Total 21 proposals of FDI amounting to Rs. 2410 crore were approved. This decision came after recommendations of Foreign Investment Promotion Board (FIPB) in its meeting held on August 24, 2012.
These include 8 proposals worth Rs.1842.55 crore relating to FDI in brownfield pharmaceuticals sector, which were deferred in earlier meetings.
The pharma cases have been approved, with the following three conditions:
- The quantitative level of NLEM (National List of Essential Medicines) drugs production annually at the time of induction of foreign investment will be maintained at that level for the next 5 years.
- The Research & Development expenses annually incurred by the investee company at the highest level in the 3 preceding years to the induction of foreign investment will be maintained in value terms annually over the next 5 years post induction of FDI.
- The administrative ministries concerned and the FIPB secretariat will be provided complete information pertaining to the transfer of technology, if any, along with induction of foreign investment into the investee company.
The board approved M/s Pfizer Limited, Mumbai proposal "induction of foreign equity in an operating-cum-investing company to carry out the business in pharmaceutical sector" amouting of Rs 800 crore.
Under Telecom business, Sterlite Networks, Dadar and Nagar Haveli, plan to bring in FDI worth Rs 500 crore was cleared.
Other proposals which have been approved are of Sutures India, Bangalore (Rs 200 crore), B Braun Singapore, Singapore (Rs 248.40 crore), Stellence Pharmscience, Bangalore (Rs 100 crore) and Zim Laboratories, Nagpur (Rs 50.44 crore).