ANNUAL REPORT 1995-96

Item

Title
ANNUAL REPORT
1995-96
extracted text
ANNUAL REPORT
1995-96

GOVERNMENT OF INDIA
MINISTRY OF CHEMICALS & FERTILIZERS
(DEPARTMENT OF CHEMICALS AND PETROCHEMICALS)

NEW DELHI

CONTENTS
Page No.
I.

INTRODUCTION

(i)

.2.

PERFORMANCE OF INDUSTRIES

1 — 10

A. Drugs & Pharmaceuticals Industry
B. Chemicals. Pesticides & Allied Industries
C. Petrochemicals Industry

1
4
7

PUBLIC SECTOR PERFORMANCE

11—20

A. Drugs and Pharmaceuticals Undertakings
B. Petrochemicals Undertakings
C. Chemicals ami Pesticides Undertakings

II
16
18

GENERAL

21—24

— Organisational set up of the Department
— Employment of Scheduled Casles/Scheduled Tribes/Physically Handicapped and Blind
— Organisation and Methods
— Public Grievances
— Use of Hindi as Official Language

21
21
23
23
23

OUTSTANDING AUDIT OBJECTIONS AND INSPECTION REPORTS

25—33

4.

5.

ANNEXURES

I. List of items allocated to Department of Chemicals and Petrochemicals

34

II.

Drugs and Pharmaceuticals—Estimated Demand and Production Achievements

35—38

111.

Major Chemicals (Capacity & Production)

39—41

IV.

Major Petrochemicals (Actual and Anticipated)

42

V.

List of Attached office and Public Sector Undertakings and other organisations under the
Administrative control of the Department of Chemicals and Petrochemicals

43

INTRODUCTION
I'he Department of Chemicals and Petrochemicals has been a
part of the Ministry of Chemicals and Fertilizers from
5-7-1991. The Department is entrusted with the responsibility of
policy planning, development and regulation of Chemicals,
Petrochemicals and Pharmaceutical Industries. The business
allocated to the Department is listed at Annexe-!.
Shri Ram Lakhan Singh Yadav held charge as Minister for
Chemicals & Fertilizers throughout the year under report.

Shri F.duardo Faleiro held charge as Minister of State
throughout the year.

On appointment of Shri K. K. Mathur as Chairman, India
Trade Promotion Organization, Shri N.R. Banerji, took over from
him as Secretary in the Department of Chemicals and
Petrochemicals with effect from 12-9-95.

(i)

2—762 M/o C & F/95

PERFORMANCE OF INDUSTRIES
The estimated demand and production achieve­
ments of drugs and pharmaceuticals is given in Annexure II.

A. Drugs and Pharmaceuticals

The Pharmaceutical Industry of India is today one
of the largest and most advanced among the develop­
ing countries. Indian pharmaceutical industry manu­
factures bulk drugs belonging to several major thera­
peutical groups requiring various manufacturing pro­
cesses and has developed excellent facilities for pro­
duction of all dosage forms like tablets, capsules.
liquid, orals, injectables etc. This achievement is
strengthened by an assurance with regard to the
quality of the products. Today India is in a position to
meet 70% of the country's requirement of bulk drugs
and almost all the demand for formulations. The set­
ting up of the Penicillin factory at Pimpri. Pune in the
early 50's and the construction of Indian Drugs &
Pharmaceuticals Ltd. (IDPL) plants at Rishikesh and
Hyderabad in the 60's have been the milestones in the
history of the pharmaceutical industry in the country.
These have been the building blocks on which the
structure of the pharmaceutical industry in India has
been built. The public sector investment in the
pharmaceutical industry has been the catalytic engine
for the growth of the industry in the last three
deca des.
1.

The Drugs & Pharmaceuticals sector continued to
maintain steady growth in terms of production as well
as range of products in 1994-95. In the year 1993-94. the
production of bulk drugs and formulations was valued
at Rs. 1320 crores and Rs. 6900 crores respectively. In
1994-95. the production of bulk drugs and formulations
is estimated to be of the order of Rs. 1518 crores and Rs.
7935 crores respectively showing a growth rate of 15%
over the previous year's production. During 1994.
several proposals for foreign collaboration for joint
ventures, research and development, establishing new
undertakings/expansion of existing units (manufacture
of new articles in the existing units) were received.
Following delicensing of the pharmaceutical industry.
a number of IEMs for manufacture of various bulk
drugs/drug intermediatcs/l'ormulations were received.
The major items covered in IEMs include various bulk
drugs, intravenous fluids, formulations, etc.
2.

EXPORT

From a meagre Rs. 46 crores worth of pharmaceuti­
cal exports in 1980-81. the exports have risen to over Rs.
2100 crores during 1994-95. Bulk drugs constitute about
60% of exports. The’details of the exports (excluding
Castor Oil) during the last 10 years arc as follows :

PRODUCTION

The following table shows the production of bulk
drugs and formulations from 1985-86 to 1994-95 :

(Rs. in crores)

(Rs. in crores)
Year

Finished
formulations

Bulk
drugs

Total

1985-86

106.59

33.36

139.95

1986-87

102.12

87.16

189.28

2350.00

1987-88

88.25

139.71

227.96

3150.00

1988-89

157.29

242.87

400.00

640.00

3420.00

1989-90

314.20

350.50

664.70

1990-91

730.00

3840.00

1990-91

371.40

413.40

784.80

1991-92

900.00

4800.00

1991-92

558.50

722.60

1281.10

1992-93

1150.00

6000.00

1992-93

856.60

1993-94

1320.00

6900.00

1993-94

553.70
771.80

1029.60

1410.30
1801.40

1994-95

1518.00

7935.00

1994-95

924.00

1260.70

2184.70

Bulk Drugs

Formulations

1985-86

416.00

1945.00

1986-87

458.00

2140.00"

1987-88

480.00

1988-89

550.00

1989-90

Year

1

Dining April 1994—March 1995. total exports
(excluding castor oil) amounted to Rs. 2185 crores
which was 21% higher than the performance during
1993-94. The export of formulation was of the order of
Rs. 924 crores which is an increase of 20% over the
achievement during the previous year. In the case of
bulk drugs the exports were of the order of Rs. 1261
crores which is an increase of 25% over the last'
year.

In dollar terms loo. the increase in the case of for­
mulations was to the extent of 20%. bulk drugs 25% and
increase in overall exports was 23% over the perfor­
mance during last year.

During the first ten months of 1995-96 also, the
export performance has been encouraging.
(Value in Million US S)
0/
/o
percen­
tage
increase

Exports
Apr/Jan.. 96
(1)

Exports
Apr/Jan.. 95
(2)

Basic drugs

290.8

278.5

+ 4.41

Finished
formulations

307.0

211.6

+ 45.08

Total

597.8

490.8

+ 21.97

(Swot: CHLMEXCll- Bombay)

3. IMPORTS

As per information available from DG1IS. imports
of bulk drugs and formulation for the last five years
have been as under:
Value of Imports (Rs. in crores)

Year

Bulk Drugs Formulations

Total

(I)

(2)

(3)

(4)

1990-91

322.57

84.94

407.51

1991-92

458.51

96.12

554.63

1992-93

508.39

119.51

627.90

1993-94

612.74.

138.33

751.07

1994-95

811.43

173.02

984.45

(Source : DGIIS)

4.

RESEARCH AND DEVELOPMENT

Programme for promoting
Pharmaceutical Sector.

R&l)

in

Drugs

and

A new programme for promoting RAD in Drugs
and Pharmaceutical Sector was initiated by the
Department of Science and Technology (DST). For the
purpose. Planning Commission has made a special
allocation of Rs. 10 crores in 1994-95 for the remaining
years of the Sth five year plan. A two tier structure has
been set up by DST to manage the programme viz. an
Apex Executive Committee at the Secretaries level.
chaired by Secretary. DST and an Expert Committee
at the operational level.
Modalities

To work out the modalities of funding under the
programme. Secretary DST took a meeting with
leaders of Pharmaceutical Industry, representatives of
Financial Institutions and Expert Committee mem­
bers in 1994. wherein it was decided to invite proposals
from Industry and publicly funded R&D laboratories
for collaborative programmes specifically for (a) New
Drug discovery, (b) Innovative routes for off-patent/
generic drugs and intermediates, (c) Standardization
of traditional medicinal formulas and (d) ChiralSynthcsis/rcsolution of recimic mixture.

The Expert Committee has held seven meetings so
far to consider the proposals. Twenty two project pro­
posals were considered by the Expert Committee and
the Apex Executive Committee cleared 10 proposals in
2 meetings.
Creation of
Development

National

facilities

for

New

Drug

To be globally viable in RAD. high level expertise
and adequate human resources as also modern
facilities in specified areas of drug developments are
required. It was therefore, decided that the DST pro­
gramme. besides new drugs development projects.
should also support creation of facilities that were
essential for new drugs development. Accordingly.
facilities that were needed urgently and that would be
cost effectived created namely : (a) DNA gyrasc screen­
ing facility: (b) Quantity-Structure-Activity-Relationship (QSAR) facility: (c) Immunomodulators modell­
ing and Screening: and (d) Pharmacological testing
were identified. Proposals on these were invited from
institutions having background ami expertise in the
area. One proposal has already been received, referred
to and considered by the Committee in March. ’95.

5.

WTO agreement and the pharma industry

India was among the HI Member nations that
signed the Final Act embodying the results of the
Uruguay Round of Multilateral Trade Negotiations at
Marrakesh on 15th April. 1994. The Agreement esta­
blishing the World Trade Organisation (WTO) con­
cluded at the Uruguay Round incorporates various
Agreements negotiated under the Uruguay Round
including the Agreement on Trade Related Aspects of
Intellectual Properly Rights (TRIPs) which has a bear­
ing on the Indian pharmaceutical industry. The WTO
Agreement came into force on 1-1-1995. The TRIPS
agreement provides for a transition period of It) years
from 1-1 -1995 to India for granting product patent. Dur­
ing the transitionary period. India will have to provide
exclusive marketing rights fordrugs patented after 1-11995 subject to various conditions stipulated in the
TRIPS Agreement. There have been apprehensions
that signing of the GATT accord would lead Io sharp
increases in the prices ofdrugs in the market which are
incorrect and unfounded. The GATT Accord will not
have any impact on the prices old rugs that are cu rrcntly
in the market. The impact of the GATT Accord on the
pharmaceutical industry would be confined to only
those drugs which come into the market on the basis of
the patents granted after its coming into force. However.
the likely impact on the prices of patented drugs, which
will come into the market in the beginning of the next
ecu lu ry. will also depend on a nu m her of factors like the
licensing and marketing strategics including local
manufacturers by the patent holders and a vail ability of
therapeutic equivalent substitute non patented drugs.

In order Io meet the challenges of the Post Uruguay
Round Era. the industry has to gear itself to the new
patent regime. Various measures have been initiated by
the Council of Scientific and Industrial Research
(CSIR) in this regard.
6.

discussions were held with various interest groups like
Consumer Association. Indian Medical Association.
Volu nlary I lea II h Organi sal ions. Trade and Industry at
the Ministerial levels.The v lews expressed were further
debated in inter-Ministcrial meetings. On the basis of
these deliberations a background note was laid on the
Table ofboth the Houses on I 2-8-1992 for eliciting the
views of Members of Parliament as desired by the Prime
Minister. The matter was discussed in the Monsoon
Session of 1993.
After considering all the viewpoints and broad­
based discussions at various levels, the Government
finalised the "Modifications in the Drug Policy. 1986"
in September. 1994. and new Drugs (Prices Control)
Order. 1995 within a record lime of less than 4 months.
on 6th January. 1995. For the purpose of fixation/
revision of prices of medicines and implementation of
prices by the Industry. National Pharmaceutical Pric­
ing Authority (NPPA) is in the process of being set up
for which Ministry of Finance has accorded approval
on 25-5-1995. The creation of the post Chairman. NPPA
and Member Secy. NPPA has also been approved.
Besides a separate Deptt. of Indian System of
Medicines and Homoeopathy has been set in the
Ministry of I leallh on Sth March. 1995 and Ministry of
Health is working on drafting of the Act for set ting up of
the National Drug Authority.

Government has already taken the following steps
for implementing the decision contained in the
"Modifications in Drug Policy. 1986" :—
(a)

Appropriate orders regarding abolition of
industrial licensing except for certain selec­
ted drugs have been issued.

(b)

Conditions stipulated for mandatory supply
of percentage of bulk drug production to
non-associated formulators have been
abolished.

(c)

Ratio parameters linking bulk drugs and for­
mulation production anil limiting the use of
imported bulk drug have been abolished.
While fixing prices an additional incentive of
4% for manufacture from basic stage is
being given.

(d)

The inter-ministerial Group which was set
up to decide on measures for giving further
impetus to R&D in the drug sector has
already submitted its report.

(e)

DPCO. 1995 has come into force. It contains
suitable provisions based on the mod­
ifications in the Drug Policy of 1986—

Review of the Drug Policy. 1986

The first ever Drug Policy was announced in 1978
based on the recommendation of a Committee known
as I lathi Committee. This policy was revised subse­
quently and a new policy was an non need in December.
1986. In 1989. it was decided to review the policy in res­
ponse to a large nuniberofrepresentations from Mem­
bers of Parliament mainly relating to the list of price
controlled drugs and later on. it also took into account
the impact of the Industrial Policy announced in July.
1991. A Standing Committee constituted by the Gov­
ernment on Feb. 5. 1990. considered al! matters connec­
ted with the review of Drugs (Prices Control) Order.
1987 (DPCO ’87) and the representations made on
various issued concerning from control, including
inclusion/cxclusion of drugs in the scheduled cate­
gories. Also to assess the situation in realistic terms.
3—762 M/o G& F/95

(f)

7.

Applying the new criteria, a list of 76 bulk
drugs which would be under price control
has been published and the work of price
fixation has already started. The system of
fixing ceiling prices for commonly marketed
standard pack sizes of price controlled for­
mulations has been pul into force.

demand and supply in the previous year, the estimated
production as well as the country's demand for the
current year. In 1995-96. three new units have gone on
stream, viz. M/s.SPIC Pharmaceuticals Ltd..I. K. Pharmachem Ltd. and Torrent Gujarat Biotech Ltd. Besides
UAL has entered into a joint venture with Max GB Ltd.
which would further boost the indigenous produciton
of Pen G. Taking these factors into account, during the
initial phase (April-August. 95). the 1994-95 Pen G
policy was extended and from September-December a
new policy fixing the ratio of 70 (indigenous) : 30
(imported) was fixed

Rifampicin Policy

Rifampicin is an important anti-TB drug. India is
a major consumer of this drug. The domestic produc­
tion is not sufficient to meet indigenous demand. The
indigenous basic stage production was started by
M/s. Gujarat Themis Biosy n Limited (GTRL) in
November. 1991 and M/s Lupin Chemicals in April.
1993. The liberalised import policy in 1992-93.
threatened the indigenous production which was still
in its infancy and a need was felt to protect and
encourge the basic stage manufacture of the drug in
consonance with the provisions of the Drug Policy.
As such, a tariff of 10% was imposed on the imported
intermediates in 1992-93 which was increased Io 25'!,,
in 1993-94 and these intermediates were put in the
Negative List of Imports.

This has been further reviewed and from 6-2-96 to
31-3-96. the ratio has been changed to X5 indigenous
and 15 imported. Old units have been given 25% growth
over their actual lifting during 1994-95.
Drugs Prices Equalisation Accounts (DPEA)

The Three Member Committee constituted under
the Charmanship of a retired Judge of the Delhi High
Court to review the entire matter relating to liabilities
assessed against the drug Companies, is in the process
of finalising its recommendations on case to case basis
after hearing the concerned Companies. Govt, has sent
briefs in 65 important DE PA cases to the Committee for
its recommendations. The Committee has already con­
cluded hearing in 10 cases and its recommendations in
3cases have been received by the Govt. The hearings in
the remaining cases are in progress.

In order to support indigenous production and
to prevent avoidable import, a policy for the
import of intermediates for the manufacture of
Rifampicin has been framed. The policy is related
to regulating import to fill the gap in indigenous
production and demand. The Rifampicin Inter­
mediate Policy for the year 1995-96 (April. 1995 to
March. 1996) has since been announced. A ratio of
70 (indigenous : 30 (imported) has been fixed under
the policy.

There were around 347 price controlled bulk drugs
under the DPCO. 1979. Till date, liabilities have been
assessed covering around 47 bulk drugs only. Fresh
notices to assess liabilities in the remaining bulk drugs
;uc under issue. More than 500 such notices have
already been sent to the concerned Companies.
The present tenure ofthe Three MemberCommiltee
is upto 20-6-1996.

