CHENNAI: The rising demand for Covid-19 vaccines as cases rise again across the country has prompted the Federation of Indian Chambers of Commerce and Industry (FICCI) to suggest a PLI-like incentive scheme for vaccine manufacturers. The Centre had launched Production-Linked Incentive (PLI) schemes for several sectors over the past few months in order to stimulate economic recovery.
According to FICCI, the government also needs to give provisions for immediate and sufficient grants and subsidies, through its Covid funds, for those manufacturers that are already developing or manufacturing vaccines in the country. “There is an urgent and critical need to encourage vaccine manufacturers to substantially augment their capacities for production. Since the cost of vaccines have been capped by the government, the vaccine manufacturers need to be provided with appropriate incentives for ramping up the production,” FICCI said.
The industry body also pointed out that many states have been facing a shortage of vaccines, including certain places in Punjab, Uttarakhand, Uttar Pradesh, Rajasthan, Jharkhand and Bihar. “India intends to vaccinate a priority population of 30 crore by August 2021. Given that 10.85 crore people have received at least the first dose of Covid vaccination and going with the current rate of 30 lakh vaccinations per day, we would need more than 38 crore doses (of two dose vaccines) to fully vaccinate this priority group,” it said, adding vaccines that are successful in other markets should be brought in India.