Chhattisgarh Eyes Pharma & Biotech Investments with Dedicated Pharma Park

The park is designed to host formulation units, API manufacturing, contract research and manufacturing services, medical device production, and AYUSH products.

Chhattisgarh has intensified its push to attract pharmaceutical and biotechnology investments by offering generous capital incentives, developing a dedicated pharma park, and strengthening healthcare infrastructure, as it positions itself as a competitive manufacturing hub in central India.

The state government has framed pharma and biotech as engines of industrial growth, seeking to convert investment interest into operational manufacturing capacity with long-term economic and healthcare benefits.

The push is anchored in the Industrial Development Policy 2024-30, under which pharmaceuticals and biotechnology have been classified as thrust sectors.

“Our objective is to convert investment intent into time-bound execution. We have identified Pharmaceuticals and biotechnology as priority sectors for industrial growth, and our incentive framework is designed to ensure investors recover a significant part of their capital while establishing globally competitive manufacturing operations,” said Rajat Kumar, Secretary, Industry, Government of Chhattisgarh.

A central element of the strategy is the 142-acre dedicated pharma park at Nava Raipur, envisioned as a plug-and-play manufacturing cluster. The park is designed to host formulation units, API manufacturing, contract research and manufacturing services, medical device production, and AYUSH products.

As part of the policy, eligible pharmaceutical and biotech units can access industrial investment incentives of up to 100 per cent of eligible fixed capital investment, including reimbursement of net State GST paid for up to 12 years, subject to prescribed limits, or opt for fixed capital investment grants.

Projects with investments between INR 50 cr and INR 200 cr are eligible for capital grants of up to INR 60 cr, while those investing INR 200-500 cr can receive up to INR 150 cr. Larger projects exceeding INR 500 cr can avail grants of up to INR 300 cr, with customised incentive packages available for investments above INR 1,000 Cr.

These fiscal incentives are complemented by operational cost advantages. Chhattisgarh has a power surplus of over 26,000 MW, with industrial power tariffs starting at INR 6.65 per unit and a 100 per cent exemption from electricity duty for 12 years.

Additional benefits include exemption from stamp duty, relief on registration charges, and partial reimbursement for new electricity connections, factors that are particularly relevant for energy-intensive pharmaceutical and biotech manufacturing.

The state is also highlighting its human capital as a key differentiator. More than 50,000 graduates enter the workforce annually from institutions including IIT, IIM, AIIMS, NIT, IIIT, and NLU, supported by over 100 pharmacy colleges and 300 vocational training centres. Government-backed training reimbursements aim to lower initial hiring and skilling costs for pharma and biotech companies.

Stay tuned for more such updates on Digital Health News