X. Pen. G Policy

B. Chemicals. Pesticides and Allied Industries

Potassium Penicillin ‘G’ First Crystals (Pen. G) is
the main raw material for the manufacture of a wide
range of life saving antibiotics. The major producers
of Pen. G. are the Indian Drugs & Pharmaceuticals
Ltd. (IDPL) and Hindustan Antibiotics Ltd (HAL).
In order to increase production in the country, the
item which was reserved for PSUs. was dc-reserved
and private firms were also allowed to manufacture
Pen. G.

The Chemical Industry in India is well established.
The Country has recorded a rapid growth in the
manufacture of Chemicals during the last few years.
Prominent among these arc Caustic Soda. Soda Ash.
Carbon Black. Phenol. Acetic Acid. Methanol and Azo
Dyes. The production ami availability of Chemical are
by and large sufficient and imports have been curtailed.
However, some oft he inputs for the industry arc in short
supply. In certain cases of chemicals the existing
capacity is not sufficient to meet the demand e.g.
Titanium Dioxide. Citric Acid. MDI and TDI.

Since the indigeneous production of Pen. G is not
sufficient to meet the country’s requirement, it
becomes necessary to frame a Pen. G Policy every
year to regulate the import ami also for allocation of
indigenous material, after taking into account the

2. The Government is supporting modernisation of
the industry so as to improve its efficiency by lowering
opera ting costs, since technology obsolescence is one of
the prominent features of the chemicals sector.

4

3. Iii keeping with the liberalised industrial policy.
Industrial licensing has been done away with for all
chemical industries except fora small list ofhazardous
chemicals. Il is expected that lhe closely held techno­
logies for various chemicals would now be available.

country exported pesticides valued at Rs. 211.00 crores
against the export of pesticides worth Rs. 192.3 crores
during 1993-94.
The country has started producing some new pes­
ticides but the manufacturers arc continuing to import
their intermediates in the absence of technology for
producing them. Efforts are being made to acquire the
right technology to manufacture intermediates for pes­
ticides like Butachlor. Endosulfan etc.

4. The current Import-Export Policy 1992-97 elimi­
nates licensing, quantitative restrictions and other
regulatory discretionary controls. The majority of
chemicals can now be imported or exported through
simplified procedures.

Alcohol & Molasses

Chemicals

The Molasses Control Order. 1961 under which lhe
prices and distribution of molasses were regulated and
Ethyl Alcohol (Price Control) Order. 1971. which con­
trols the prices, were rescinded on 10th .June. 1993 with a
view to ensure free availability of these products on
competitive prices to the downstream industries. How­
ever. some problcms'had arisen in view of some Slate
Governments continuing to regulate molasses and
alcohol as also due to the lower production of molasses
and consequent increase in prices of molasses ami
alcohol in the country. Various issues were discussed in
the Excise Ministers’conference held on 4-11-93 where­
in the conference had set up a Working Group of Excise
Ministers of some States. The report of the Working
Group was placed before the Excise Ministers recently.
However, no consensus could emerge in the meeting. In
the meantime, the Judgementsof Patna High Court ami
Allahabad High Court has come on the writ petitions
filed by Sugar Mitts against the validity of the Molasses
Control Orders oflhe State Governments were received.
The Sugar Mills have filed SLP in the Supreme Court.
Action will be taken after the Judgement of the Supreme
Court on the two SLPs filed by the Sugar Mills.

5. The country has recorded a rapid growth in the
manufacture of chemicals during the last few years.
Prominent among these arc Caustic Soda. Soda Ash.
Carbon Black. Phenol. Acetic Acid. Methanol and Azo
Dyes. A statement on the actual production achieved
during 1994-95 and the likely production in 1995-96 for
important chemicals is given in Annexure-III.
Dyes and Dyestuffs

6. Dyestuff Industry provides important input to
many consuming industries contributing to the
national economy. It is capable of meeting most of the
local demands. In the organised sector, the indsutry is
self-sufficient in terms of most of the inputs. There arc
around 50 units in the organised sector having a total
annual installed capacity of around 45 lakh tonnes
against which the production achieved during 1994-95
was 30.74 lakh tonnes. The production for various
classes of dyestuffs in 1995-96 is estimated Io be 32.54
lakh tonnes. A large quantity of dyes and dyeinter­
mediates is being exported and valuable foreign
exchange is being earned in this sector.

7.

Export

Pesticides

Till 1988-89. country was not able to export che­
micals in larger quantities. However, the Indian Chemi­
cal Industry, has shown an impressive performance in
the field of exports during the last few years.

Pesticides including insecticides, fungicides.
wccdicidcs etc. are used extensively in Indian agricul­
ture and Public health. The pesticide industry in India
continues to make impressive progress and today more
than 60 technical grade Pesticides are being suc­
cessfully manufactured in the country. More than 125
units arc currently engaged in the manufacturcofthe.se
technical grade pesticides and over 500 units arc mak­
ing pesticide formulations. As a result of the increased
production of pesticides in the country import of
technical grade pesticides has declined considerably.
The estimated production of technical pesticides dur­
ing 1995-96 is over 86.000 MT from an annual installed
capacity of 126.6 lakh MT. As compared to this, the pro­
duction during 1994-95 was around 89.88 lakh MT.

There has been a substantial increase in exports in
the chemical sector in the first half of the current year as
shown in the Table below :—
(Value in Rs. crores)

April io
Sept.. 1994

April to
Sept.. 1995

Percentage
increase

523.4

581.6

11.1

3152

580.1

84.0

839.6

1161.7

38.6

I. Dyes & Dye
I me nned iaies
II. Basic inorganic &
Organic Chemicals
including AgroChemicals.

To utilise the idle capacity available with the pes­
ticides units, the country has entered the competitive
Held of export of pesticides. During 1994-95 the

(Source

5

CHEMEXCIL Bombay)

( Iicniieul Weapons Convention

India is one of the original 130 signatories to the
Convention on the Prohibition of the Development.
Produetion. Stockpiling and Use of Chemical
Weapons and on their Destruction (Chemical
Weapons Convention) which concluded in 1993. The
Convention will come into force ISO days after the date
of deposit of the 651 h Instrument of Ratification. So far
160 countries have signed the Convention out of which
as on 1-6-96. 53 have ratified. The Treaty is expected Io
come into force sometime in late 1996 or early 1997.

2. The Convention on the Prohibition of the
Development. Production. Stockpiling and Use of
Chemical Weapons and on their Destruction (CWC) is
a global disarmament agreement. Upon entry into
force the Convention will be implemented by the
Organisation for the Prohibition of Chemical
Weapons (OPCW) established in The Hague.
3. The CWC prohibits all development, produc­
tion. acquisition, retention, stockpiling, transfer anil
use ofchemical weapons. It requires each Stale Party to
destroy the chemical weapons and chemical weapons
production facilities it possesses, as well as any chemi­
cal weapons it may have abandoned on anol her Slate’s
territory. Stale Parties are not to use riot control agents
as a method of warfare, not to engage in military pre­
parations for use of chemical weaponsand not to assist
or encourage others to engage in any of the prescribed
activities. Given the numerous industrial chemical
plants and military installations in the world and the
relative simplicity of producing chemical warfare
agents, the verification provisions of the CWC are
rather elaborate and stringent The Convention will be
verified through a combination of reporting require­
ments. routine on-site inspect ions of declared sites and
short notice challenge inspections. The vetification
provisions of the CWC will affect not only the military
sector but also the civilian chemical industry, world
wide, through certain restrictions and obligations
regarding the production, processing and consumption
of chemicals that are considered relevant to the objec­
tives of the Convention.
4. The Major obligations as far as India is con­
cerned would relate mainly to the Indian chemical
industry. Fortunately, in the past few years, there has
been a very healthy growth of chemical industry in
India and there have been substantial exports of phar­
maceuticals. dyes and pesticides. The Indian chemical
industry is highly developed encompassing many sec­
tors like organic ami inorganic chemicals, plastics, fib­
res. fertilizers, dyestuffs, paints, speciality chemicals.
drugs and pharmaceuticals etc. As a result of innova­
tive low cost technologies evolved by the chemical
industry. India is increasingly becoming inter­
nationally competitive in this sector. Il has to be.
therefore, ensured that the momentum of growth of the
chemical industry and particularly its exports do not
receive a set back on account of tiny non-fulfilment

ol the obligations under the Chemical Weapons
C onvention. The Chemical Weapons Convention
stipulates verification procedures including surprise
(challenge) verification which could adversely affect
the trade and exports of chemicals in India if we lack in
the implementation. It is. therefore, essential that all
requirements with reference to various obligations arc
fulfilled in time. The Convention stipulates submission
of initial declarations within 30 days of the entry into
force of the Convention and annual declarations sub­
sequently not later than 90 days after the beginning of
each following calendar year. Substantial changes in
declarations are also required to be reported during the
year. As far as India is concerned there is a possibiliy of
a large numberofchemical units running in thousands
and located through out the country being covered for
reporting requirements under the Convention.

5. The Dept: ofChemicalsand Petrochemicals has
taken a number of measures to ensure that the Indian
industry is sensitised with the requirements of the
Chemical Weapons Convention so that they are fully
prepared to fulfil the obligations when the Convention
comes into force. The Department is making all efforts
to ensure that the growth of the chemical industry is not
affected while fulfilling the obligations of the Conven­
tion. A numberofSeminars. Workshops. Meetings and
discussions at various levels have been organised for
this purpose. Trial inspections have also been carried
out on some of the industrial units which are engaged
in the production and manufacturing of chemicals
relating to Chemical Weapons Convention. The ex­
perience of these inspections have also been shared
with the representatives of the industry in various
forums and seminars A meeting was also organised
with the representatives of industry Associations so as
to apprise them of the various obligations under the
Convention and the various issues being discussed in
the expert group meetings at The Hague. In view of the
implications of the Convention, tin exclusive discus­
sion was organised in the Consultative Committee of
the Ministry of Chemicals and Fertilizers and the
Members of Parliament were apprised of the implica
lions of the Convention. It was emphasised in the Con­
sultative Committee meeting that the interest of the
Indian chemical industry should be safeguarded by
abiding by the obligations under the Convention.

6. The Dcptt. of Chemicals and Petrochemicals
will be playing a crucial role in the implementation of
the Chemical Weapons Convention in view of its large
scale implications for the Indian chemical industry.
The interactions with the industry at various levels will
be energised and increased by way of Seminars.
Trainings. Workshops. trial inspections, declaration
exercise etc. The Department will also be interacting at
the international level tocnsure that various issues per­
taining to the chemical industry being discussed are
resolved in a manner as envisaged in the Treaty not
hampering the legitimate growth of the chemical
industry.

Kerosene is another petroleum fraction which is
used for making Linear Alkyl Benzene (LAB), which is
the raw material for detergent powder and cakes.

C. PETROCHEMICALS INDUSTRY

Petrochemicals arc chemicals manufactured from
petroleum feedstock, such as naphtha, gas. etc. Basic
chemicals such as Ethylene. Propylene and Butadiene
arc manufactured from naphtha. Ethylene and Pro­
pylene arc converted into plastics which aip also
known as polymers. Butadiene is converted into syn­
thetic rubbers.

Petrochemicals can be broadly categorised as :—
(i)

Plastics

(ii)

Synthetic Rubbers

(iii)

Synthetic Fibres

(iv) Intermediates (DMT. PTA etc.)
(v) Feedstocks (Ethylene. Propylene. Benzene
etc.)

The other set of chemicals manufactured from
naphtha arc basic aromatic chemicals such as Ben­
zene and xylenes. These arc used for making inter­
mediates such as Caprolactum and DMT/PTA. These
intermediates arc used for production of synthetic fib­
res and yarns such as Nylon Filament Yarn (from Cap­
rolactum) and Polyster Fibre and Yarns (from
DMT/PTA).

Major Petrochemicals Complexes being set up

To meet the growing demand of petrochemicals in
the country. Government have sanctioned several
mega petrochemical complexes as follows :—

OLEFIN COMPLEXES

PROJECT

FEEDSTOCK

ETHYLENE CAP.
(000MT)

INVESTMENT
(RS. CRORES)

IPCL-GANDHAR
REL1ANCE-HAZIRA

GAS
NATURAL GAS
LIQUID/N APHTHA

300
750

3500
4000

800

1800

GAS
GAS/NAP
NAPHTHA
NAPHTHA
NAPHTHA

300
300
300
300
300

3500
3090
3300
3500
5300

NAPHTHA
NAPHTHA

300
300

1800*
1800*

RELIANCE-JAMNAGAR

GAIL-AURIYA (U.P.)
ASSAM
HAI.DIA
VI ZAG
NOCI I.
KARNATAKA STATE
INDI.. INV. DEV.
CORPN.
(MANGALORE)
PSIDC

AROMATIC COMPLEXES

NAPHTHA

140P-XYLENE
30 O-XYLENE
30 BENZENE

900

NAPCO
(MANALI. TAMILNADU)

NAPHTHA

140-P-XYLENE
200 PTA
30 O-XYLENE
90 BENZENE
14 TOLUENE

1900

GRASIM
(MANGALORE. KARNATAKA)

NAPHTHA

75 BENZENE
65 TOLUENE
250 P-XYLENE
65 O-XYLENE

1200

J K AROMATICS
(BHARUCH. GUJARAT)

(*only for cracker)
4—ifo M/o C & F/95

7

These projects involve a total investment of over
Rs. 35000 crores if all of them materialise in the
next few years. This would mean that India will
become
largely
self-sufficient
in
petro­
chemicals.

Production and

Consumption Trends

The Petrochemical sector in India has made a rapid
stride in terms of growth in production and consump­
tion. The broad details in this regard arc as under :—
(Figures in '000 MT)

Gate gory

1994-95

2000 AD*

1995-96

Production

Consumption

Production

Consumption

I. Synthetic Fibres

680.97

766.22

750.91

808.86

2. Polymers

1128.49

1635.13

1260.41

1837.94

4. Synthetic Rubber

53.35

86.19

56.43

122.38

5. Synthetic Detergent

213.56

213.69

225.12

225.12

6. Overall

2076.37

2701.23

2292.87

2994.30

Demand
Projections

The figures
arc being
updated by
the Working
Group on
Petrochemicals

Synth. Fibres include—AF. NFY. NIY/TC. PFY. PSF
Ploynters include—LDPE. LLDl’E. HDl’E. PP. PS & PVC

Syn. Rubber includes—SBR. PUR
Syn. Detergent includes—LAB

The data on production of major petrochemical
items tim ing 94-95 and Anticipatcd/Estimated Projec­
tions for the year 95-96 and anticepated projections for
the year 1996-97 arc given in Annex IV.
As part of the liberalisation policy of the Govern­
ment. tarff structure on various petrochemicals was
rationalised further. Custom duties on various products
were reduced in the Annual Budget for 1995-96. The
peak rate of custom duty was brought down to 50%. The
custom duly on synthetic fibres was brought down to
45% whereas that on polymer was brought down to a
level of 40%.

A number of steps were taken spacing by the Depart­
ment of Chemicals and Petrochemicals with a view to
povide level playing field to the domestic industry.
Some of the major steps taken arc :—
(i)

Items such as LDPE. LLDPE. HDPE. SBR.
PVC etc. continued to be under the "Sensi­
tive List for Imports” against Value Based
Advance Licences based on the recommen­
dations by the department.
8

(ii)

Imports of feedstocks Naphtha. LPG and
kerosene continued to be under Open
General Licence. The benefit of this import
policy is however not fully available to the
industry as the port facilities required for
large scale import of these items are avail­
able with the oil industry and thus are avail­
able to the petrochemical industry in a
limited way. The petrochemical industry is
setting up their own facilities which would
take about two years to be ready.

(iii)

The recommendations on tariff restructur­
ing and manpower development made by
the Expert Group on Petrochemicals under
the chairmanship of Dr. Rakesh Mohan
are being implemented in a phased man­
ner. Since the’Expert Group submitted its
report in 1993. the department is planning
to set up another working group to examine
the present status of the petrochemical sec­
tor. forecast demand projections upto 2005
and suggest measures to improve the global
competitiveness in the domestic industry.

(iv)

The Jute Packaging Order (JPO) Tor com­
pulsory packaging of sugar, foodgrains.
urea and cement has been relaxed at the
instance of the Department of Chemicals
and Petrochemicals. As against 100% com­
pulsory packaging of the above items in
jute bags, the compulsory packaging in
case of ferlilizers/cement is now 50%. The
Department is examining the issue of
further dilution of the JPO.

