Nov. 10 – The government of India has already allowed 100 percent FDI into the pharmaceuticals industry. Recently, the government has reviewed its policy in the particular sector. Below are the specific points:
- FDI, up to 100 percent, under the automatic route, would continue to be permitted for greenfield investments in the pharmaceuticals sector.
- FDI, up to 100 percent, would be permitted for brown field investments (i.e. investments in existing companies), in the pharmaceuticals sector, under the government approval route.
As a result, the following amendment is made in “Circular 2 of 2011- Consolidated FDJ Policy,” dated September 30, 2011, issued by the Department of Industrial Policy and Promotion:
Insertion of a new paragraph 6.2.25
A new paragraph (6.2.25) is inserted as below:
Please note that below amendments will be effective immediately. The decision will be reviewed after six months by the government.
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