PHARMEXCIL
PHARMACEUTICALS EXPORT PROMOTION COUNCIL
(Set up by Ministry of Commerce & Industry, Govt., of India) | | | | Ref: PXL/H.O./CIR-036/2009-10 | Date: 15.07.2009
Hyderabad | | | | HIGHLILGHTS OF BUDGET 2009-10 FOR PHARMA SECTOR | | | To
All the Members of Council,
Dear Member,
Sub: Highlights of Budget 2009-10 for Pharma Sector
As you are kindly aware that the Budget for 2009-10 was presented by in the parliament on 6th July 2009, there were some important announcements made related to the Pharmaceuticals/Health care Industry. Pharmexcil has attempted to summarize the same as given below: | | | Highlights of the Budget An adjustment assistance scheme to provide enhanced Export Credit and Guarantee Corporation (ECGC) cover at 95 per cent to badly hit sectors had been initiated in December 2008 to mitigate the difficulties faced by the exporters. In view of the continuing contraction in exports, the benefits of this scheme have been extended up to March 2010. The Market Development Assistance Scheme provides support to exporters in developing new markets. With many traditional markets still under financial stress, greater effort is required to identify and develop new markets. It has been proposed to enhance the allocation for this scheme by 148% over BE 2008-09 to Rs.124 crore. Micro, Small and Medium Enterprises (MSMEs) have been affected by the slowdown in exports and the indirect effect of the global crisis on domestic demand. To support this sector, it has been proposed to facilitate the flow of credit at reasonable rates, by providing a special fund out of Rural Infrastructure Development Fund (RIDF) toSmall Industries Development Bank (SIDBI). This fund of Rs.4,000 crore will incentivize Banks and State Finance Corporations (SFCs) to lend to Micro and Small Enterprises (MSEs) by refinancing 50 per cent of incremental lending to MSEs during the current financial year. The National Rural Health Mission is an essential instrument for achieving our goal of Health for all. There has been to increase ofRs.2,057 crore over and above Rs.12,070 crore provided in the Interim Budget. - Rashtriya Swasthya Bima Yojana (RSBY)
Rashtriya Swasthya Bima Yojana (RSBY) was operationalised last year. The initial response has been very good. More than 46 lakh BPL families in eighteen States and UTs have been issued biometric smart cards. This scheme empowers poor families by giving them freedom of choice for using health care services from an extensive list of hospitals including private hospitals. Government proposes to bring all BPL families under this scheme. An amount of Rs.350 crore, marking 40% increase over the previous allocation, is being provided in 2009-10 Budget Estimates. The Finance Act, 2005 introduced the Fringe Benefit Tax on the value of certain fringe benefits provided by employers to their employees. It has been proposed to abolish the Fringe Benefit Tax on ESOP, Sweat Equity and Superannuation Funds. The tax burden will now be borne by Employees. - Research and Development:
The competitive ability of an economy rests on its progress in the area of Research and Development (R&D). In order to incentivise the corporate sector to undertake R&D work, It is proposed to extend the scope of the current provision of weighted deduction of 150% on expenditure incurred on in-house R&D to all manufacturing businesses except for a small negative list. - Customs, Excise and Countervailing Duty on some life saving drugs
On influenza vaccine and nine specified life saving drugs used for the treatment of breast cancer, hepatitis-B, rheumatic arthritis etc. and on bulk drugs used for the manufacture of such drugs, it has been proposed to reduce the customs duty from 10 per cent to 5 per cent. They will also be totally exempt from excise duty and countervailing duty. Customs duty will also be reduced from 7.5 per cent to 5 per cent on two specified life saving devices used in treatment of heart conditions. These devices will be fully exempt from excise duty and CVD also. With the Government's proclaimed objective of introducing a Goods and Services Tax (GST) both at the national and State level, some more steps in that direction are necessary. One measure that would facilitate the process is the further convergence of central excise duty rates to a mean rate - currently 8 per cent. FM has reviewed the list of items currently attracting the rate of 4 per cent, the only rate below the mean rate. There is a case for enhancing the rate on many items appearing in this list to 8 per cent, which It is proposed to do, with the following major exceptions:- drugs, pharmaceuticals and medical equipment besides other sectors. - Exemption of Service tax for Councils:
