Himachal Government to build medical device park at Nalagarh with own funds: Sukhvinder Singh Sukhu

Shimla, July 26

The state government has decided to build the medical device park at Nalagarh in Solan district with its own resources and return Rs 30 crore received from the Central Government for the project.

Chief Minister Sukhvinder Singh Sukhu today said, “The state government will not allow the resources of Himachal Pradesh to be plundered at any cost. The people of Himachal have a right over these resources and the state government will take every step to protect their interests.” He added that if the money of the Central Government was not returned, industrialists would have to be given mandatory incentives, which would put a huge burden on the state exchequer, thereby resulting in revenue loss.

Himachal Pradesh to return Rs 30 cr to Centre

If the state government does not return Rs 30 crore, it will have to provide land to industrialists for Re one per square metre, electricity at Rs 3 per unit, water, maintenance and warehouse facilities for 10 years without any charges. —Sukhvinder Singh Sukhu, Chief Minister

He said, “The state government has so far released Rs 74.95 crore for the project and the medical device park will be constructed on priority. The project, spread over 265 acres, will be set up at a cost of Rs 350 crore.”

Sukhu said, “If the state government does not return Rs 30 crore, it will have to provide land to industrialists for Re one per square metre, electricity at Rs 3 per unit, water, maintenance and warehouse facilities for 10 years without any charges.” He added, “Most of the equipment manufactured in this medical device park will be sold outside the state, but this will also cause direct loss to the state treasury due to the SGST. Therefore, to overcome this binding, a decision has been taken to build the medical device park on our own, due to which the state is expected to benefit by Rs 500 crore in the coming five to seven years from the sale of land and other resources.”

“Earlier also, the state government had decided not to take the help of any private agency in the bulk drug park being built in Haroli of Una district. The government will provide Rs 1,000 crore from its own resources for the construction of the park,” said the Chief Minister.

He said that the government would take loan from the SIDBI for the construction of the medical device park at Nalagarh under the cluster development scheme.

“Now, while restructuring the project, 25 per cent of the land will be allotted exclusively to medical device industries and 75 per cent to other strategic units, which will ensure industrial development in the region,” he added.