical Producers of India, such as announcement of a liberal drug pricing policy pending for the last three years, rationalisation of taxes and labour reforms, Mr. Naidu said he would take them up with the Central Government.

He said the State was also interacting with the Central Government for initiating necessary legal measures in tune with international requirements to build a strong base for clinical research in Hyderabad. While the International Institute of Life Sciences was planned to be set up close to the Indian School of Business, the place for Institute of Intellectual Property Rights to be partly funded by Pfizer, had not been decided.

Mr. Naidu said the State had distinct advantages for attracting investments in pharma sector, with its established pharmaceutical and strong Research and Development base and institutions like the location of Indian Institute of Chemical Technology, Centre for Cellular and Molecular Biology and National Institute of Nutrition.

The State Government took up several steps to attract industries, like dismantling `inspector raj', simplification of labour laws, procedures enabling single window clearances, provision of escort officers for major projects and review of the progress in the regular monthly meetings of the State Investment Promotion Board.

On a request from Dr. Lalji Singh, Director of CCMB, for allotment of an acre of land on the campus of Osmania University in front of CCMB for setting up a Biological Containment Facility, the Chief Minister said he would talk to the Vice- Chancellor of the University. The Council for Scientific and Industrial Research (CSIR) has agreed to provide funds to the tune of Rs. 40 crores, for the Facility which would study infective diseases.

Mr. Israni said India had prominent place in manufacture of drugs, standing fourth in terms of volume and eighth in value. The annual drug exports touched Rs. 8,500 crores. The pharma industry had tremendous opportunity but in the global competitive environment, "we need to proceed with speed and dynamism". Dr. Dangi, said the country had core competence in manufacture of drugs with its vast scientific manpower. Both of them suggested that Andhra Pradesh come up with a unique programme for turning the State first destination for investments in pharma sector.

Mr. S. Ramakrishna, vice-president (Corporate Affairs), Pfizer, wanted the State to take the lead and become a model by setting up a centre for excellence for intellectual property rights in Hyderabad. He extended company's support to the project.

The Major Industries Minister, Mr. K. Vidyadhar Rao, Mr. Venkat Jasti, president of Bulg Drug Manufacturers Association spoke.

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