(v)

As a result of continuous efforts made by
the department. Ministry of Petroleum and
Natural Gas modified the pricing mecha­
nism for LPG used as a feedstock by the
petrochemical units from the administered
pricing mechanism to "Import Parity" pric­
ing based on monthly international
quotations. The price is fixed on a monthly
basis w.e.f. March 1995.

the supreme court. In a settlement dated 14/15th Feb­
ruary. 1989. the supreme court of India ordered com
pensation of US S 470 million to be paid by UCC and
UCIL in settlement of all civil and criminal cases.
However, a number of review petitions were filed by
the Social Action Groups in the Supreme Court
challenging the settlement and also decided to support
the review petitions challenging the settlement. The
Supreme Court after hearing the review petitions
announced its judgement on 03.10.91 and upheld the
settlement amount without extinguishing the criminal
liability. The compensation amount which had been
deposited by UCC and UCIL with the Supreme Court.
was transferred to the Welfare Commissioner in
October. 1992.
3.

Immediately after the gas leak disaster in
December. 1984. the Slate Government and the
Central Government undertook a number of relief
measures to provide succour to the victims and the
families of the dead. The relief was both in the form of
financial assistance as well as distribution of essential
commodities free of cost. i.e. ration, milk, houses and
loans to start business.

The department is taking steps to declare itself as a
Nodal Agency for Plastic Waste Management in the
country. Although the issue of Plastic Waste Manage­
ment in India is not yet relevant due to the low per
capita consumption, this step is a measure which
would ultimately lead to the goal of increase in con­
sumption of plastics which is necessary to preserve the
ecological balance as plastics help conserving
natural resources.

4.

Background :

There was an emission of MIC gas from the pes­
ticides plant of Union Carbide India Limited (a sub­
sidiary of Union Carbide Corporation of USA) at
Bhopal (Madhya Pradesh) on 2nd/3rd December.
1984. The accident caused huge loss of life and pro­
perty. About 6 lakh claims have been filed for
grant of compensation.
After the disaster, the Government of India framed
an Act known as Bhopal Gas Leak Disaster (Process­
ing of Claims) Act. 1985. The Act conferred powers on
the Central Government to represent all claimants in
appropriate forums, appoint a Welfare Commissiner
and other staff to discharge functions connected with
hearing of the claims and distribution of compensa­
tion. Under the Act. the Government has framed a
scheme known as the Bhopal Gas Leak Disaster
(Registration and Processing of Claims) Scheme. 1985
for registration, processing, determination of compen­
sation to each claim and appeals, if any. arising
therefrom.

The State Govt, have also submitted a proposal for
enhancement of the outlay of the existing plan from
Rs. 163.10 crores to Rs. 201.84 crores. This proposal is
under consideration.
The State Govt, has also submitted a new Action
Plan from 1996-97 to 2000-2001 for an outlay of
Rs. 177.05 crores. This proposal is also under con­
sideration of the Government.

5.
2.

Action Plan for rehabilitation of Bhopal Gas
Victims :

An Action Plan with a capital outlay of Rs. 163.10
crores was approved by the Central Government for
the Medical, Economic. Social anil Environmental
rehabilitation of the Bhopal gas victims. It was decided
that the Central Government and the State Govern­
ment of Madhya Pradesh would meet the expenditure
on the Action Plan in the ratio of 75 : 25 over a period
of 5 years from 01.04.1990 to 31.03.1995. On the expiry
of the Action Plan period on 31.03.1995. some of the
works/programmes remained incomplete and more
than Rs. 28 crores out of the outlay of Rs. 163.10 crores
remained unexpended. The Government has there­
fore. extended the period of the Action Plan upto
30.9.96. within the earlier approved outlay of Rs. 163.10
crores, to complete the existing incomplcted schemes.

BHOPAL GAS LEAK DISASTER

1.

Relief Measure :

Interim Relief:

Legal case :

In 1989. the Supreme Court directed payment of
interim relief to the families of the dead and also to the
persons disabled by the gas leakage.

.After protracted legal battles in the Bhopal District
Courtand M.P. High Court, the matter came up before
9

From 01.04.1990. Government started distributing
interim relief to 5 lakh persons of the 36 severely affec­
ted wards (n Rs. 200/- p.m. This scheme continued
upto 31.03.1993. From 01.06.1993. the Government re­
started paying interim relief in the second phase to cer­
tain categories of persons excluding payees of income
tax. sales tax. property tax. Government servants and
employees of Public sector undertakings. This will
continue upto 31.5.1997.

population of Bhopal. The Central Government has
set up a revolving fund of Rs. 5 crores under the State
Government so that funding of medical studies could
be continued from the interest earned by this
corpus fund.
8.

As per the directions of the Supreme Court, a
specialised hospital is to be constructed and set up at
Bhopal for the gas victims. The hospital is required to
be completed within a period of three years from the
date of the Supreme Court order of 14.12.1994. A total
amount of Rs. 117 crores is available for the construc­
tion. equipping and maintenance of the facilities for a
period of 8 years after its completion.

Meanwhile, on the directions of the Supreme
Court, a separate scheme for payment of interim relief
to the left over residents (additional one lakh category)
of these wards was started from 1.3.1992 for a period of
3 years. It has been decided to extend this scheme
further beyond 28.2.1995 on the same lines as for the
beneficiaries of the Second Phase scheme.

6.

The design of the hospital would be modular in
nature so that in case additional funds are made avail­
able. the hospital facilities could be expanded. As of
now. the hospital will have 260 beds with the following
medical facilities :

Settlement of Compensation claims

The office of the Welfare Commissioner has been
set up by the Government of India under the Bhopal
Gas Leak Disaster (Processing of Claims) Act. 1985
and the scheme framed thereunder. The adjudication
of claims for payment of compensation to the victims
was started by the Welfare Commissioner in February.
1992 in compliance of the Supreme Court Order dated
3.10.1991. The process of disbursement of compensa­
tion could start after October. 1992 when the funds for
disbursement were transferred by the Supreme Court
to the Commissioner for the Welfare of Bhopal gas
victims.
The process of adjudicaion of the claims was slow
in the initial stages as considerable time was required
for setting up the Claim Courts. Out of about 6 lakh
compensation claims Filed by the victims, about 3.04
lakh claims (including more than 14.700 death claims)
have been adjudicated upto 31-3-1996.

(a)

Respiratory diseases with diagnostic
laboratory and respiratory intensive care
unit.

(b)

Diagnostic cardiology laboratory and inten­
sive care unit.

(c)

Neuro-sciences
including
Neurosurgery and psychiatry.

(d)

Gastro-entrology. medical and surgical.

(e)

Opthalmology.

Neurology.

The construction work al the site has commenced
in September. 1995. The entire project work is likely to
be completed by December. 1997.

A sitting judge of the High Court of Madhya
Pradesh has been appointed as Welfare Com­
missioner. Under him. 56 courts of Deputy Com­
missioners with the supporting staff have been
sanctioned. 11 courts of Additional Commissioners
with the supporting staff have also been sanctioned to
hear appeals from the courts of the Deputy
Commissioners. Lok Adalats are also being organised
by the Welfare Commissioner for speeding up the
adjudication of compensation claims.
7.

Hospital at Bhopal

The Supreme Court has ordered release of Rs. 187
crores and interest accrued thereon from the attached
amount for providing following addl. medical struc­
ture to the 260 bed hospital.
1.

A 30-bed Cardio Thoracic Surgery Depart­
ment at an estimated cost of Rs. 61.7
crores.

2.

Setting up of a Research-cum-teaching
unit at an estimated cost of Rs. 20.4 crores
and

3.

Setting up of upto 10 mini units at an
estimated cost of Rs. 105 crores.

Medical studies

The Indian Council of Medical Research (ICMR)
and other organisations have carried out various
studies on the effects of MIC on the gas affected

10

PUBLIC SECTOR PERFORMANCE
A.

(IDBI). Bombay, as the operating agency to make a
techno-economic viability study of IDPL and to suggest
measures for its rehabilitation. The operating agency is
expected to submit its report by the 30th April. 1996.

DRUGS AND PHARMACEUTICALS UNDER­
TAKINGS AND OTHER ORGANISATIONS

There are five Central Public Sector Undertakings
arid six Joint Sector Undertakings inthc Pharmaceuti­
cal Industry Sector under the administrative control of
the Department of Chemicals & Petrochemicals. In
addition, there arc two wholly owned subsidiaries and a
registered Society. The brief profile of these organi­
sations is given in the subsequent paragraphs.

1.

INDIAN DRUGS
LIMITED (IDPL)

&

2.

Hindustan Antibiotics Ltd. (HAL). Pimpri. Pune
was incorporated on 30th March. 1954. This was the
first public sector company in drugs and phar­
maceuticals. HAL has its plant located at Pimpri.
Pune. There are three joint sector units promoted by
HAL in collaboration with the respective State
Governments. These arc. Karnataka Antibiotics &
Pharmaceuticals Limited (KAPL). Bangalore in Kar­
nataka. Maharashtra Antibiotics & Pharmaceuticals
Limited (MAPL) at Nagpur in Maharashtra and
Manipur State Drugs & Pharmaceuticals Limited
(MSDPL) at Imphal in Manipur. The main products
of HAL are bulk drug Penicillin-G. various salts of
Penicillin and Streptomycin. The company produces a
wide range of pharmaceutical formulations including
agrovet products.

PHARMACEUTICALS

Indian Drugs & Pharmaceuticals Limited (IDPL)
was incorporated on the 5th April. 1961 with the
primary objective of creating self-sufficiency in
essential/life saving drugs and medicines. The com­
pany has presently three manufacturing plants: one
each at Rishikesh in Uttar Pradesh. Hyderabad in
Andhra Pradesh and Gurgaon in Haryana. IDPL has
two wholly owned subsidiaries, namely. IDPL (Tamil
Nadu) Ltd.. Madras in Tamil Nadu and Bihar Drugs &
Organic Chemicals Ltd. at Muzaffarpur in Bihar. In
addition. IDPL has three joint sector undertakings, pro­
moted in collaboration with the respective State Govenments. These are. Rajasthan Drugs & Phar maceuticals
Limited (RDPL). Jaipur: Uttar Pradesh Drugs & Phar­
maceuticals Limited (UPDPL). Lucknow: and Orissa
Drugs and Chemicals Ltd. (ODCL). Bhubaneshwar.

3.

BENGAL CHEMICALS &
CALS LIMITED (BCPL)

PHARMACEUTI­

This was a sick company in the private sector in the
name and style of Bengal Chemicals & Pharmaceuti­
cal Works. The management of the company was
taken-over by the Central Government with effect
from the 15th December. 1977. It was nationalised
from the 15th December. 1980. A new public sector
company in the name and style of Bengal Chemicals &
Pharmaceuticals Limited (BCPL) was incorporated on
the 17th March. 1981.

IDPL manufactures life saving drugs and
formulations. The main products arc Bulk Drugs—
Penicillin-G. Tetracycline. Oxytctracyclinc. Steptomycin. Vitamins—Bl. B2. B6 and Folic Acid and
Chloroquin Phosphate. IDPL also manufactures antimalarials. anti-filarials, anti-TB. anti-leprosy for­
mulations. The infrastructure created at IDPL had
acted as a catalyst for the development of the indi­
genous pharmaceutical industry.

The company has four manufacturing units; one
each at Maniktala and Panihati at Calcutta (West
Bengal): one at Bombay (Maharashtra) and the fourth
one at Kanpur (Uttar Pradesh). The company
manufactures and markets a wide range of industrial
chemicals like Sulphuric Acid. Ferric Alum: a large
number of drugs and pharmaceuticals besides Cos
metics and Home products. In the home products, the
well-known products arc Cantharidine Hair Oil and
Lamp Brand Phenol.

IDPL was formally declared sick by the Board for
Industrial and Financial Reconstruction (BIFR) on the
12th August. 1992. After sustained efforts, a revival pac­
kage for the company was formulated and the package
was approved by the BIFR on the 10th February.
1994. The revival period is 10 years beginning from
1994-95. The BIFR after review of the performances of
the company in 1994-95 and also upto September. 1995.
appointed Industrial Development Bank of India

The company was formally declared sick by the
Board for Industrial and Financial Reconstruction
11

5—762 M/o C & F/95

HINDUSTAN ANTIBIOTICS LIMITED (HAL)

(BIFR) on the 14th January. 1993. A revival package.
on the basis of the report of Industrial Reconstruction
Bank of India (IRBI). Calcutta, an Operating Agency
appointed by the BIFR. and the support extended by
the Government of India, was approved by the BIFR
on the 4th April. 1995. The revival period is 10 years
beginning from 1994-95.

basis of the report of the IRBI. Calcutta, the Operating
Agency appointed by it and the support extended by
the Government of India, approved a revival package
on the 31st August. 1994. The revival package is for 10
years beginning from 1994-95.

4.

1.

JOINT SECTOR UNDERTAKINGS

BENGAL IMMUNITY LIMITED (BIL)

This was a sick company in the private sector in the
name ami style of Bengal Immunity Company Ltd.
The management of the company was taken-over by
the Central Government with effect from the ISth
May. 1978. It was nationalised from the 1st October.
1984. A new public sector company in the name and
style of Bengal Immunity Limited (BIL) was incor­
porated on the 1st October. 1984.

This is a joint sector undertaking promoted by
Indian Drugs & Pharmaceuticals Ltd. (IDPL) and the
Rajasthan Industial Investment Corporation (RIICO).
IDPL holds 51% of the equity shares and the rest is
with RIICO. The company was incorporated in 1978
and the commercial production was commissioned in
April. 1981. The company has its manufacturing unit
and the registered office located at VKI Industrial
Area. Jaipur (Rajasthan). This is a formulation unit
engaged in the production ofTablcts. Capsules. Liquid
Orals and Injectables etc.

The company has two manufacturing units: one
each at Baranagar at Calcutta (West Bengal) and at
Dehradun (Uttar Pradesh). The main products of the
company are Sera. Vaccines and Toxoids with its own
know-how and indigenous raw materials.

2.

The company was formally declared sick by the
Board for Industrial and Financial Reconstruction
(BIFR) on the 9th March. 1993. The BIFR, on the basis
of the report of the Industrial Reconstruction Bank of
India (IRBI). Calcutta, the Operating Agency appoin­
ted by the BIFR. and the support extended by the
Government of India, approved a revival package for
this sick company on the 3rd January. 1995. The
revival period is 10 years beginning from 1994-95.
5.

RAJASTHAN DRUGS & PHARMACEUTICALS
LIMITED (RDPL)

UTTAR
PRADESH
DRUGS
MACEUTICALS LTD. (UPDPL)

&

PHAR­

This is a joint sector undertaking promoted by
IDPL and the Pradeshiya Industrial Investment Cor­
poration of Uttar Pradesh (PICUP). IDPL holds 51%
of the equity shares and the rest is with PICUP. This
company was incorporated in 1978 and the commer­
cial production was established in October. 1979. The
company has its manufacturing unit and the registered
office located at Lucknow (Uttar Pradesh). The main
products and pharmaceutical formulations are in the
form of Tablets. Capsules. Powders, Liquid Orals
and Injectables.

SMITH STANISTREET PHARMACEUTICAL S
LIMITED (SSPL)

The Board for Indusrial and Financial Reconstruc­
tion (BIFR) formally declared the company as sick on
the 30th December, 1992. After prolonged and sus­
tained efforts, a revival package for the company has
been sanctioned by the BIFR on the 22nd August.
1995. The revival period is 10 years beginning from
1995-96.

It was a sick company in the private sector in the
name and style of Smith Stanistreet Company Ltd. The
management of the company was taken-over by the
Central Government with effect from the 4th May.
1972. It was nationalised on 1st October. 1977 and a
new public sector company in the name and style of
Smith Stanistreet Pharmaceuticals Ltd. (SSPL) was
incorporated on the 19th July, 1978.

3.

The company has its manufacturing and the regis­
tered office at 18. Convent Road. Calcutta (West
Bengal). SSPL manufactures pharmaceutical formu­
lations, namely, Tablets. Capsules. Parenterals.
Liquid Orals etc. It has a hired facility at Bangalore to
produce one of its formulations, namely. Aminovin Tonic.

ORISS/X DRUGS & CHEMICALS LIMITED
(ODCL)

This is a joint sector undertaking promoted by
IDPL and the Industrial Promotion and Investment
Corporation of Orissa Ltd. (IPICOL). IDPL holds 51%
of the equity shares and the rest is with IPICOL. The
company was incorporated in 1979 and commissioned
fully for production from September. 1983. The com­
pany has its manufacturing unit and its registered

The company was formally declared sick by the
BIFR on the 21st December, 1992. The BIFR. on the
12

office
in
Manchcshwar
Industrial
Area.
Bhubaneshwar in the State of Orissa. The company is
engaged in the manufacture of Pharmaceutical for­
mulations in the form of Tablets, capsules, powder.
ointments etc.

estimated original outlay of Rs. 2.50 crores, is yet to be
fully commissioned. A part of the production facilities
has been commissioned. The manufacturing unit and
the registered office is at Imphal (Manipur).
WHOLLY OWNED SUBSIDIARIES

ODCL was formally declared sick by the Board for
Industrial and Financial Reconstruction (BIFR) on
the 26 th October. 1992. On the basis of the report of the
Operating Agency, appointed by the BIFR. and the
support extended by the promoters (Govt, of India).
the BIFR approved a revival package for ODCL on the
18lh August. 1994. The revival operations have begun
from the year 1994-95.
4.

