In case you had any doubt that Indian policy on pharmaceuticals isn’t predicated on domestic manufacturing policy …
A day after a high-level panel headed by Prime Minister Manmohan Singh relaxed foreign direct investment (FDI) norms in sectors ranging from telecom to single brand retail, he’ll be holding a separate meeting to review the policy in the pharmaceutical sector.
According to a senior official, "The main concern of the Ministry of Commerce and Industry is that a stage might come when India might not have a company ready to manufacture drugs on behalf of the government, even if the provision of compulsory license is invoked.”
Shouldn’t the fact that acquiring companies are paying huge valuations -- many time the cost of setting up new projects -- raise a question as to their motivation – and that of the Indian government?
