Himachal Pradesh Seeks INR 250 Cr Loan from SIDBI to Expedite Medical Device Park Construction

Amid financial constraints, the state's pursuit of a loan underscores its commitment to realising the vital 121.80-hectare medical device park, addressing the region's growing healthcare needs.

In a strategic move to expedite the construction of the INR 350 Cr medical device park in Nalagarh, the Industries Department of Himachal Pradesh is gearing up to secure a loan of INR 250 Cr from the Small Industries Development Bank of India (SIDBI).

The Union Government has already allocated INR 100 Cr as grant-in-aid for the project, emphasising the need to establish various scientific facilities. Noteworthy among the nation's approved medical device parks, this initiative aligns with similar projects in Uttar Pradesh, Tamil Nadu, and Madhya Pradesh, with the Industries Department designated as the state implementing agency for the endeavour.

Rakesh Prajapati, director of industries, confirmed the impending loan application, saying, "A loan of INR 250 Cr will soon be sought from SIDBI for creating requisite facilities at the under-construction medical device park in the Nalagarh industrial cluster."

Faced with financial constraints, the state government's decision to pursue a loan underscores the commitment to realising this vital healthcare infrastructure. Spanning a substantial 121.80 hectares, the medical device park aims to address the region's growing healthcare needs.

Substantial progress has been achieved, with civil work currently underway and the completion of the first phase of construction managed by the HP State Industries Development Corporation.

The challenging hilly terrain has been meticulously levelled, laying the groundwork for a facility poised to ensure a consistent supply of essential medical devices and components. This, in turn, will facilitate residents' access to affordable healthcare services.

Industries Minister Harshwardhan Chauhan emphasised the industry's power-intensive nature, saying, "Since the medical devices industry is highly power-intensive and process-driven, it needs uninterrupted and affordable power."

Leveraging Himachal Pradesh's status as a power surplus state with the most cost-effective power tariffs in India, the park is anticipated to draw investors from diverse regions.

Prime Minister Narendra Modi laid the park's ceremonial foundation stone in October of the previous year. The INR 100 Cr grant-in-aid from the Union Government is earmarked for establishing various scientific facilities, reinforcing the park's potential to significantly contribute to the healthcare ecosystem upon completion.

The phased environmental clearance for the expansive 120-hectare site underscores the project's commitment to sustainable development and ensuring healthcare accessibility for residents. This initiative holds promise not only for the state's healthcare infrastructure but also for the broader medical device sector in the country.

In another development, last month, the government of Himachal Pradesh initiated talks with Dubai-based United Parcel Service (UPS), one of the leading logistics companies, to have drone delivery of essential medicines and vaccines in the wake of adverse natural calamities in the region.

UPS proposed an efficient supply of medicines and vaccines to the remote corners of the state. It also offered essential medicines and vaccines to the Himachal Pradesh government at no cost.