KARNATAKA
ANTIBIOTICS
MACEUTICALS LTD. (KAPL)

&

1.

In terms of the approved revival package, the Surgi­
cal and Formulation Unit of IDPL at Madras has been
converted into a wholly owned subsidiary in the name
and style of IDPL (Tamil Nadu). Madras with effect
from the 1st April. 1994. IDPL holds the entire equity.
capital of this unit. The past long-term liabilities
amounting to Rs. 59 crores as on 31.3.1994 have been
taken-over by IDPL.

PHAR­

This is a joint sector undertaking promoted by Hin­
dustan Antibiotics Ltd. (HAL) in collaboration with
Karnataka State Industrial and Investment Develop­
ment Corporation (KSIIDC). HAL holds 51% of the
equity shares and the rest is with KSIIDC. The com­
pany was incorporated on the 13th March. 1981 and
the commercial production established from August,
1984. The manufacturing unit and the registered office
of the company is located at Bangalore (Karnataka).
The main products are pharmaceuticals formulations
like Tablets. Capsules, injectables etc. KAPL has. from
the very first year of its operations, been earning
profits.
5.

MAHARASHTRA ANTIBIOTICS
MACEUTICALS LTD. (MAPL)

&

2.

MANIPUR
STATE
DRUGS
&
MACEUTICALS LIMITED (MSDPL)

BIHAR DRUGS & ORGANIC
LTD.. MUZAFFARPUR

CHEMICALS

In terms of the revival package approved by the
Board for Industrial & Financial Reconstruction
(BIFR). the organic chemicals and drug manufactur­
ing unit of IDPL at Muzaffarpur (Bihar) has been con­
verted into a wholly owned subsidiary in the name and
style of Bihar Drugs & Organic Chemicals Ltd..
Muzaffarpur with effect from the 1st April. 1994. IDPL
holds the entire equity capital of this unit. The past
long-term liabilities amounting to Rs. 36 crores as on
31.3.1994 have been taken over by IDPL.

PHAR­

OTHER ORGANISATIONS
NATIONAL INSTITUTE OF PHARMACEUTICAL
EDUCAION
AND
RESEARCH
(NIPER).
CHANDIGARH

This is a joint sector undertaking promoted by Hin­
dustan Antibiotics Ltd. (HAL) and in collaboration
with the State Industrial and Investment Corporation
of Maharashtra (SICOM). HAL holds 51% of the
equity shares and the rest is with SICOM. The com­
pany was incorporated in November. 1979 and the
commercial production established in May. 1981. The
registered office and the factory of the company is
located at Nagpur (Maharashtra). This is also a phar­
maceutical formulation unit manufacturing Tablets,
Capsules. Liquid Orals. Ointments. Injectables etc.
6.

IDPL (TAMIL NADU). LTD.. MADRAS

The Govt, of India have set up the National
Institute of Pharmaceutical Education & Research
(NIPER) with a total outlay of Rs. 25 crores. It is
situated at Sector 67. SAS Nagar. Mohali, near
Chandigarh. 130 acres of land for the project has been
provided free of cost by the Govt, of Punjab. The turn­
key contract for construction of the Institute was
awarded to the National Buildings Construction Com­
mittee (NBCC). The first phase of construction is
nearly complete and the construction of laboratories.
teaching blocks, hostels, library. Secretariat Block.
faculty house and some of the residential houses has
been completed. Internal and external services are
being laid out. A Scientist who has vast experience of
directing pharmaceutical research in the private
sector, has been appointed as the Director and a core
staff of 8 Professors/Associate Professors Assistant
Professor has been recruited.

PHAR­

This is a joint sector undertaking promoted by Hin­
dustan Antibiotics Ltd. (HAL) and in collaboration
with Manipur Industrial Development Corporation
(MANIDCO). HAL holds 51% of the equity shares and
the rest is with MANIDCO. The company was incor­
porated on the 18th July, 1989. The project, with an
13

The setting up of NIPER fulfils a demand of
several decades by the Indian Pharmaceutical Indus­
try and profession. It will be the first national level
Institute in India in the pharmaceutical sciences and a
proposal to have it declared as an Institute of national
importance like IITs. is under consideration of the
Government.

and development in the field of pharmaceuticals. It
is expected that this Institute through its students, its
faculty, and its research will assist the pharmaceuti­
cal sector to make a confident entry into the new era
of global competition.
The performance of the Five Central Public Sector
Undertakings and Six Joint Sector Undertakings in
the year 1994-95. on broad parameters, has been
as under :

NIPER is conceived as a mother institution which
with its multi-disciplinary approach would set stan­
dards for pharmaceutical colleges and for research

(Rs./Crores)
PERFORMANCE IN 1993-94

PERFORMANCE IN 1994-95

NAME OF PSU

IDPL

/
Net
Profit/
(Loss)

Produc­
tion

Sales

Net
Profit/
(Loss)

Produc­
tion

Sales

199.23

183.03

(77.52)

165.02

157.72

(69.64)

206.73

199 37

(12.68)

UAL

183.31

197.82

(22.30)

nc pl

22 51

19.28

(6.38)

18.00

15.84

(10.98)

15.43

14.96

(9.50)

B1L

15.32

13.52

(5.69)

SSPL

1.79

1.78

(4.99)

3.47

6.17

(6.99)

8.44

8.94

035

5.48

7.17

0.03

Join! Sector Undertakings
RDPL

LTD PL

1.43

1.28

(2.63)

2.44

2.43

(2.47)

ODCL

1.34

1.27

(0.31)

1.17

2.19

(0.66)

KAPL

43.46

35.55

2.50

38.28

32.28

1.91

MAPL

13.03

14.21

0.23

12.79

12.33

0.20

MSDPL

(1.32

0.45

0.06

0.15

0.05



Central public sector undertakings in 1995-96 (April
to March 96) has b>een as under:

PERFORMANCE IN 1995-96 (APRIL-MARCH 96)
The Company-wise performance of the five

(Rs./Crores)

1994-95

1995-96 (Provisional)

Produc­
tion

Sales

Net
Profit/
(Loss)

Produc­
tion

Sales

Nel
Profit/
(Loss)

IDPL

113.58

122.56

(105.51)

199.23

183.03

(7752)

UAL

168.00

158.87

(13.58)

18331

197.82

(22.30)

BCPL

29.25

26.64

(6.38)

22.51

19.28

(6.38)

B1L

21.30

19.03

(4.10)

15.32

13.52

(5.69)

SSPL

7.15

5.70

(3.31)

1.79

1.78

(4.99)

NAME OF PSU

14

HIGHLIGHTS OF PERFORMANCE IN 1994-95

was formally sanctioned on the 4th April. 1995. yet the
company could gear up the operations in 1994-95 and
achieve significant growth both in production and
sales.

1. IDPL—The expansion of capacily of PenicillinG from 400 MMU lo 600 MMU was completed and
further expansion upto 800 MMU is nearing comple­
tion. The company could achieve the manpower
rationalisation by 2059 persons as against the target of
3300 persons. In the wake of the out-break of Plague in
Gujarat in September. 1994. IDPL played the key role
in supplying adequate quantities of Tetracycline for­
mulations to the Slate authorities and also through the
normal trade channel. Like-wise. IDPL played a vital
role in the combat of Malaria which broke out in the
Northern States and in the Stale of Rajasthan. The for­
mulation product-mix has been rationalised. The two
plants at Madras and Muzaffarpur have been conver­
ted into wholly owned subsidiaries with effect from the
1st April. 1994 in accordance with the approved revival
package. The company has been able to obtain the title
of land at Hyderabad and Gurgaon from the respec­
tive State Governments.

BCPL had been a leader in the market in
Cantharidinc HairOil and for its Lamp Brand Phenol.
Being primarily consumer products, the competition
in the market gradually eroded the position of BCPL
as leader. To provide a phillip to the sales of these two
premier products. BCPL launched a compaign
through the audio-visual media. The compaign has
helped the'eompany in arresting the degrowth in sales
of these two premier products ami the company has
been able to increase its market share. In the year 199596. the value of production of BCPL was Rs. 29.24
crores, registering a growth of 30% over that of 1994-95.
The sales at Rs. 26.64 crores, registered a growth of 31%
over that of 1994-95. The cash loss incurred by the Co.
was Rs. 0.75 crores as against Rs. 2.71 crores, of 199495. The performance of BCPL has been en­
couraging.

2. HAL—The main strength of HAL is in the pro­
duction of Penicillin-G First Crystal bulk drug. It is
one of the leader producers. HAL has. over the years.
been taking steps for upgradalion of the Penicillin-G
technology and the existing Pen.G Plant. The com­
pany has been looking fora world class technology for
the upgradalion of the plant’. 11AL has been sue cessful
recently in entering into a tie-up with MAX-GB Ltd.
for upgradalion of the existing Penicillin-G plant with
the technoloy of the Royal Gist-Brocades of the
Netherlands. The collaboration is on the basis of a
.Joint Venture on 50 : 50 shareholding basis in the exist­
ing Pen.G plant of HAL. The main plan, of the
technological upgradalion through this collaborative
joint venture is enhancing the production capacity and
reduction in the cost of production. The capacity is
likely to increase to 1800 MMU over a period of three
years and a cost reduction to the extent of 40% is
envisaged.

4. BIL—In the year 1994-95. the first year of
operations of the revival plan, the company achieved a
production of Rs. 15.32 crores and a sales turn-over of
Rs. 13.52 crores. Although the performance was below
the target, yet the net loss at Rs. 5.69 crores came down
significantly as compared to Rs. 9.50 crores of 1993-94.
In the year 1995-96. the value of production at Rs. 21.45
crores, registered a growth of 40% over that of 1994-95.
In sales the turnover was Rs. 19 crores, registering a
growth of about 35% over that of 1994-95. The
estimated cash loss in 1995-96 was Rs. 3.10 crores as
against Rs. 5.57 crores of 1994-95. The overall perfor­
mance of the company is encouraging, operations
have been geared up and the effect of the revival
operations would be visible from 1996-97.
5. SSPL—The operations of the company could
not be geared up in 1994-95 for a variety of reasons
including lack of managerial inputs. As against the
target of production of Rs. 16.65 crores, the actual pro­
duction was Rs. 1.79 crores. Similarly, the sales in
1994-95 were of the value of Rs. 1.78 crores as against
the target of Rs. 15.00 crores. The company incurred a
net loss of about Rs.4.38 crores. The company has
incurred a cash loss of Rs. 4.25 crores as against the
targetted cash loss of Rs. 1.46 crores.

The financial strength of H AL. the competitiveness
and its ability to withstand the competition emerging
in the pharmaceutical market is expected to be on a
sound fooling with the joint venture operations taking
shape in the near future.

HAL introduced few new products, namely.
Rhinax. an Ayurvedic Tonic ami Haloran. a formula­
tion of Diclofenac Sodium. The company developed
three new formulations, namely, a combination of
Ampicillin and Cioxacillin in capsule form: Omep­
razole and Atenolol Tablets.

The short-fall in the performance of the company
in 1994-95 are attributed to :
(i) Weak marketing set-up:

3. BCPL—In the year 1994-95. the first year of
revival operations, the company achieved a produc­
tion of Rs. 22.51 crores registering a growth of 25?zo over
that ol Rs. 18.00 crores of 1993-94. The sales turn-over
at Rs. 19.28 crores also registered a growth of about
25% over Rs. 15.84 crores of 1993-94. The revival plan
6-762 M/o C & F/95

15

(ii)

Loss of market on account of inadequate
supplies:

(iii)

erosion of the working capital and inade­
quate cycling of the working capital:

(iv)
(v)

loss of creditability from suppliers: and
inadequate managerial inputs.

I
There had been a virtual exodus of senior level
personnel from the company in 1994-95. Although
the revival scheme of the company was sanctioned
by the BIFR, the company could not attract any
talent from outside. The post of General Manager
(Marketing), General Manager/Chief Manager (Pro­
duction), Chief Manager (Finance) and four posts of
Regional Manager (Marketing) fell vacant. In the
absence of senior level personnel, the company lac­
ked in the requisite managerial inputs and
leadership needed to upgrade the operations.

2. Initially, the facilities of IPCL were set up
near Baroda (Vadodara) in Gujarat and the Com­
pany was entrusted with the responsibility of pro­
duction and distribution of various petrochemicals
like polymers, synthetics organic chemicals, plastics,
fibre and fibre intermediates. Besides production of
the above items, the Company concentrated its
attention on developing markets for these products
for the period 1973 to 1984.
3. In order to keep pace with the demand
created, IPCL set up a new Gas Cracker Complex at
Nagothane, in Raigarh district of Maharashtra at an
estimated cost of Rs. 1635 crores. The Nagothane
Plant has an ethylene capacity of 3 lakhs TPA with
down-stream products such as LDPE, LLDPE/
HDPE. Polypropylene. Ethylene Oxide, Mono
Ethylene Glycol. Wire & Cable Compound and
Butane I. The Plant has become fully operational
and it has achieved 91% capacity utilisation during
the year 1995-96.

The current charge of the post of Managing
Director, SSPL was entrusted to the Managing
Director, Bengal Chemicals & Pharmaceuticals Ltd.
(BCPL). The Board of Directors was strengthened
by induction of Managing Directors of both BCPL
and BIL. The Board also has part-time Directors
nominated by the BIFR besides the Special Director
appointed by the BIFR. The full-time Managing
Director has been selected and appointed with effect
from the 11th October. 1995. The post of General
Manager (Marketing) has also, after prolonged
efforts, been filled up in November, 1995. Efforts to
bring suitable officers on deputation from other
undertakings are being made. In the year 1994-95,
lhe Government released a total sum of Rs. 4.32
crores including a non-plan working capital support
of Rs. 3.82 crores and a Grant-in-Aid of
Rs. 0.50 crores.

4. IPCL has taken up implementation of another
three lakhs TPA ethylene capacity Gas Cracker
Complex at Gandhar in Bharuch district of Gujarat
at an estimated cost of about Rs. 3500 crores. The
project has covered substantial grbunds as the
technology for cracker and the downstream products
has been tied up and detailed engineering is in pro­
gress. Manufacturing facilities for VCM, PVC,
Chlor-Alkali and integrated utilities. Captive power
plant and infrastructure are in advanced stage of
creation and these plants are expected to be
mechanically completed by mid 1996. Manufactur­
ing facilities for rest of the products viz. ethylene,
HDPE, MEG & EO alongwith 35 Kms pipeline and
C2/C3 recovery plant will be taken up shortly which
are scheduled to be completed by the third quarter
of 1998.

In the year 1995-96, measures taken to gear up
the operations brought about considerable improve­
ment in the performance of the company. The value
of production in 1995-96 was Rs. 7.23 crores as
against Rs. 1.79 crores of 1994-95. The sales were of
lhe value of Rs. 5.74 crores as against Rs. 1.76 crores
of 1994-95. The estimated cash/net losses in 1995-96
were Rs. 3.16 crores and Rs. 3.31 crores respectively
as compared to Rs. 4.25 crores and Rs. 4.40 crores
respectively of 1994-95. Further measures far gearing
lhe operations of the company are under
consideration.
B.

5. IPCL’s equal equity Joint venture project with
GE Plastics, BV, the Netherlands, namely ‘GE Plas­
tics India Limited’ has started operation and during
the year 1994-95, it successfully produced all the three
major engineering plastics—LEXAN, NORYL &
WALOX in over 100 different grades and colours.
These Products meet market demand with products’
quality and manufacturing measurements meeting
the global standards. The Applications Development
Centre at Gurgaon near Delhi is also fully
operational with processing, testing prototyping and
CAED facilities providing technical support to the
industry. Indian Vaccines Corpn. Ltd., (IVCOL), pro­
moted by IPCL, Government of India, and PMSV,
France: was facing certain difficulties and after the
PMSV refused to offer the technology for the
manufacture of vacine, it has been decided to windup
IVCOL and the cost of winding up will be shared by
the three partners equally. For the Gujarat Chemicals
Port Terminal Co. Ltd., financial Institutions such as
ICICI, SCICI and Bank of Baroda have committed

PETROCHEMICALS UNDERTAKINGS

1. INDIAN PETROCHEMICALS CORPORATION
LIMITED

Indian Petrochemicals Corporation Limited
(IPCL) is a MOU signing public sector undertaking
incorporated in March, 1969. The authorised capital
of the Cpmpany is Rs. 400 crores and paid-up capi­
tal Rs. 248.83 crores. IPCL’s shares were partially
disinvested by the Government in 1991-92. IPCL
brought a public issue of its equity in November,
1992 followed by issue of partly convertible deben­
tures in March. 1994 on rights basis. In December,
1994. IPCL became the first public sector, which
issued Global Depository Receipts (GDRs) for a
value of US S 85 million. The Govt, of India’s hold­
ing in the Company is 59.48% of paid-up
capital.
16

the requisite financial support. Matters regarding
organisational structure and acquisition of land have
been taken up with the Government of Gujarat.

