ACA antibiotic intermediate plant in Kathua gets Rs 600 crore boost under PLI scheme

Union Minister Jitendra Singh laid the foundation stone for Orchid Pharma’s Rs 600 crore facility in Kathua to manufacture Amino Cephalosporanic Acid (ACA), a key cephalosporin antibiotic intermediate. Supported via BIRAC under the Department of Biotechnology and the PLI scheme, the project aims to reduce import dependence and create about 800 direct and indirect jobs.

Union Minister Jitendra Singh on Saturday laid the foundation stone for a Rs 600 crore pharmaceutical manufacturing facility in Kathua district. The project aims to strengthen India’s strategic pharmaceutical manufacturing base. It also seeks to cut import dependence for key drug inputs. Officials said the plant will come up at village Gadadhar.

Kathua ACA plant backed by PLI

The facility will produce Amino Cephalosporanic Acid ACA, a vital antibiotic intermediate. ACA is used to make cephalosporin antibiotics. Singh said India currently relies almost fully on imports from China for this intermediate. Singh said this creates risks for supply security, pricing stability, and healthcare access.

Pharmaceutical manufacturing facility in Kathua to make ACA

Officials said Orchid Pharma is setting up the unit at Gadadhar. The project is being facilitated by Biotechnology Industry Research Assistance Council BIRAC. BIRAC works under the Department of Biotechnology, the official added. Singh described the unit as a breakthrough for the region’s pharmaceutical sector.

Singh said the investment is being made under the government’s Production-Linked Incentive Scheme. The minister said the Rs 600 crore outlay shows rising confidence in Jammu and Kashmir’s industrial prospects. Singh also said Kathua’s expanding industrial infrastructure can support a larger pharmaceutical manufacturing presence.

Pharmaceutical manufacturing facility in Kathua and jobs outlook

Singh said the plant is expected to create direct employment for nearly 400 people. Singh added that indirect jobs could match that number. These roles may arise in supply, logistics, and other linked services. Singh said projects like this can widen India’s pharmaceutical capacity.

Singh said antibiotics are central to modern healthcare systems. Singh said the pandemic showed how sourcing essential inputs from one geography can become a national risk. Singh said such risks affect access and costs during global disruptions. Singh linked the project to stronger health security for essential medicines.

Pharmaceutical manufacturing facility in Kathua and policy push

Singh said the initiative matches Prime Minister Narendra Modi’s vision for self-reliance. Singh said the focus includes critical healthcare technologies and pharmaceutical supply chains. Singh also referred to the Rs 10,000 crore Biopharma Shakti initiative in the Union Budget. Singh said it aims to strengthen India’s biotechnology and biopharmaceutical ecosystem.

Singh said advanced units like this could place Kathua on India’s pharmaceutical export map. Singh said domestic manufacturing of ACA can reduce exposure to external price swings. Singh said it can also support stable supplies for the healthcare system. Singh said the wider goal is availability and affordability during disruptions.

With inputs from PTI

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