Budget sets aside Rs 800 cr for science & tech dept

NEW DELHI: In an obvious tilt towards scientific research and development, the Union Budget ‘03-04 has bestowed Rs 800 crore on the Department of Science and Technology (DST), an increase of Rs 175 crore.
The Ministry of Science and Technology comprising the Departments of S&T, Scientific and Industrial Research and Biotechnology was allocated Rs 290 crore more — that is Rs 1,580 crore for ‘03-04. The Department of Scientific and Industrial Research got Rs 520 crore and the Department of Biotechnology got Rs 260 crore.
The DST which has got the maximum hike will be channelling Rs 215 crore into multi-disciplinary research in science and technology programmes under the Science and Engineering Research Council while Rs 150 crore would be for the creation of a pharmaceutical research and development support fund.
Government sources said, a detailed plan on how to utilise the Pharma fund will soon be forwarded to the Cabinet by the DST. It is learnt that Shantha Biotechnologies is planning to commercialise two major hepatitis vaccines and anti-malarials through this Fund. TB vaccines and anti malarials are also on the anvil from Saloria and Saloria. Another player, Torrent Pharmaceuticals is tying up with AIIMS to commercialise some of their products.
The thrust on knowledge-based industry is further revealed in the Budget decision to give a one-year extension to the tax holiday to R&D companies. The Centre has also decided to remove the existing restriction of minimum export obligation of Rs 20 crore for availing of customs duty exemption on specified equipment. The restriction of full exemption being limited to only 1% of last year’s export turnover for these units has also been lifted.