Naldhari in Gujarat. The Society produced 18568 MT
of Yarn in 1995-96 as against 17409 MT in 1994-95. The
sales turn over of the Society was Rs. 351.66 crores in
1995-96 as compared to Rs. 329.57 crores in 1994-95.
PCL has estimated a net loss of Rs. 58.19 crores in
1995-96 as against a net loss of Rs. 10.11 crores in 199495. Figures for 1995-96 arc provisional.

6. The Petrochemicals Management Development
Instt. (PM DI) set up by IPCL for providing specialised
training and upgradation of knowledge through
collaborative approach conducted various in house as
well as external training programmes, wherein 4620
employees were exposed. The aspect of the quality
management was identified and orientation program­
mes were conducted to build awareness about IOS9000.

The year 1995-96 was a very difficult year for the
society. The erratic availability of raw materials both
from domestic as well as international sources coupled
with unprecedented price hike of more than 50% due to
global shortages adversely affected the working of
the Society.

7. IPCL continued to maintain focus on R&D ami
made significant contribution to the overall produc­
tivity of the Company. The operations al catalysts and
adsorbents Division (CATAD) at Thane continued to
be encouraging and profitable during 1995-96.

A grass-root Polyester Filament Yarn plant with an
investment of Rs. 146.45 crores, having capacity to pro­
duce 60 Metric Tonne of Polyester Chips per day and
8000 MTA Polyester Filament Yarn has been set up at
Naldhari in the Bharuch District of Gujarat. The spin­
ning lines of the plant had become Operational since
August 1992. However, the polycondensation plant
was commissioned in July 1994. In addition, the
Society has also set up a 300 MTA Spandex Yarn plant
costing Rs. 75 crores at the same location. The plant
was mechanically completed in January 1994 and the
commissioning of the entire plant was started in
March 1994 for trial production of various types of
Spandex Yarn. After executing certain modifications
the plant operations would be stabilised to achieve sus­
tained commercial production in the current year.
Another project costing Rs. 44.50 crores for increasing
the production of Polyester Filament Yarn by 4000
MTA at Vadodara was approved by EFC in May 1994.
The project will be implemented soon after finalisa­
tion of revised financial arrangements.

8. The Company continued its policy of providing
assistance to its employees for construction of their
own houses and a Voluntary Housing Scheme for con­
structing 375 houses is in the advance stage of comple­
tion. A Self-financing Supernnuation Fund Scheme is
also being finalised Io provide pension to the retiring
employees. The Company enjoys overall harmonious
industrial relations.
9. IPCL has earned profits rights from its incep­
tion. During 1995-96. Company's gross turnover was
Rs. 3854 crores with gross profit of Rs. 1225 crores and
net profit of Rs. 590 crores. The Company's exports
du ring the year were of the order of Rs. 115 crores. The
Company paid an interim dividend of 15% during
1995-96 on its paid-up capital. Figures for 1995-96
are provisional.

3

2. PETROFILS COOPERATIVE LIMITED

CENTRAL INSTITUTE OF PLASTIC ENGINEERIG AND TECHNOLOGY (CIPET)

Central Institute of Plastic Engineering and
Technology (CIPET) was established in 1968 at
Madras with the primary objectives to develop trained
manpower and provide technical services to plastics
and its allied industries. Presently there arc eight
extension centres of CIPET at Ahmedabad. Lucknow.
Hyderabad. Bhopal. Bhubaneshwar. ImphaL Amritsar
and Mysore besides the headquarters centre at Madras
with thrust areas as processing and machinery
development, teletronics and automobiles. Engineer­
ing Plastics. Plastics in Agriculture. Packaging and
Housing. Water Management and household applian
ces. plastic as substitute for conventional material.
plastics in precision engineering, and evaluation and
quality control. A service centre of CIPET al Goa has
been set up in December. 1993 to provide requisite
support to plastic industries in and around Gon.

Pctrofils Cooperative Limited (PCI.) is a joint ven­
ture of the Government of India and Weavers'
Cooperatives spread throughout the country. The
Govenmcnl had established this Cooperative Society
with the Principal objective of providing polyester fila­
ment yarn Io weavers in the cooperative sector. The
Society is continuing its efforts for the development of
polyester weaving in the decentralised weaving sector
covering both powcrlooms and handlooms so as to
afford weavers an opportunity to earn better wages and
higher profits thereby improving their economic
conditions.
As on 31.3.1996 the Society had 1443 cooperatives
as Members of the Society. The Society produces
Polyester Filament Yarn. Nylon Filament Yarn anil
Spandex Yarn in its 4 plants located al Vadodara and

17

The Govt, of India has approved a new CIPET Service
Centre at Patna. Bihar in Mtn 94 and subsequently it
was approved lor upgradation as Training Centre with
financial assistance from IPCL. Government of India
has also approved setting up of an extension centre of
CIPET in West Bengal at an estimated capital cost of
Rs. 9.2(1 crores which will be shared by the Central
Govt, and the State Govt, of West Bengal in equal
proportion.

foreign exchange by exporting chemicals, dyes &
drugs over a number of years.

1371 students were trained by the Institute in several
long term courses in 1994-95 as against 1274 students in
1993-94. In addition. SO short term courses were con­
ducted in 1994-95 involving 130S students as against 89
courccs involving 1123 students in 1993-94. During
1995-96. the students to be enrolled for long term cour­
ses has been proposed to be 1410. The Institute also
conducted various tailor-made programmes for the
industry besides undertaking a number of develop­
mental projects and awareness programmes.

HOC has two units, one at Rasayani (Maha­
rashtra) and other at Cochin (Kerala). It has also
formed a subsidiary company at Rudraram (AP) for
manufacture of Poly-tctra-fluro-ethylene (PTFE). a
high tech, engineering plastic.

The production range of HOC includes Phenol.
Acetone. Aniline. Nitrobenzene. Nitrotoluenes.
Chlorobenzenes and Nilrochlorobcnzcncs. The raw
materials used by HOC arc Benzene. Toluene. LPG
Methanol. Naphtha and Sulphur, majority of which
come from Petroleum Refineries.

HOC has achieved more than 90% capacity
utilisation and made substantial profits and declared
dividend for the last 20 years continuously. With the
equity capital of Rs. 67.37 crores, it has built reserves
and surplus of Rs. 326.21 crores as on 31-3-96. It has
not only absorbed but also improved technologies
purchased from abroad and set up additinal
capacities based on in house development of R&D
and technology. The achievements in the areas of
Pollution Control, recovery of wealth from waste.
export performance, presentation of annual reports.
safety and energy conservation have earned awards
and accolades from prestigious institutions and
Government Agencies.

Under the Montreal Protocol, a project has been
sanctioned to the Department of Chemicals & Pet­
rochemicals to be executed by CIPET for preparation
of foam sector strategy so as to replace the existing CFC
technology with CFC free technology. UNDP is pro­
viding funds for this project. The CFC is one of the
chemicals which arc instrumental of depletion of
ozone layer and India being a signatory to Montreal
Protocol, has to plan for phasing out the CFC technol­
ogy within a specified lime period.

The company has ambitious expansion/diversificalions plans for implementation during the eighth
plan period (1992—97) which include, apart from the
expansion of certain existing capacities (i) Caustic
Soda/Chlorine (ii) MDT/TDI (iii) Hydrogen Peroxide
(iv) Polyurethane Systems etc. at an investment of
about Rs. 550 crores.

Modernisation of CIPET facilities through World
Bank assistance is under implemention. Procurement
of Testing equipments through ICB 9. 10 <t 11 is almost
complete. All the equipments have been supplied.
installed ami commissioned. Procurement of process­
ing machineries under ICB 4 to 8 is underway.
Equip me nt/Study tour and Fellowship training abroad
is going on simultaneously.
C.

CHEMICALS
TAKINGS

AND

PESTICIDES

HOC employs 2357 people directly and provides
indirect employment to 23570 and also employment
to 47140 people in down steam sector.

UNDER­

The company has plans to take up a number of
project in the near future. For financing these projects
and the new' schemes, the company launched a
Public Issue of equity of the value of Rs. 97 crores in
November. 1994 which was an astounding success
with over-subscription of 13 limes. For the year 199495. the company declared a dividend of 16% and
accordingly Rs. 6.31 Crs. was given to Govt, of India
as its share.

1. HINDUSTAN ORGANIC CHEMICALS LIMITED
Hindustan Organic Chemicals Ltd. (HOCL) was
incorporated on 12th December. 1960 for setting up
manufacturing capacities for chemicals/intermediates
which are required for production of Dyes. DyeInlcrmediates. Rubber Chemicals. Pesticides. Drugs
and Pharmaceuticals. Laminates, etc. It was expected
that indigenous manufacture of these chemical inter­
mediates will give impetus Io downstream industry in a
big way resulting in selling up of chemicalunits and
achieving self-sufficiency for the country in this area.
This objective of setting up HOC has been fully
achieved since at present more than 500 units based on
I IOC’s products have been set up all over the country
which have not only achieved self sufficiency but have
entered into international market, earning precious

Development of Infrastructural Facilities at the
port has been identified as one of the thrust areas for
investment by HOC. Following this, the Company
has already initiated action for setting up (a) storage
facilities and (b) port handling facilities at Jawaharlal
Nehru Port and the New Mangalore Ports, the initial
ouilays involved being Rs. 14 crores and Rs. 36 crores
respectively.

18

Total
Production
(MT)

Total
Sales
(Rs Crores)

Net
Profit
(Rs. Crores)

1990-91

258.626

236.00

45.33

1991-92

2.67.919

299.57

56.65

298 36

40.57

complex has scientific and technical personnel work­
ing in various departments such as synthesis process
development, formulations, entomology, residue
studies, analytical techniques and pilot plant. At pre­
sent R&D is developing process technologies for pro­
ducts such as Oxycarboxin. Copper oxychloride
Ma neozeb and Pend im ethal in. Other services rendered
by R&D include pilot plant trial attending the trouble
shooting in production units.
The performance of the Company is as under :—

1 IOC’s PAST PERFORMANCE

1992-93

2.73.786

1993-94

2.46.490

272.13

21.77

1994-95*

2.72.523

314.77

27.90

1995-96
(Prov.)

3.04.406

459.38

60.12

(Rs. in lakhs)

1990-91
1991-92
1992-93
1993-94
1994-95
1995-96
(Provisional)

During the year 1995-96. HOC achieved record per­
formance in all the areas of its operations. Profit before
lax rose to an all time high record of Rs. 70.12 crores
from Rs. 27.66 crores (154% increase) and Net Profit
rose to the level of Rs. 60.12 crores (representing 117%
increase over previous year). Highest production of
3.04.406 tonnes has been achieved registering an in­
crease of 12% over previous year. So far as sales volume
is concerned the increase level of 1.69.503 tonnes has
been achieved as against 1.51.737 tonnes (a rise of 12%).
Value wise, highest ever turnover of Rs. 459.38 crores has
been achieved as against Rs. 359.20 crores turnover of
previous year recording an impressive 28% growth. The
earnings Per Share reached the level of Rs. 8.92 as
against Rs. 5.31 (68% increase) over last year.

Production
(MT/KL)

Sales
Turnover

Net Profit
before tax.

26026
26042
26401
26000
19177
24870

6436
7186
8254
10901
10393
13000

(-J938.70
(—1626.22
(-r) 44.14
(+ >200.30
t-r 1226.00
(- )600.00

HIL achieved an all time high export of Rs. 21.3
crores as against Rs. 12.6 crores during 1994-95 by
exporting its products to many developed countries
besides developing countries. The performance of HIL
for the year 1995-96 has improved substantially. It's
sales turnover has crossed Rs. 130 crores as against
Rs. 140 crores during 1994-95. registering an increase of
over 25%. The net profit of the company has gone up
three fold to Rs. 6.1 crores.

HINDUSTAN INSECTICIDES LTD.

M/s. Hindustan Insecticides Ltd. incorporated in
1954 has at present three units one each at Delhi.
IJdyogamandal in Kerala and Rasayani in Maha­
rashtra. The company also has a subsidiary company
namely the Southern Pesticides Copn. Ltd. with headquartersat Hyderabad and factoryat Kovvurin Andhra
Pradesh. HIL is engaged in the manufacture of DDT.
BIIC. Malathion. Endosulfan and Butachlor. five
major pesticides used in the country.

INSTITUTE OF PESTICIDE
TECHNOLOGY (IPFT)
Background

FORMULATION

The Institute of Pesticide Formulation Technology
al Gurgaon is a non-profit making organisation regis­
tered under the Societies Registration Act on May 31.
1991. The objectives of the Institute is to promote advan­
cement of Pesticide Formulation Technology in India.
The Institute aims to develop and promote safer, effi­
cient. economic and environment friendly pesticide
formulations utilising indigenously available raw
materials. The Institute is recognisd by the Department
of Scientific and Indisturial Research. Ministry of
Science and Technology. Government of India. The
Institute has also been given the role of Technical CoordinatorUnit of the Regional Networkon safe Pesticides
Production & Information for Asia and Pacific (RENPAP). a Programme of UNDP/UN1DO on Pesticide
Formulation and Quality Control.
2. The Institute has basic research and develop­
ment laboratories and training facilities in various
aspects of formula lions like development, ma nufac lure
and quality control, safety and packaging of pesticides.
3. Services rendered to the pesticide industry Pesticide

HIL commissioned their Monocrotophos Tech.
plant with an annual capacity of 300 MT at their
Rasayani Unit in Maharashtra. During the year 199596. two new plants were commissioned at the Rasayani
and lldyogamandal units to produce Carboxin, a seed
protectant multipurpose fungicide and Dicofol. a wide
spectrum acaricide cum insecticide, both for the first
time in the country. The technologies for these products
were developed by the company's own in-house R&D
cent re. The company is also in the process ofselting up a
new generation eco-friendly fungicide plant alUdyogamandal unit and a multipurpose insecticide plant at
Rasayani unit. Il is also proposed to expand the Monocroiophos production capacity al Rasayani unit by 50%
by incorporating process modifications. HIL supplies
the major portion of its formulations to the National
Malaria Eradication Programme.

Formulation

I HL has its Central R&D Complex at Dundehera in
Gurgaon District. Haryana State. The Central R&D

One of the major objectives of the Institute is
to develop and provide the pesticide formulation
19

industry with user and environment friendly pesticide
formulations so that the Indian farmers could have
access to the user friendly products like their counter­
parts in the developed countries. The universally
acceptable safer formulations arc Suspension Concen­
trates (SC). Water Dispersible Granules (WG), Con­
centrated Emulsion (CE) Micro Emulsion and
Controlled Release formulations.

5. Bio-Science Laboratory
The Bio Science Laboratory is fully equipped to
undertake evaluation of pesticides and their
formulations for bio-efficacy, phytotoxicity, com­
patibility and insect resistance to insecticides. The
biological services have been offered to the pesticide
•industry in the country for the generation of efficacy
data required for registration of pesticides.

The Laboratory

6.

The Institute is well equipped with most of the
facilities required for the development of state-of-art
pesticide formulations. The specialized equipments
available at the laboratory include Dynomill (KDL
special). Eiger Mill. Fluid Bed Spray Granulator Spray
Drier. Turbula. Pan and Disc Granulator. Extruder.
Micro Pulvcrisor. Silvcrson. Mixer. Climatic Cham­
ber. Laser Based Particle Size Analyser. Rheometer.
Film Balance Surface and Intcrfacial Tcnsio Meters.
Viscometers and Research Microscopes.

Pilot Plant

The Institute has a fully equipped pilot plant for
scaling up of new formulations developed in the for­
mulation laboratory upto semi-commercial level. The
facility includes Dynomill. Fluid Energy Mill. Lodige
Mixer. Ribbon Blender. Hammer Mill Besides various
size redection Mills.
The pilot plant equipment are being utilised for the
in-house and conventional work on technology
development. The equipments arc being used for live
demonstrations during the training programmes.

During the year 1994-95. Pesticide Formulation
Laboratory generated an income of Rs. 9.31 lacs
through services rendered to the industry and training
programmes conducted by it.

