The Union Government has amended the Promotion of Research and Innovation in Pharma MedTech Sector (PRIP) Scheme to strengthen India’s pharmaceutical and medical technology innovation ecosystem. The revised framework, notified on October 1, 2025, aims to ensure smoother implementation, improve governance clarity, and make benefit-sharing mechanisms more effective.
Two-Component Structure for Targeted Impact
The amended PRIP Scheme has two clearly defined components. Component A focuses on strengthening research infrastructure through the establishment of Centres of Excellence at the National Institutes of Pharmaceutical Education and Research (NIPERs). Component B provides direct financial support for research, development, validation, and commercialisation of pharma and MedTech innovations.
This dual structure ensures that both academic capacity building and industry-led innovation progress in parallel, creating a strong pipeline from laboratory research to market-ready products.
Seven NIPERs Get Centres of Excellence
Under Component A, seven Centres of Excellence have been established at NIPERs located across the country. These include NIPER Mohali (₹100 crore), NIPER Ahmedabad (₹110 crore), NIPER Guwahati (₹100 crore), NIPER Kolkata (₹100 crore), NIPER Raebareli (₹100 crore), NIPER Hajipur (₹99.99 crore), and NIPER Hyderabad (₹90 crore).
These institutes of national importance are being equipped with advanced facilities to support high-end research in pharmaceutical sciences and medical technologies.
Focus Areas for Advanced Research
The Centres of Excellence are dedicated to priority research domains such as antiviral and antibacterial drug discovery, novel drug delivery systems, bulk drugs, medical devices, flow chemistry, continuous manufacturing, phytopharmaceuticals, and biological therapeutics.
The objective is to build specialised research capacities, strengthen industry-academia collaboration, and nurture a skilled talent pool capable of addressing India’s evolving healthcare needs.
Generous Financial Support Under Component B
Component B of the PRIP Scheme provides financial assistance for Early Stage and Later Stage projects. MSMEs and startups can seek support of up to ₹5 crore for early-stage projects costing up to ₹9 crore. The assistance covers 100 percent of costs up to ₹1 crore and 50 percent beyond that limit.
For later-stage projects, industry, MSMEs, and startups can apply for funding of up to ₹100 crore for projects with costs reaching ₹285 crore.
Strategic Priority Innovation Areas
Projects addressing public health challenges with relatively lower market potential are classified as Strategic Priority Innovation areas. For such later-stage projects, financial assistance can go up to 50 percent of the approved project cost, compared to 35 percent for other projects.
This provision ensures that innovations critical to national health priorities receive adequate support despite limited commercial incentives.
Inclusive and Flexible Application Process
The Department of Pharmaceuticals has invited applications from pharmaceutical and MedTech companies, startups, and MSMEs. Notably, applicants are not required to declare the state in which they are registered, promoting pan-India participation and regional balance.
Industry and startups are also encouraged to collaborate with reputed government academic and research institutions to translate institutional intellectual property into commercially viable products.
Part of a Larger Pharma Growth Strategy
The PRIP Scheme complements other flagship initiatives such as the Production Linked Incentive (PLI) Scheme for Pharmaceuticals, the PLI Scheme for Bulk Drugs, the Strengthening of Pharmaceuticals Industry Scheme, and the Scheme for Promotion of Bulk Drug Parks.
Together, these programmes have approved projects across 21 States and Union Territories, covering over 540 manufacturing locations, including aspirational districts identified by NITI Aayog.
Government Statement in Parliament
The details of the amended PRIP Scheme were shared by Union Minister of State for Chemicals and Fertilizers, Smt. Anupriya Patel, in a written reply in the Lok Sabha.
Officials say the scheme will play a critical role in accelerating innovation, strengthening domestic manufacturing capabilities, and positioning India as a global hub for pharma and MedTech research.