The Export Promotion Councils and the Federation of Indian Export Organizations (FIEO) provide a valuable service in augmenting our export effort. It has been proposed to exempt them from the levy of service tax on the membership and other fees collected by them till 31st March, 2010 . It has been proposed to raise the tax exemption limit for: · Senior citizens by Rs 15,000/- from Rs.2.25 lakhs to Rs. 2.40 lakhs; · Women by Rs 10,000/- from Rs. 1.80 lakhs to Rs. 1.90 lakhs; · For all other individual tax payers by Rs. 10,000/- from Rs. 1.50 lakhs to Rs. 1.60 lakhs. · It has been proposed to phase out the 10% surcharge on personal income tax. · To tide over the slow down in Exports, the tax holiday for the sector has been increased by a year to include 2010-2011. ********************************* | | | | In order to promote outsourcing of research, there is a weighted deduction of 125 percent on any payment made to companies engaged in R & D. The Market Development Scheme provides support to exporters in developing new markets. The US and European markets constitute 60 percent of the total exports but are still under financial stress, which has necessitated identifying and developing new markets. In order to enable that the allocation for the Market Development Scheme (MDA) for exporters has been increased to 148 percent to Rs.124 crore.
With best regards.
Dr. P.V. Appaji
Executive Director | | | H.O.: 101, Aditya Trade Centre, Ameerpet, Hyderabad – 500038
Tel: 040-23735462/23735466, Fax: 91-40-23735464
E-mail: info@pharmexcil.com | |
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PHARMEXCIL
PHARMACEUTICALS EXPORT PROMOTION COUNCIL
(Set up by Ministry of Commerce & Industry, Govt., of India) | | | | Ref: PXL/H.O./CIR-037/2009-10 | Date: 20.07.2009
Hyderabad | | | | REQUEST FOR CONTACT INFORMATION OF HEADS OF PATENT RESEARCH DIVISIONS | | | | To All the Members of Council Dear Member, Sub: Request for Contact Information of Patent Research Heads – Reg. Our members may kindly be aware that Pharmexcil has established a Patent Facilitation Centre at its Hyderabad H.O. to help Pharma SMEs particularly in providing patent information relating to Patent filings/Patent search, etc. Patent Facilitation Centre has already organized 3 awareness seminars on the subjects in various parts of the country and also provided Patent search services to several companies. This has helped the companies immensely in exporting generic products in a hassle free manner to various destination countries without violation of patents of innovator companies. At this juncture, with a view to co-ordinate and improve the co-ordination among Indian companies on patent related matters, a need was felt at our council to develop a database of patent research officers of our member companies. We therefore request to kindly intimate us the particulars and contact details of Head / Chief patent officer of your company for effective communications on patent matters by our PFC (Patent Facilitation Centre). Thanking you, With best regards, Dr. P.V. Appaji Executive Director. Note: Members may also kindly note that Pharmexcil has invited applications for patent awards from companies who received Patents during 2008-09 the details of which are attached. Members are requested to take advantage of the same by sending their application for awards. | | | H.O.: 101, Aditya Trade Centre, Ameerpet, Hyderabad – 500038
Tel: 040-23735462/23735466, Fax: 91-40-23735464
E-mail: info@pharmexcil.com | |
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PHARMEXCIL
PHARMACEUTICALS EXPORT PROMOTION COUNCIL
(Set up by Ministry of Commerce & Industry, Govt., of India) | | | | Ref: PXL/H.O./CIR-049/2009-10 | Date: 25.08.2009
Hyderabad | | 9th SAARC Trade Fair in Thimpu, Bhutan | | | | To
All the Members of the Council
Dear Member,
Sub:9th SAARC Trade Fair in Thimpu, Bhutan from 11th – 14th September 2009- Reg.