8. Human Resource .
The Institute has a team of highly qualified, trained
and competent scientists and technologists and many
of them have been trained in the world famous
laboratories as part of expertise building programme
under the UN'DP/UNIDO assistance. Some of the staff
have served as UNIDO consultants in the developing
countries.

4. Analytical facilities

The analytical laboratory of the Institute is fully
equipped with the statc-of-thc-ar analytical instru­
ments namely-Gas Chromatograph coupled with
Mass Spectromctric Detector (GC-MSD) High Perfor­
mance Liquid Chromatograph (I1PLC). Supercritical
Fluid Chromatograph (SFC). High Performance
Thin-Layer Chromatograph (I1P-TLC) etc.

II. Regional Network on safe Pesticides Production and
information for Asia and the Pacific (RF.NPAP)

It has been recognised as an independent test
laboratory by the Bureau of Indian Standards (BIS) for
analysing/testing of 93 pesticide samples and their
formulations.

It is a network programme funded by the UNDP
and executed by the UNIDO in association with FAO/
WHO/ESCAP and CIRAD. There are 15 countries of
the Asia and the pacific region namely Afghanistan.
Bangladesh. China. India. Indonesia. Iran. Malaysia.
Mynamar. Nepal. Pakistan, the Phillipincs. Rep. of
Korea. Sri Lanka. Thailand ami Vietnam participating
in this programme. The main thrust of this programme
is to replace the hazardous pesticide products and
technologies with those which are user and environ­
ment friendly through mutual sharing of experience
among the member countries of the network. The
Govt, of India has been providing the secretarial sup­
port facilities to the Regional Coordinating Unit
through the IPFT and during the year 1995-96 Rs. 5
lacs have been granted for this purpose.

The Institute is providing pesticide analytical
services, method development, method validation and
verification of impurity profile of technical pesticides
to the pesticide industry and the BIS.
In order to sensitize the chemical industry on the
likely impact of CWC the institute provided assistance
in conducting mock National Trial Inspections.

An income of Rs. 21 lacs was generated through
rendering analytical services to the industry in course
of the year.

20

GENERAL
ORGANISATIONAL SET I JI’ OF THE
DEPARTMENT

Employment of Scheduled Castes/ Scheduled Tribes/
Physically Handicapped and Blind :

The main activities of the Department in relation to
the industries allocated to it (Annexe-1) arc overall sec­
toral planning and the development and control of
these industries under the industries (Development
and Regulations) Act as well as monitoring of produc­
tion and distribution The administrative anti mana­
gerial control of the Public Sector undertakings
engaged in the manufacture of various chemicals.
pharmaceuticals and petrochemicals items is also a
major function of the Department.

The representation of Scheduled Castes/Schcduled
Tribes/Physically handicapped and Blind in the main
Secretariat of the Department of Chemicals ami
Petrochemicals as on 30-9-95 is as under:—
Scheduled

D

49
79
94
58

8
11
20
27


1
*>
->



1




1


TOTAL

280

66

5

1

1

A
B

c
Secretary (Chemicals and Petrochemicals) is in
overall charge of the Department of Chemicals and
Petrochemicals. The work of the Department is dis­
tributed among three Joint Secretaries who look after
four Divisions i.e. (i) Administration, (ii) Chemicals.
(iii) Petrochemicals and (iv) Drugs and Phar­
maceuticals. The work relating to the Drug Prices
Liabilities Review Committee has been assigned to
one of the Joint Secretaries. In addition, there is a
separate cell looking after the work relating to Bhopal
Gas Leak Disaster and special laws relating thereto. A
Financial Adviser of the rank of Joint Secretary
advises the Secretary on financial matters.

Senior officers designated as Dy. Director General
and Advisers and a technical support wing render
advice on technical matters relating to the industries in the Drugs. Chemicals and Petrochemicals Sectors.
Besides, the Department incorporates the func­
tions of the Development Commissioner (Phar­
maceutical Industries) which is responsible for the
implementation of Drug (Prices Control) Order and
tariff matters relating to the Pharmaceutical
industry.
The Department also has eight public sector under­
takings besides subsidiaries under its administrative
control and four other organisations. These are listed

Scheduled Physically
Handi- Blind
Tribes
capped

Total No.
of posts

Group

The posts of Group ‘A' include officers belonging
to Central Secretariat Services besides officers on
deputation from IAS. Central Services and other
Departments/Undertakings. Recruitment to posts in
Group "B‘ and ’C' is mostly done on the basis of
nominations made by the Department of Personnel
and Training.
Representation of Scheduled Castes/Scheduled Tribes
and other Backward
Classes in the
Public
Sector Undertakings :

Consequent upon the issue of the instructions by
the Department of Public Enterprises for the reser
vation of vacancies for the members of Scheduled Cas­
tes. Scheduled Tribes and other Backward Classes.
reports are being called from the Public Sector Under­
takings under the control of the Department of
Chemicals and Petrochemicals about employment of
scheduled Castcs/Scheduled Tribes and other Back­
ward Classes so as to keep a watch on filling up the
reserved posts in these Undertakings.
Employment of Physically Handiccapped :

Half yearly reports in respect of employment of
physically handicapped arc received from the Public
Sector Undertakings.

G’cv

ORGANISATION CHART OF THE DEPARTMENT OF CHEMICALS AND PETROCHEMICALS (AS ON 31-3-86

MINISTER (C & F)

I
MINISTER OF STATE (C & F)

SECRETARY(C & PC)

JS&FA(C&F) JS(DPEA)

JS (PI)

Technical Support Wing

DDG (PI)

JS (C & A)

JS (PC)

DDG (Chem)

I
JD(C)

Dir(Qwr<l)

_ D'irCClJ)

ALA

IA

CVO

DS (A)

US (E)

US (E) D.O1

ALA

AD.Os.

D.Os.

Clll
Po(ri)

US (M)
US
(Coord.)

US (Chem.)

RO (C)

Coord
Parliament

SO(Vig)

1

Ch. 1 M«in-

C
PC
PI
B

— Chemicals
— Petrochemicals
— Pharmaceutical Industry
— Bhopal Gas

Ch. II M*E(C)

Eatt.
R&I
Hindi
DC (PI)

AD.Ot.

Organisation and Methods

An Internal Work Study and Organisation and
Methods unit is functioning in the Department. The
unit is also looking after training both in India and
overseas of officials of the Department and Public
Sector Undertakings under its administrative control.
A number of officers and staff members were spon­
sored for various training programmes in India and
abroad. The inland and foreign training programme
covered are as under:—

1. Training Course on Production Management
Information System (PROMIS)
2. Training Course on Credit Appraisal for Small
and Medium Industries.

3.

Seminar on Technology Management.

4.

Training Course on Resource Conservation and
Environmental Protection.

5.

Training Course on ISO 9000 in Hong Kong

6.

Certificate Course in Reprography.

7.

Management of Training.

8.

Advanced Professional Programme in Public
Admn.

9.

Foreign Training Course for the Year 1996-97.

10.

Training Course on—GENDER ISSUES.

II.

Management Orientation Programme.

12.

Appreciaton Course in Parliamentary Processes
and Procedures.

13.

Special Programme on Pension and other
Retirement benefit.

14.

Management Development Programme.

15.

Training in Administrative Vigilance.

16.

Offer of Training under Colombo-Plan.

20.

Assistant (Direct Recruits) Foundational Train­
ing Programme.

21.

Inter-regional Workshop on the Use ofCoconut
Industries Waste for Energy, in Indonesia.

22.

Orientation Course in Parliamentary Pro­
cedures and Practices for SOs/Parl. Asstts./
Asstts. in various Ministrics/Department.

23.

Training Course on "Establishment Rules”

24.

SIDA's Advanced International Training Pro­
gramme "Energy Conservation in Industry
1996" in Sweden.

25.

Second Professional Dcvclepnent workshop for
Principal Private Secretaries.

26.

Training course on computer Appreciation for
Gazetted officers (Group ’A' <t 13).

Implementation of Official Language

There is a Rajbhasha (Hindi) Section in the
Department to implement the various provisions of
Official Language Act and Rules. It looks after the pro­
gressive use of Hindi in the Deptt. as well as in its
Public Sector Undertakings.
Documents pertaining to Section 3(3) of the Offi­
cial Language Act were issued bilingually. Letters
received in Hindi were replied to in Hindi. Efforts were
made to promote original noting and drafting in Hindi
in official work. Hindi pakhwara (Fortnight) was
organised in the Deptt. and competitions on Hindi
Essay Writing and Noting and Drafting were
arranged.

Official Language implementation committee of
the Dept., was reconstituted under the Chairmanship
of Joint Secretary (Admn.). Action taken on the
decisions taken in the meeting were intensively
monitored.
Notification in the Gazette

9 public Sector Units under the administrative
control of the Department have been notified in the
gazette under Rule 10(4) of the Rules 1976. These are
HIL. HOC. IDPL. Regional Office of IDPL at Delhi.
Patna and Rishikesh. MAPL. HAL and RDPL.

■17. Orientation Programme for Dircctors/Deputy
Secretary of Central Staffing Scheme.
18.

Short term Certificate Course in Servicing and
Repair of Records.

19.

In-Plant
Japan.

Group

Training

Programme

Quarterly progress reports regarding implementa­
tion of Official Language Policy were called for from
the PSUs. The PSUs were informed of the shortfalls
and were requested to take corrective measures
accordingly.

in
23

The measures suggested by the Committee are
being complied with by the Depth and respective
Public Sector Undertakings of the Dcptt. Efforts to
accelerate the use of Hindi in their Official work were
confirmed by the PSUs. Most of the Public Sector
Undertakings have set up Official Langauage imple­
mentation committees, incorporating the various
aspects of the use of Hindi and Annual Assccment
report was prepared and sent to the Dcptt. of Official
Language for review.

Hindi Teaching Scheme

Staff and Officers of the Department were
nominated fo Hindi Training. Action for imparting
training to the staff in Hindi Typewriting and Steno­
graphy was continued during the year.
Inspection hy the
Official Language

Committee

of

Parliament

on

The first sub-committee of committee of Parlia­
ment on Official Langaugc visited Regional Office of
1PCL at Delhi and Bangalore. Headquarter of IIIL.
Delhi Office and IDPL. Rishikcsh. The committee
inspected these Offices and reviewed the progress of
use of Hindi.

The Dcptt. have made efforts to achieve the
targets fixed in the Annual Programme of Dcptt. of
Official Language for the Progressive use of
Hindi.

24

OUTSTANDING AUDIT OBJECTIONS AND
INSPECTION REPORTS
In pursuance of the recommendation of the
Public Accounts Committee in its 169th Report, an
adhoc Committee was appointed in the Department
to review the outstanding audit objections/
Inspection Reports periodically and take remedial
steps to liquidate the backlog audit paras/inspection

No. & Yea r
of the Report

Name of Report

No. X of 19X9 Resume Report

reports. As on 1st January. 1996 the Department
has the following outstanding audit paras appear­
ing in the various Reports of the Comptroller and
Auditor General of India and Inspection Reports
of Director of Audit and Economic & Service
Ministries : —

Para No .. if any & Brief subject
Section—1-5

Bengal Chemicals and Pharmaceuticals Ltd..—
System of Accounts and Book-keeping.
Section—1-6
System of Accounts and Book-keeping—Bengal
Immunity Ltd.
Cost Control (H.I.L.)
Section—1-48
Section—1-49
Cost Control (H.O.C.L.)
Section—1-59
Cost Control (I.D.P.L.)
Section—1-65
Inventory Control (I.P.C.L.)
Section—1-114
Internal Control (Rajasthan Drugs & Phar­
maceuticals Ltd.)
Section—1-119
Internal Control (S.S.P.L.)
Section—1-142
Internal Control (LLP. Drugs and Pharmaceuticals
Company Ltd..)
Section—II-B-12 Inventory
Control
in
Udyogmandal
unit
(H.I.L.) ’
Section—II-B-16 Surplus earned by I.D.P.L. during the period from
1970-71 to 1978-79 amounting to Rs. 2.743.16 lakhs
on the trading activity in canalised importer
bulk drugs.

No. 4 of 1989 Maharashtra
Antibiotics &
Pharms. Ltd.

Audi Review—Maharashtra Antibiotics and Phar­
maceuticals Limited..

No. 9 of 1989 Audit
observation

Para 26

Forfeiture of deposit due to nonlifting of drugs
ordered (S.S.P.L.)

No. 5 of 1990 Resume Report

Section—1-7
Section—1-9
Section—1-63

Syste of Accounts and Book-keeping (B.C.P.L.)
System of Accounts and Book-keeping (B.I.L.)
System of Accounts and Book-keeping (Hindustan
Insecticides Limited)
Cost Control and Inventory Procedure Control
(H.O.C.L.)
System
of
Accounts
and
Book-keeping
(I.D.P.L.)
System of Accounts and Book-keeping (Orissa
Drugs and Chemical Ltd..)
System
of
Accounts’
and
Book-keeping
(S.S.P.L.)

Section—1-65
Section—1-75

Section—1-134
Section—1-151

25

No. & Year
of the Report

Name of Report

Para No., if any & Brief subject

Section—1-166

System of Accounts and Book-keeping (Uttar Pradesh
Drugs and Pharmaceuticals Co. Ltd..)
Section—1I-B-6 Non writing off the plant ami machinery—Karnataka
Antibiotics and Pharmaceuticals Ltd..
Section—II-C-14 Under-provision of depreciation and overvaluation of
finished product (H.l.L.)

No. 5 of 1990

Resume Report

Section—II-C-15 Surplus earned by I.D.P.L. during 1970-71 to 1978-79
on the trading activity in canalised imported bulk
drugs not deposited with the Gov't.

No. 7 of 1990

Audit Observation

Para 2.1

Loss on investment in subsidiary Company—Punjab
Maize Products Ltd.. (I.D.P.L.)
Avoidable expenditure due to delay in reduction of
contracted load (IDPL)

Para 2.2
No. 2 of 1991

Resume Report

Section—I-C-5
Section—I-C-16
Section—I-C-20

Section—I-C-25
Section—I-C-46

Section—II-5
Section—II-6
Section—11-65
Section—11-70
Section—11-69
Section—11-73
Section—11-90
Section—11-96
Section—11-108

Section—11-157
Section—11-165
Section—11-172
Section—11-190

Non-provision for penal interest on plan and non­
plan loans (B.C P.L.)
Non-charging of depreciation on Endosulfan Techni­
cal Project-loss on (H.l.L.)
Overvaluation of stock-in-trade due to inclusion of
General Administrative over-heads, etc. (I.D.P.L.)
Inclusion of interest on borrowed fund in Administra­
tive Overheads (I.P.C.L.)
Overvaluation of inventory of finished stock
(S.S.P.L.)
Syste of Accounts and Book-keeping (B.C.P.L.)
System of Accounts and Book-keeping (B.I.L.)
System of Accounts and Book-keeping. Cost Control
etc. (ILA.L.)
System of Accounts and Book-keeping (II.I.L.)
Cost Control (Hindustan Fluorocarbons Ltd..)
System of Accounts and Book-keeping (H.O.C.L.)
System of Accounts and Book-keeping (I.D.P.L.)
Credit Control (I.P.C.L.)
System of Accounts and Book-keeping (Maharashtra
Antibiotics and Pharmaceuticals Ltd..)
Internal Control (Orissa Drugs and Chemicals LtdSystem of Accounts and Book-keeping (Rajasthan
Drugs and Pharmaceuticals
System of Accounts and Book-keeping (S.S.P.L.)
System of Accounts and Book-keeping (U.P. Drugs &
Pharm. Co. Ltd..)

No. 3 of 1991

Audit Observations Para 2.2

Extra expenditure due to delay in payment of elec­
tricity bills) I.D.P.L.)

No. 2 of 1993

Comments on
Accounts

Fixed Assets included assets of value Rs. 1.42 crores.
discarded and declared as scrap (H.l.L.)
Loss for 1990-91 was understated by non-provision for
penal interest (B.C.P.L.)

Para 1.2.3
Para 1.3.4

26

No. & Year
of the Report

Para No., if any & Brief subject

Name of Report

Loss for 1990-91 was understated by non-provision for
penal interest on Govt, loans (B.I.L.)
Loss for 1990-91 was understated by non-provision for
penal interest on Govt, loans (H.I.L.)
Profit for 1991-92 was overstated by Rs. 4.94 crores by
non-provision of liability of Rs. 2.24 crores for welfare
expenses and gifts to employees towards excise duty
payable (I.P.C.L.)
Accumulated loss of 1990-91 was understated by Rs.
154.84 lakhs due to non-provision of interest
(M.A.P.L.)
losses as on 31st March 1992 were 74 per-cent of the
paid up capital (Hindustan Antibiotics Ltd.)
Fixed assets registers were not reconciled with finan­
cial books during 1990-91 (I.D.P.L.)
Selling prices of all products were less than the cost
during 1990-91 ami 1991-92 in Udvogmandal unit
(H.I.L.)
Physical balance of general stores was not re­
conciled (H.I.L.)
Debts outstanding for 3 years as on 31st March.
1991 (H.O.C.L.)
Debts outstanding for more than 3 years as on 3lst
March. 1991 (I.D.P.L.)

