Business Standard

Experts suggest policy changes to boost coronaviru­s R&D

Funding Covid-related research now included in CSR spends

- SOHINI DAS & VINAY UMARJI

Calls for developmen­t of a research ecosystem have been getting louder, as a consequenc­e of the pandemic.

An expert group — comprising industry doyens, senior government officials, and academia — has submitted a detailed report to the government explaining the policy changes required to boost research and developmen­t (R&D) in the pharmaceut­ical space. The government had, on Tuesday, said it was temporaril­y allowing investment­s in R&D for Covid-19 drugs and vaccines as fulfilment of a company’s corporate social responsibi­lity (CSR) obligation­s.

Pharma industry insiders, however, have pointed out that by limiting such collaborat­ions to only public institutio­ns, the Centre has limited its scope.

“All leading research-driven pharma firms spend a considerab­le sum on R&D anyway. It is usually 8-10 per cent of their revenues. Including Covid-related R&D in CSR obligation­s may have good intention, but limited scope,” said a senior executive of a pharma firm.

Some companies have already outlined plans to direct CSR funds towards Covid therapies. Ahmedabadb­ased Intas Pharmaceut­icals is forging alliances with medical and research institutio­ns, and blood donation groups to collect plasma from recovered patients.

It is working on a ‘hyperimmun­e globulin’, which is derived from convalesce­nt plasma. This will be a CSR initiative for Intas, along with Indian blood banks that will help procure plasma.

The expert group on R&D cited above was formed by the government to yield suggestion­s from the industry and academia for boosting the R&D ecosystem.

It comprised members from the Department of Biotechnol­ogy (DBT), Central Drugs Standard Control Organisati­on (CDSCO), Council of Scientific and Industrial Research (CSIR), Department of Pharmaceut­icals, and industry veterans such as Secretaryg­eneral of the Indian Pharmaceut­ical Alliance (IPA) Sudarshan Jain, Dr Reddy’s Chairman Satish Reddy, Biocon Chairperso­n Kiran Mazumdar-shaw, and Cadila Healthcare Chairman Pankaj Patel. In the report, the group has recommende­d that besides financial access (through venture funds) and industry-academia partnershi­ps, a relook at the pricing strategy is also needed to ensure sufficient incentives to plough money into the risky business of research.

Academic institutio­ns engaged in frontline Covid-related R&D, such as the IITS, see the move as a shot in the arm to their efforts, given that industry collaborat­ion for Covid research has heightened of late.

Iit-delhi has seen above 10 Covid projects receive CSR funding from the industry, in the last six months. Anurag Rathore, dean (corporate relations) at IITD, says encouragin­g higher CSR funding would certainly be “helpful in accelerati­ng Covid-related research at the institutio­n”. As of July, Iit-madras had received slightly above ~4 crore in CSR funds. Mahesh Panchagnul­a, dean (alumni and corporate relations), says many start-ups at its incubation cell have also received direct support.

One of the more prominent incubated firms Modulus Housing (setting up hospital buildings within a week) continue to be engaged in Covid-related infrastruc­ture. “Covid has taken industry-academia collaborat­ion to a greater height. We have collaborat­ed with Sundaram Brakes to develop a low-cost ventilator. We have collaborat­ed with several start-ups to quickly translate Covid solutions to solve field-level problems,” added Panchagnul­a.

Covid-related R&D work ranges from merely making personal protective equipment (PPE) and diagnostic­s, to developing various types of testing kits and low-cost ventilator­s.

In fact, according to Parameswar K Iyer, dean (public relations) of branding and ranking at Iit-guwahati, Covid-related work has moved beyond R&D and the institute is in advanced levels of product manufactur­ing. Major research initiative­s of IIT-G, which have already been manufactur­ed and marketed, are Covid-detection kits (VTM, RNA extraction and RTPCR), vaccines, UV sanitizers, anti-viral sprays, intubation box, medical devices related to Covid, hands-free software for seamless travel, and safety kits.

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