We are glad to inform our members that our council has received a communication from Department of Commerce, Government of India informing that 9th SAARC Trade Fair is being organized in Thimpu, Bhutan from 11th -14th September, 2009 by the Bhutan Chamber of Commerce & Industry under the aegis of Department of Trade, Ministry of Economic Affairs, Royal Government of Bhutan.
The trade fair will attract manufacturers, exporters trading organization, women entrepreneurs and micro & enterprises who are in the business of
- Machinery plant & equipment
- Agricultural implements/ Related items
- Chemicals Drugs, & Pharmaceuticals
- Herbal products
- Engineering products
Members can visit www.9thsaarctradefair.com for further information. In view of the encouragement being received by Department of Commerce, Government of India, Pharmexcil is keen to mount a Indian Pharma delegation to the trade fair if adequate response is received from the members. If Pharmexcil does not receive adequate number of responses from the members, members interested in the event may participate directly and MDA will not be available Thanking you, With best regards, Dr. P.V. Appaji Executive Director | | | H.O.: 101, Aditya Trade Centre, Ameerpet, Hyderabad – 500038
Tel: 040-23735462/23735466, Fax: 91-40-23735464
E-mail: info@pharmexcil.com | |
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PHARMEXCIL
PHARMACEUTICALS EXPORT PROMOTION COUNCIL
(Set up by Ministry of Commerce & Industry, Govt., of India) | | | | Ref: PXL/H.O./CIR-050/2009-10 | Date: 25.08.2009
Hyderabad | | | To All the Members of Council, Dear Sir/Madam, Sub: Pharmexcil Awards for Outstanding Export Performance - Extension of Last Date for Submission of Nominations to 7.09.2009. Kindly refer to our circular ref. no. PXL/H.O./CIR-037/2009-10 dated 24.07.2009 on ‘Pharmexcil Export Awards’ In this regard we would like to draw your personal attention to these prestigious awards being planned in the month of September, 2009 to coincide with Fifth Annual General Body meeting of our council. Shri Anand Sharma, Hon’ble Minister of Commerce and Industry would be giving away the Trophies, Merit Certificates to the winners. In order to encourage our member exporters, it has been decided to extend the last date for submission of the nominations up to 07th September, 2009. Further, the application form has also been simplified for your convenience*. As your company is among the leading pharmaceutical exporters of our country, we would urge to kindly avail this invaluable opportunity by submitting nominations for the same. With best regards DR. P V APPAJI Executive Director · Members who have already submitted application forms need not submit again APPLICATION FORM | | | | | | | | H.O.: 101, Aditya Trade Centre, Ameerpet, Hyderabad – 500038 Tel: 040-23735462/23735466, Fax: 91-40-23735464 E-mail: info@pharmexcil.com | |
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Meeting with Ambassador of India, Republic of Azerbaijan
(Urgent - Short Notice Programme)
PHARMEXCIL
PHARMACEUTICALS EXPORT PROMOTION COUNCIL
(Set up by Ministry of Commerce & Industry, Govt., of India)
H.O.: 101, Aditya Trade Centre, Ameerpet, Hyderabad – 500038
Tel: 040-23735462/23735466, Fax: 91-40-23735464
E-mail: info@pharmexcil.com | | | INVITATION
Pharmexcil cordially invite you for
Interactive meeting with
H.E. Sri Debnath Shaw
Ambassador of India, Republic of Azerbaijan
Date & Time:
3.00 p.m. Friday, 28th August 2009
Venue:
Committee Room, YMCA, Jai Singh Road, New Delhi
(Phone: 011 43644000)
Programme
| 3.00 – 3.30 p.m. – Registration
3.30 – 5.00 p.m. – Interactive Meeting
5.00 p.m. - High tea
DR. P V APPAJI
EXECUTIVE DIRETOR | | | | Note | Ø Members are requested to attend the meeting by registering at rodelhi@pharmexcil.com; romumbai@pharmexcil.com ; info@pharmexcil.com
Ø Programme arranged at a very short notice, as information from Ambassador received on 27-08-2009 only. Inconvenience caused is regretted. All members are requested to send issues relating to Azerbaijan so that Pharmexcil takes up for discussion. | | |
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