The Centre has clarified that there is currently no proposal to establish a Bulk Drug Park in Tamil Nadu under the Scheme for Promotion of Bulk Drug Parks. The information was shared in the Lok Sabha by Anupriya Patel, Union Minister of State for Chemicals and Fertilizers, in a written reply.

The government also made it clear that there is no provision for Bulk Drug Parks under the Production Linked Incentive Scheme implemented by the Department of Pharmaceuticals. Instead, Bulk Drug Parks are being developed under a separate scheme titled the Scheme for Promotion of Bulk Drug Parks, which has a total budgetary outlay of ₹3,000 crore.

Under this scheme, three bulk drug parks have been approved in Andhra Pradesh, Gujarat and Himachal Pradesh. These projects, being developed through respective state implementing agencies, involve a total project cost of over ₹6,306.68 crore. Each park is receiving central financial assistance of ₹1,000 crore to create common infrastructure facilities.

The parks are designed to provide subsidised land and shared utilities such as power supply, water, steam, effluent treatment plants, solid waste management and warehousing to bulk drug and Active Pharmaceutical Ingredient (API) manufacturers. State governments are also offering additional fiscal incentives, including capital subsidies on fixed investment, interest subsidies, reimbursement of State GST, and exemption from stamp duty and registration charges. Companies planning to manufacture products prioritised under the PLI Scheme for Bulk Drugs are being given preference in land allotment within these parks.

While Tamil Nadu has not been approved for a bulk drug park, the Centre said it continues to promote pharmaceutical infrastructure and investment in the state through other major schemes.

One such initiative is the Scheme for Promotion of Medical Devices Parks, under which three medical device parks are being set up in Greater Noida (Uttar Pradesh), Ujjain (Madhya Pradesh) and Kanchipuram (Tamil Nadu).

These parks involve a total project cost of ₹871.11 crore, with central grant-in-aid of ₹100 crore each for developing common infrastructure. Civil construction in all three parks is nearing completion. As of December 2025, 199 medical device manufacturers have been allotted land across 306.64 acres, and 34 units have begun construction of their facilities.

The government is also implementing multiple Production Linked Incentive schemes in the pharmaceutical and medical devices sectors. The PLI Scheme for Bulk Drugs, with a budgetary outlay of ₹6,940 crore, aims to reduce India’s dependence on imports for critical Key Starting Materials (KSMs), Drug Intermediates (DIs) and APIs. Under this scheme, 48 projects have been approved for manufacturing 33 bulk drugs, including two projects from Tamil Nadu.

The Production Linked Incentive Scheme for Pharmaceuticals, with an outlay of ₹15,000 crore, seeks to boost domestic manufacturing of high-value medicines such as biopharmaceuticals, complex generics, patented drugs, auto-immune therapies and anti-cancer drugs. It also covers select KSMs, DIs and APIs not included under the bulk drug PLI. A total of 55 applicants have been approved nationwide, with 16 manufacturing units located in Tamil Nadu.

Additionally, the Production Linked Incentive Scheme for Medical Devices, which has a budgetary outlay of ₹3,420 crore and runs from FY 2022-23 to FY 2026-27, supports domestic production in segments such as radiotherapy, imaging devices, anaesthesia, cardio-respiratory equipment, critical care and implants. Of the 28 approved projects under this scheme, two are in Tamil Nadu.

The Department of Pharmaceuticals is also implementing the Promotion of Research and Innovation in Pharma-MedTech Sector (PRIP) scheme, with an outlay of ₹5,000 crore up to 2029-30. The scheme supports research and innovation across the pharmaceutical and medical technology lifecycle, from early-stage research to commercialisation. Seven Centres of Excellence have been established at National Institutes of Pharmaceutical Education and Research (NIPERs), including one at NIPER Hyderabad focused specifically on bulk drugs.

The PRIP scheme also provides financial assistance to industries, MSMEs and start-ups for research and development in new medicines, complex generics, biosimilars and novel medical devices. These benefits are available across states, including Tamil Nadu.

However, as of now, the Centre has confirmed that there is no proposal under consideration to set up a Bulk Drug Park in Tamil Nadu under the existing Bulk Drug Parks.