Pa ra 1.3.5
Pa ra 1.3.6
Pa ra 1.3.7

Pa ra 1.3.8

Pa ra 1.4.3
Pa ra 2.1.4

Para 2.3.1

Pa ra 2.4.3
Para 2.5.2

Pa ra 2.5.3
No. 3 of 1993

Audit
observation

Pa ra 2.2

Irregular Award of Contract (H.O.C.L.)

No. 2 of 1994

Comments on
Accounts

Pa ra 1.2.4

Loss for 1992-9.3 was understated bv short provision of
gratuity of Rs. 27.36 lakhs (H.I.L.)
Profit for 1992-93 was understated by Rs. 10.40 lakhs
due to overvaluation of stock of finished goods
(H.A.L.)
Sundry debtors (I.D.P.L.)
Capital work-in-progress included Rs. 1.98 crores
being the cost of Railway siding (I.P.C.L.)

Para 1.2.5
Pa ra 1.2.6
Pa ra 1.2.7
No. 2 of 1994

Comments on
Accounts

Pa ra 1.3.7

The accumulated losses on 31/3/93 were 69 percent of
the paid up capital (I-l.A.L.)
Stock of stores and spares (H.O.C.L.)
Subsidiary accounts for sundry debtors were not main­
tained during 1992-93 (S.S.P.L.)
Fixed assets register was not mainatained during 199293 at Endosulfan Technoplant (H.I.L.)
Sundry debtors on 31st Marhch. 1993 were equivalent
to 37.84 percent of sales (H.I.L.)

Para 1.3.8
Para 2.1.2
Para 2.1.3

Para 2.5.1
No. 3 of 1994

Audit observation

Extra Expenditure due to non-installation of sub­
station (I.D.P.L.)
Avoidable payment of Commission to an Institutional
Agency (I.D.P.L.)
Irregular payment to employee opted for Voluntary
Retirement Scheme (I.D.P.L.)
Expenditure on procurement of R&D equipment not
required (I.P.C.L.)
Irregular payment of production incentive
(U.P.D.P.L.)

Para 1.1
Para 1.2

Para 1.4
Para 1.5
Para 1.6

27

LATEST POSITION OE PENDING INSPECTION REPORTS BASED ON AUDIT REPORT 1994-95

PART I (B) (OLD OUTSTANDING OBJECTIONS) (C&PC)

SI.
No.

Yea r

Pa ra
No.

Subject

1.

1986-87

8(a)

Surplus earned by IDPL in respect of trading activity in canalised imported
bulk drugs.

2.

1987-88

1

Injudicious Import of Soda Ash Resulting in loss of Rs
Government.

LOS crores to

1987-88

Loss incurred in the import of Caustic Soda.

4.

1988-89

Share Capital Investment by Indian Drugs and Pharmaceuticals in Punjab
Maize Products Ltd. losses amounting to Rs. 207.17 lakhs.

5.

1988-89

5

Release of funds to CIPET.

6.

1989-90

7

Expenditure under the head
thereof.

7.

1990-91

2(a)

Payment to the Ex-attorney General (Shri K. Parasaran) out of the Bhopal Gas
Leak Disaster Proceeding of Claims Act. 1985—payment under Retainer
Agreement for engagements of Attorneys under demand No. 54.

8.

1992-93

1

Huge amount recoverable under Drugs prices cquilisation account.

9.

1992-93

2

Unauthorised retention of Govt, money by STC realised under Methanol Pool
Fund’.

10.

1992-93

3

Non-liquidation of increasing liability towards invoked guarantee.

11.

1992-93

13

Dead Slock Register irregularity thereof.

12..

1993-94

2

Huge amount outstanding on account of loans granted to Public Sector Under­
takings amounting to Rs. 530.24 crores (HIL. HAL. IDPL. BIL. BCPL
and SSPL).

13.

1993-94

3

Non maintenance of records to watch the recovery of huge amount of guaran­
tee fee (IDPL. SSPL. BIL. BCPL. HAL & KAPL).

14.

1993-94

>2

Irregularities in maintenance of log books of the vehicles.

15.

1993-94

15

Non furnishing of requisite documents against scooter advance sanctioned to
the staff.

28

Bhopal Gas Leak Disaster—irregularities

PART II

SI.
No.

Year

Pa ra
No.

Subject

16.

1994-95

1

Capital restructuring and Rehabilitation Plan for Smith Slanistrccl Phar­
maceuticals Ltd.

17

1994-95

2

Capital restructuring and conversion of Loans equal to accumulated losses of
Rs.42.38 crores into equity for Hindustan Antibiotics Ltd. (UAL).

18.

1994-95

?

Implementation of Rehabilitation Plan in Bengal Immunity Ltd.

19.

1994-95

4

Delay in implementation of Revival Package Plan for Indian Drugs & Phar­
maceuticals Ltd., declared as "Sick Industrial Co.".

20.

1994-95

5

Irregular investment of Rs. 27 lakhs out of the grant released to the
I PET.

21.

1994-95

6

Cost over run of Rs. 468 crores of Maharashtra Gas Cracker Complex
Plant at Nagothane.

22.

1994-95

7

Slow progress of the Grass Root Poly Propylene Project.

23.

1994-95

8

Improper utilisation of funds during 1994-95. (IDPL)

24.

1994-95

9

Release of funds (Plan) to IDPL for the year 1994-95.

25.

1994-95

10

Institute of Pesticides Formulation Technology.

26.

1994-95

11

World Bank Assistance of 12 Million USS for modernisation of CIPET Loan
No. 3258—IN.

27.

1994-95

12

Utilisation C ertifications for the Grants released to Statutory bodies/Public
Sector Undertakings. (CIPET. IPFT. N1PER. BIL. SSPL).

28.

1994-95

13

Funds paid under Grant-in-Aid for VRS to PSUs. by the Deptl. of C&PC. New
Delhi (SSPL. BIL. BCPL and IDPL).

29.

1994-95

14

Control of Production & Prices of Molasses

30.

1994-95

15

Non insurance of House owned through MBA by Govt, servants.

31.

1994-95

16

Outstanding contingent advances amounting to
adjustment.

32.

1994-95

17

Excess payment of Rs. 1832/- on account of HRA/CCA and ad-hoc
bonus.

29

Alcohal.

Rs. 13082

pending

for

PART II—(Condel.)

Year

Pa ra
No.

Subject

1994-95

18

Non-admissiblc mileage allowance allowed to Officers/Officials on tour.

34.

1994-95

19

Inadmissible claims on account ofTA/DA by the officials/Officcrs amounting
to Rs. 1208/-.

35.

1994-95

20

Discrcpancies/irregularities
books.

36.

1994-95

21

Non conducting of Annual Physical verification of stores.

SI.
No.

noticed

during

the

examination

of service

PART HI (TEST AUDIT NOTE)

37.

1984-85

Para 13

Violation of Instructions issued by the Govt.

38.

1990-91

2

Bkvcle Account.

39.

1992-93

1

Differences in GPF balances—Non-reconciliation thereof with the PAO’s
Books.

30

(OLD OUTSTANDING OBJECTIONS) [DC (PI)|

PART I (B)

SI.
No.

Year & Para No.

1.

1986-87.4

I.IC advance.



ft

Providing AC facility to non-cntitlcd officers incurring of infractions expenditure of
Rs. 27.9061/- and 22160.70.

19S7-SS.1

Extending of undue benefits to private parties resulting in loss to the Govt.

Subject

4.



4

Cash Book—irregularities thereof.

5.



ft

Log Book.

ft.

19SS-S9.1

7.



X.

19S9-90.3

9.



10.

5

Misappropriation of Govt, money amounting to Rs. 147.43 and Rs. 1000/- and other
irregularities in the Cash Book.
Irregular fixation of Pay of Sh. V.K. Bhardwaj.
Short recovery of income tax amounting Io Rs. 900/-.

4

Over payment of Pay and allowances amounting to Rs. 3640/-.

5 (A)

Over payment on a/c of Bonus.

11.



ft

Stores L/cs—irregularity thereof.

12.



7

Cash Book—irregularities thereof.

13.



8

Irregularities in the maintenance of GPF ledger in o/o Group ’O’ staff.

14.

1990-91.1

Price Equalisation A/C.

15.



Excess payment of Pay anil D.P. amounting to Rs. 3288.00 paid to Sh. M.L. Grover
Sic no Grade 'C.

16.

-

3 (B)

Excess payment of Pay and allowance to Sh. C.M. Pothiraj (DD).

17.

-

3 (C)

Cash Book.

IS.

1991-92 1

Drawal of Rs. 18.19.615/- from the consolidated Fund of India during the year 199192 non-production of records thereof.

PART I (B)—(Contd)

SI.
No.

Year

Para No.

19.

1991-92.

7

Long outstanding contingent advances amountng Io Rs. 1.93.651.00.

20.



.5

Irregular employment of daily wagers during the year 1991-92 resulting into an
unauthorised expenditure of Rs. 42.762.20.

21.



4

Oxer payment ol Rs. 2497.45 to the cashiers due to non-furnishing of fidelity/
security bond.

22.



5

Reimbursement of conveyance hire charges during 1991-92.



6

Outstanding TA/LTC advances to the extent Rs 22.372/-.



7

Slodk registers and
consumable items.

24.

1992-93 &
1993-94. 1

2

26.

Subject

Purchase

files

of

Dead

stock

stationery

and

Drawn! of Rs. 18.20. lakhs 20.21 lakh and 25.00 lakh during 1991-92. 92-93 and
1993-94 respectively from the consolidated fund of India and non-production of
records thereof.
Delay in remittances into the Bank.

27.



28.



4

Irregular LTC Claims.

29.



5

Doubtful payment of Rs. 5688.48 on account ol
DEC 2821.

30.



6

Irregular Expdr. of Rs.
repairs of Staff Car.

31.



7

Irregularities in the maintenance of G. P. Fund Accounts of Group ‘D’
staff.

Improper maintenance of Cash Book.

3684-64

on

Non-production of records information.

account

repair of vehicle No.

of supply

of POL

and

OUTSTANDING AUDIT OBJECTIONS RELATING TO PAO. (C&PC)

Remarks

Subject

SI.
No.

Year

Pa ra
No.

1.

1985-86

2

Public Sector Bank suspense unsettled items.

2.

1985-86

4

Outstandings figures—R. B. Suspense A/c.

3,

1986-87

9

4.

1988-89

1

5.

— (Io —

3

Register of Grants-in-Aid.

6.

— do —

6

Long outstanding under GPF Suspense.

7.

— do —

8

GPF ledger and Broadsheet.

8.

—do—

9

Non-niaintenance of records.

9.

1992-93

1

Expenditure incurred under Capital head ’6857’ in excess of
G ra n t/a p p top ri a t io n.

10.

—do—

2

Govt. A/c interest on delay transfer of tax collections to
Gove rnment.

11.

—do—

3

12.

—do—

4

Investments.

13.

—do—

5

PAO suspense.

14.

—do—

6

Inward and outward claims.

15.

—do—

7

Valuables register.

16.

—do—

8

IIBA/Scootcr Advance.

17.

—do—

9

Outstanding utilisation certificate.

18.

—do—

10

Non-maintenancc of Broad Sheet of loan.

19.

—do—

11

Objection Book.

20.

—do—

12

Non-maintenancc of A. Os check Register.

'■

Unsettled C.D.S. A/c
Loan Register and
tin dcrlakings.

Broad

Sheet

in

respect

ol

Public

Non-rceeipl of 51656 lakhs on account of repayment of loan
and interest by Public Enterprises.

ANNEXURE—I
LIST OF ITEMS ALLOCATED TO THE DEPARTMENT OF CHEMICALS AND PETRO-CHEMICALS
(RASAYAN AUR PETRO-RASAYAN VIRIIAG)

1.

Drugs and Pharmaceuticals.

2.

Insecticides (excluding the administration of the
Insecticides Act. 1968 (46 of 1968)|.

3.
4.

5.

9.

Public Sector projects concerned with the sub­
jects included under this Department except
such projects as arc specifically allotted to any
other Ministry or Department.

Molasses-distribution and pricing.

10.

Bhopal Gas Leak
relating thereto.

Alcohol-industrial anil potable (excluding
Alcoholic drinks from non-molasses base)
including the Indian Power Alcohol Act. 1948 (22
of 1948).

11.

Pctro-chcmicals.

12.

Industries relating to production of noncellulosic synthetic fibres (Nylon Polyester.
Acrylic etc.).

13.

Synthetic rubber.

14.

Plastics including fabrications of plastic and
moulded goods.

15.

All Public Sector units relating Io the above
matters.

16.

All attached and subordinate offices or other
organisations concerned with any of the subjects
specified in this list.

Dye-stuffs ami dye-intermediates.

6. All organic anil inorganic chemicals, not
specifically allotted to any other Ministery or
Department.

7.

8.

Planning, development and control of. and assis­
tance to. all industries dealt with by the
Department.

All attached or subordinate offices or other
organisations concerned with any of the subjects
specified under this Department.

34

Disaster-Special

Laws

ANNEXEURE—II
DRUGS AND PHARMACEUTICALS (MONITORED BULK DRUGS)
ESTIMATED DEMAND & PRODUCTION ACHIEVEMENT (ORGANISED SECTOR)

Name of the Drug

A/c
Unit

Actual
Prodn
1

I.

1995-96

1994-95

1993-94

Estimated
Demand

Actual
Prodn

Estimated
Demand

2

3

4

5

6

MMU
MMU
MMU
MMU
T
T
T
T
T
T
T
T
T
Kg
T
T
T
T
T
T

119.80
184.60
1391.30
27.81
173.46
71.47
9.37
51.86
157.30
309.61
127.30
375.04
1.89

4.77
22.24 )
94.44 J
127.47
158.66
8.39

330.00 |

330.00

71.00
139.00
71.00

121.44
179.64
1666.41
32.93
103.71
20.46
9.34
124.50
174.71
328.35*
100.01*
524.96*
3.40

7.40
6.54 )
126.41 J
131.84
188.88*
4.84

T
T
T
T
T
T
T
T

1747.59
34.75
31.23

37.25

5.65


886.00
250.00
67.00
101.00
80.00
50.00
N.A.
N.A.

1792.14
22.52
33.54

43.75

2.50


ANTIBIOTICS

1.

Penicillin

a. Penicillin G. Sodium
b. Penicillin G. Procaine
c. Penicillin G. (1st Cry)
d. Penicillin G. Bensath
2. Streptomycin
3. Chloramphenicol Powder
4. Chloramphenicol Palmitate
5. Tetracycline
6. Oxy tetracycline
7. Ampicillin
8. Erythromycin
9. Amoxicillin
10. Doxycycline
11. Gentamycin
12. Framycetin
13. Rifampicin®
14. Rifa—S
15. Cioxacillin
16. Cephalexin
17. Griseofulvin

II.

SULPHA DRUGS

1.
2.
3.
4.
5.
6.
7.
8.

Sulphamethoxazole
Sulphadimidine
Sulphacetamide
Sulphadiazine
Sulphamoxole
Sulphaphenazole
Sulphaguanidine
Sulphasomidine

2706.00 |

180.00
200.00 |
308.00
201.00
694.00
103.00
231.00
13.00
8858.00
5.00
312.00

3111.90

180.00
200.00
323.40
211.05
798.10
111.24
265.65
13.65
9743.80
5.50

358.80
78.10
159.35
78.10

974.60
250.00
70.35
106.05
84.00
50.00
(NA)
(NA)

* : Estimated

NA: Not available
—: NIL
& Production in 1994-95 was low due to non-reporting by a major company,-viz. Lupinchem

Note: Demand for 1995-96 is estimated by applying the growth rates as worked out in the Report of the Working Group on Drugs and Phar­
maceuticals for the Eighth Plan (1990-95).

35

Name of the Drug

1993-94

A/c
Unit

Actual
Prodn
■1

III.
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.

VITAMINS

IV.

ANALGESICS & ANTIPYRETICS ETC.

1.
2.
3.
4.
5.
6.
7.
8.

Analgin
Aspirin
Oxyphenbutazone
Phenyl Butazone
Paracetamol (reserved for small scale)
Pethidine
Ibuprofen
Piroxicam

V.

