By: IPP Bureau
Last updated : March 16, 2026 2:07 pm
The facility will manufacture the critical antibiotic intermediate Amino Cephalosporanic Acid (ACA), a key component in the production of cephalosporin antibiotics
Union Minister of State (IC) for Science & Technology, Earth Sciences, and MoS, PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr. Jitendra Singh laid the foundation stone of Orchid Pharma's manufacturing facility at Gadadhar village in Kathua.
The project with an investment of Rs. 600 crore is being set up by Orchid Pharma with facilitation from Biotechnology Industry Research Assistance Council (BIRAC) under the Department of Biotechnology, Government of India.
Speaking on the occasion, Dr. Jitendra Singh said the investment of Rs. 600 crore is being made under the Government of India’s Production Linked Incentive (PLI) Scheme and reflects growing confidence in the industrial and innovation potential of the Jammu & Kashmir region.
He said the facility is expected to generate direct employment for nearly 400 people, while creating an equal number of indirect employment opportunities for suppliers, logistics providers, and allied sectors.
The minister highlighted that with its growing industrial infrastructure Kathua has the potential to emerge as a significant pharmaceutical manufacturing hub on India’s pharma export map.
Dr. Jitendra Singh described the project as a major breakthrough for the pharmaceutical sector in the region, noting that the facility will manufacture the critical antibiotic intermediate Amino Cephalosporanic Acid (ACA), a key component in the production of cephalosporin antibiotics. At present, India depends almost entirely on imports of this intermediate from China, which creates vulnerabilities in supply security, pricing stability and healthcare access.
The Minister said, "The Kathua facility would significantly strengthen India’s strategic capabilities in pharmaceutical manufacturing and reduce import dependence on critical intermediates."
“Antibiotics are foundational to modern healthcare, and the pandemic showed how dependence on a single geography for essential inputs can quickly become a national vulnerability," added Singh.
He also referred to the newly announced Rs. 10,000 crore Biopharma Shakti initiative in the Union Budget aimed at strengthening India’s biotechnology and biopharmaceutical ecosystem.
“The establishment of such advanced pharmaceutical manufacturing units has the potential to place Kathua on India’s pharmaceutical export map,” said Singh.
Dr. Jitendra Singh emphasized that the Kathua project reflects India’s intent to move up the pharmaceutical value chain thereby reinforcing the country’s role as a reliable global supplier of essential medicines, particularly for countries that depend on India during health emergencies.
He added that establishing advanced pharmaceutical manufacturing in Jammu & Kashmir signals a new development approach focused on capability building, skill development and long-term value creation.
“This is not merely about reducing imports; it is about building strategic capability where it matters most,” he said, adding that such projects integrate regions like Jammu & Kashmir into the national growth story through knowledge-driven industries.
The minister said projects like this not only expand India’s pharmaceutical capacity but also strengthen the country’s health security by ensuring the availability and affordability of essential medicines even during global disruptions.
Dr. Rajesh Gokhale, Secretary, Department of Biotechnology said, "The bioeconomy is crucial for strengthening the country’s scientific and economic capabilities, adding that science-led biomanufacturing initiatives such as emerging efforts in Kathua demonstrate how India is building the capacity to become a strong global competitor in biotechnology and advanced manufacturing."
Dr. Jitendra Kumar, Managing Director, BIRAC; Dr. Ram Gopal Agarwal, Chairman Emeritus, Dhanuka Group; Manish Dhanuka, Managing Director, Orchid Bio - Pharma; and Rajesh Sharma, Deputy Commissioner, Kathua, were also present on the occasion.