CORTICOSTEROIDS

1.
2.
3.
4.

Dexamethasone
Betamethasone
Prednisolone
Hydrocortisone

VI.

ANTI-T.B. DRUGS

1.
2.
3.
4.

Pas & its salts
INH
Thiasetazone
Ethambutol

5.

Pyrazinamide

Vitamin A
Vitamin Bl
Vitamin B2
Vitamin B12
Vitamin C
Vitamin D3
Vitamin E
Folic Acid
Nicotinic Acid
Nicotinamide
Vitamin B5

1995-96

1994-95
Estimated
Demand

Actual
Prodn

Estimated
Demand

2

3

4

5

6

MMU
T
T
Kg
T
Kg
T
T
T
T
T

•119.10
30.41
15.73
556.00
920.28
327.00
113.07
8.28

25.35
71.71

127.00
143.00
60.00
330.00
1139.00
570.00
23.00
11.00
322.00 |

133.35
153.01
64.20
353.10
1195.95
598.50
23.46
11.55
338.10

74.00

94.47
31.74
13.15
404.00
979.15
368.00
163.40
1.10


82.09

T
T
T
T
T
Kg
T
T


1624.37
8.72
16.34
NA
131.00
736.64
2.32

2010.00
2144.00
60.00
90.00
3543.00
804.00
278.00
1.77

14.40
1785.78
6.26
16.76
NA
304.00
608.57
1.94

2110.50
2251.20
60.00
90.00
3897.30
844.20
319.70
1.95

Kg.
Kg.
Kg.
Kg.

409.00
1897.00
2019.00


804.00
1608.00
6030.00
1273.00

506.00*
2065.00
2289.00


844.20
1688.40
6331.50
•1336.65

T
T
T
T
T

5.55

30.81
570.80
47.02

60.00
443.00
94.00
531.00
97.00

5.00
1.00
40.55.
675.43*
49.40

60.00
487.30
98.70
584.10
106.70

• = Estimated
— - NIL
SSI ■= Small Scale Industries production

36

77.70

Name of the Drug

1993-94

A/c
Unit

Actual
Prodn
1

1995-96

1994-95

Estimated
Demand

Actual
Prodn

Estimated
Demand

2

3

4

5

6

T
T

268.22
21.90

200.00
20.00

325.73*
19.00*

200.00
20.00

T
T
T
T

441.27
81.20

239.43

709.00
71.00
124.00
N.A.

523.13
22.13

239.46

779.90
78.10
136.40
N.A.

T
T
T
MU

134.94
68.13
5.51
2441.00

54.00
25.00
2.00
6200.00

88.24*
103.61*
7.37
2764.00

56.70
25.00
2.00
6820.00

T
T

99.84


181.00
3.00

86.00


190.05
3.00

T
T
T
T

7.25
5.40
6.08
0.81

11.00
3.00
5.00
2.01

12.65
8.26
5.18
0.62

11.55
3.00
5.15
2.11

VII. ANTI MALARIALS

1.
2.

Chloroquin
Amodiaquin

VIII. ANTI DYSENTERY DRUGS

4.

Metronidazole
Tinidazole
Diloxaminde Furoate
lodocholorohydroxyquinoline

IX.

ANTI DIABETICS

1.
2.
3.
4.

Chlorpropamide
Tolbutamide
Glybenclamide
Insulin

X.

CNS STIMULANTS

1.
2.
3.

1.
2.

Caffeino
Nikethamide

XI.

DIURETICS

1.
2.
3.
4.

Frusemide
Acetazolamide
Hydrochlorothazide
Spironelactone

j XII. ANTI ASTHAMATICS

1.
2.
3.
4.

5.

Ephedrine
Salbutamol
Terbutaline
Theophylline
Aminophylline

T
Kg.
Kg.
T
T

60.29
• 11479.00
819.00
240.00
8.38

67.00
4020.00
603.00
335.00 |

60.00*
19653.00
930.00
163.86
3.38

70.35
4221.00
633.15
351.75

T
T
Kg
T

8.53
11.64
34.85
3.32

16.00
20.00
47.00
67.00

6.12
9.39
31.00
5.32

16.80
21.00
49.35
70.35

Xin. CARDIVASCULAR DRUGS
'

1.
2.
3.

Propranolol
Xanthinol Nicotinate
Digoxin

4.

Methyl Dopa

* ” Estimated
NA - Not available
- - NIL

37

Name of the Drug

1993-94

A/c
Unit

Actual
Prodn

1994-95
Estimated
Demand

1995-96
Actual
Prod n.

Estimated
Demand

1

2

3

4

5

6

1.

Lignocaine/Xylocaine

T

8.69

35.00

8.70

38.50

2

Procaine

T

24.03

106.00

5.95

116.60

XIV.

AANAESTHETICS

XV.

ANTI IIISTAMINS

1.

Phcncraminc Maleate

T

33.76

34.00

48.36

35.70

2.

D iphe n h ydra m i n c

T



24.00



25.20

XVI.

ANTI 1IELMENTICS

1.

Piperazine and Salts

T



50.00



50.00

2.

Mebandazole

T

3.88

104.00

1.06

119.60

Tc t ra m iso 1 c/Le va mi s ol e

T



35.00



38.50

Pyrantel Palmoatc

T

23.82

21.00

70.83*

22.05

4.

XVII.

TRANQUILIZERS & SEDATIVES

1.

Phenobarbitonc

T



20.00



20.00

2.

Diazepam

T

1.08

30.00



32.10

3.

Triflupcrazinc

T

0.11

2.50

0.32

2.50

4.

Imipraminc

T

1.00

7.00

0.07

7.35

5.

Nitrazepam

Kg

207.00

600.00

407.00

642.00

T



45.00



45.00

XVIII. ANTI FILARIALS
1.
XIX.

Diethyl Carbamazine (DEC Citrate)
ANTI LEPROTICS

1.

Dapsone

T

12.00

67.00

11.78

70.35

2.

Clofazamine

T

6.11

3.35

8.54

3.52

XX.

OTHER ANTI BACTERIALS

1.

Trimethoprim

T

388.41

177.00

309.06*

194.70

2.

Nalidixic Acid

T

38.50

62.00

40.30

68.20

T

186.13

71.00

237.79

78.10

XXI.
1.

GASTRO INTESTINAL
Ranitidine

*: Estimated
—: NIL

38

ANNEXURE-HI
CAPACITY AND PRODUCTION OF CHEMICALS DURING 1994-95. 1995-96. (ESTT.) & ANTICIPATED PRO­
DUCTION DURING 1996-97

Chemicals/I nduslry

Unit

Production

Inst.
Cap

1996-97

1994-95

1995-96

Actual

(F.stt.) Anticipated

2

3

4

5

6

OOOT

1654.6
1311.7
759.X
237.7
150.0
1.7
46.5
30.1
13.3
2.4

140X.6
1 156.1
677.2
177.4
97.4
0.9
30.2
14.3
4.X
1.8

1522.1
1200.0
690.0
223.6
95.3
1.0
32.0
17.0
5.0
2.0

1450.0
1250.0
720.0
220.0
120.0
LI
35.0
16.0
5.4
2.2

1. Acetone

63.6

42.0

48.0

50.0

2 Aniline

28.1

12S.9
52.9

15.0
100.0

16.0

3. Acetic Acid

13.7
X9.9

110.0

32.7

1
1. Inorganic Chemicals

1. Soda Ash
2. Caustic Soda
3. Liquid Chlorine
4. Carbon Black
S. Calcium Carbide
6. Red Phosphorus
7. Titanium Dioxide
X. Aluminium Flouride
9. Potassium Chloride
10. Sodium Chlorate
II. Organic Chemicals

35.0

38.0

6.3
39.0

6.0

6.0

6.2

36.7

7. Methanol

356.0

37.0
3X0.0

38.0

376.X

385.0

X. Maleic Anhydride
9. Phenol

23.4

17.0

18.0

20.0

66.6
11.4

57.8

60.0

10. Pcntaerithritol

11.5

12.0

62.5
13.0

11. Formaldehyde

21 LX

167.7

175.0

182.0
0.8
32.0

4. Acetic Anhydride
5. Citric Acid

6. Chloro Methanes

"000‘T

12. Isobutyle (Alcohol)

1.0

0.7

0.7

13. Nitrobenzene
14. ONCB
15. PNCB

46.5

4.3

30.1
4.9

30.5
5.0

9.2

10.0

10.0

11.0

16. MEK

7.0

6.4

6.(1

6.5

39

5.0

1

2

3

4

5

6

I. B.II.C. (13% GAMA)

37.0

32.0

25.0

20.0

2. DDT
3. Malathion

9.1

4.3
2.8

4.4
3.0

4.4

7.5

4. Methyl Parathion

4.5

2.1

2.2

2.4

5. Fenitrothion

0.5

0.01

0.1

0.0
0.1

0.0
0.1

2.1

2.2

2.2

III. Pesticides (Tech.) Insecticides

6. Fcnth ion

2.3

7. Dimethoate

4.0

8. D.D.V.P.

3.0

1.2

1.3

1.4

9. Quinalphos
10. Monoerotophos

3.2

2.8

3.0

3.2

13.6

8.8

9.0

10.0

11. Phosphamidon

4.5

1.3

2.0

2.2

4.0

4.0
1.0

4.1
1.0

13. Ethion

0.9

4.1
1.0

14. Endosulphan
15. Fenvalarate

7.3

6.7

6.8

7.0

1.3

1.2

1.3

1.3

16. Cypcrnrcthrin

1.1

1.4

1.4

1.5

1'7. Anilophos

1.0

0.2

0.2

0.2

IS. Acephate
19. Chlorpyriphos

0.8

0.9

0.9

0.9

1.2

0.6

0.7

20. Phosalone

1.0

0.3

0.3

0.8
0.3

21. Mctasystox

0.3
••

0.4
0.06

0.4

0.5

NEG

NEG

»»

0.4

0.8

1.0

1.8
0.2
0.4
1.2
0.5
4.0

0.7
0.04
0.3
0.6
0.3
4.1

0.8
0.04
0.3
0.7
0.4
4.0

0.9
0.05
0.4
0.8
0.5
4.2

1.8
4.1

0.7
0.9

0.8
1.0

1.0
1.2

12. Phorate

"00’T

22. Abate
23. Triazophos
Fungicides

24. (Zaptan <t Captafol
25. Thiram (Thioearbamatc)
26. Ziram (Thioearbamatc)
27. Carbendazim (Bavistin)
28. Calixin
29. Mancozab
I leibicidcs

30-2.4-D

31. Butachlor

40

2

3

4

5

6

"000’T

3.9
0.3
0.3
0.9

4.2
0.1

0.8

4.2
0.1
0.2
0.8

4.5
0.2
0.2
0.9

0.9

0.5

0.6

0.7

1.8
0.3

1.8
0.07

2.0
0.07

2.0
0.08

126.6

89.88

86.01

86.13

4.9
1.0
3.5
1.3
0.3
0.02
1.4
11.0
5.0
5.1
0.2

2.8
0.4
3.0
0.3
0.06
0.1
1.0
8.3
4.5
3.9


2.8
0.4
3.5
0.4
0.06
0.1
1.0
8.5
4.5
4.0


3.0
0.5
4.0
0.5
0.1
0.1
1.0
9.0
5.0
4.5


4.2
2.5
0.3
0.1
1.9 .
2.3

2.6
2.4
0.1
0.08
1.2


2.4
2.5
0.1
0.08
1.2
1.0

2.5
2.5
0.2
0.1
1.4
1.0

30.74

32.54

35.4

1
Wecdieides

32. Isoprotu ton
33. Basalin
34. Diuron
35. Glyphosate
Rodenticides

36. Zine Phosphide
Fumigants

37. Aluminium Phosphide
38. Methylc Bromide

Grand Total (Tech. Pesticides)
Note :—Combined ctipcily. plant being multipurpose.
IV. Dyes

Dyestuffs

I. Azo Dyes
-) Acid Direct Dyes (Other than Az.o)

"000’T

Disperse Dyes
4. Fast Colour Bases
5. Ingrain Dyes
6. Oil Soluble (Solvent Dyes)
7. Optical Whitening Agents
8. Organic Pigment Colours
9. Pigment Emulsion
10. Reactive Dyes
11. Stabilised Azoics (Rapid Fast/
Rapidogin)
12. Sulphur Dyes (Sulphur Black)
13. Vat Dyes
14. Solubilised Vat Dyes
15. Food .Colours
16. Napthols
17. Other Dyes (Including Aery. Fibre)
Total :

45.02

4!

ANNEXURE-IV
CAPACITY AND PRODUCTION OF MAJOR PETROIIEMICALS DURING 1994-95.1995-96 (ESTT.) &
ANTICIPATED PRODUCTION DURING 1996-97
(Figures in OOOWll)

1994-95

1995-96

1996-97

Product
ACl’UAI s

(1)

ANTICIPATED

ACTUAL

ANT1C1PATI •D

Installed
Capacity

Prodn.

Installed
Capacity

Prodn.

Installed
Capacity

Prodn.

Installed
Capacity

Prodn

(2)

(3)

(41

(5)

(6)

(7)

(8)

(9)

103.00

synthetic fibres
1.

Al-

98.00

81.39

98.00

74.29

NIY

*

39.38

98.00
*

80.00

2.

40.00



4122

114.00


V

NIY/TC



45 73

*

45 00



54.59

*

56.00

4.

Pl-Y

*

294.18



350.00

*

34939

*

700.00

5

PSI-

259.00

220.29

291.00

230.00

291.00

23138

574.00

470.00

60.00

1 1BR E I NT E R M E DI ATES
6.

AC N

30.00

26.51

30.00

24.00

30.00

26.60

30 00

27.00

~

CAPROLACT.

120.00

97.47

120.00

110.00

120.00

112.65

120.00

120.00

X.

DMT/PTA

420.00

440.76

420.00

480.00(3

420.00

455.36

990.00

890.00

9.

MEG

220.00

175.52

24000

200 00

240.00

197.93

340.00

306.00

POLYMERS
K).

I.DPE

200.00

180.80

200.00

190.00

200.00

185.24

200.00

190.00

11

I.I.DPE/HDPE

355.00

319.45

355.00

380.000

355.00

376.87

860.00

600.00

12.

PP

115.00

107.38

115.00

180 000

115.00

114.00

430.00

250.00

11

PS

71.00

51.84

140.00

95.00

140.00

8752

174.00

105.00

14

PVC

465.00

469.02

465.00

550.00^

465.00

496.02

820.00

650.00

15.

AHS

32.00

22.66

32.00

20.00

32.00

23.96

45.00

44.00

SYNTIIEIC RUBBER
16.

SHR

50.00

34.11

50.00

45.00

50.00

35.05

84.00

67.00

17.

PUR

20.00

19.24

20.00

28.00(3

20.00

2138

50.00

36.00

199.00

213-56

199.00

220.000

199.00

225.12

219.00

225.00

288.00

207.55

288.00

210.00

288.00

225.59

324.00

292.00

SYNTHETIC DE I ERGENT
IX.

LAB

OTHERS
19.

PX

Note: 'Iliis infonnaiion is available with the Department as furnished by Industrial Units.

*: UNDER BROADBANDING

•> : Higher Production expected due to likely capacity/operational efficiencies.

42

ANNEXURE-V

LIST OF ATTACHED OFFICE AM) PUBLIC SECTOR UNDERTAKINGS AND OTHER ORGANISATIONS
UNDER THE ADMINISTRATIVE CONTROL OF THE DEPARTMENT OF CHEMICALS AND
PETROCHEMICALS

A itached office

Office of the Development Commissioner (Pharmaceuticals Industry)

Public Sector Underetakings
Hindustan Organic Chemicals Ltd.. Rasayani (Maharashtra)
Hindustan Insecticides Ltd.. New Delhi

Indian Drugs and Pharmaceuticals Ltd.. Dundahera Industrial Complex. Dundahera. Gurgaon (Haryana)
Hindustan Antibiotics Limited. Pimpri. Pune (Maharashtra)
Smith Stanistreet Pharmaceuticals Ltd.. Calcutta (W.B.)

Bengal Chemicals & Pharmaceuticals Ltd.. Calcutta (W.B.)
Bengal Immunity Limited. Calcutta (W.B.)

Indian Petrochemicals Corporation Ltd.. P.O. Petrochemicals, District Vadodara (Gujarat)
Oilier Organisations

Pclrofils Co-operative Limited. P.O. Petrofils. Distt. Vadodara (Gujarat)

Central Institute of Plastic Engineering & Technology. Guindy (Madras)
Institute of Pesticides Formulation Technology. Gurgaon (Haryana)
National Institute of Pharmaceuticals Education and Research. Mohali (Punjab).

MGIPF-762 M/n C & F/95

43

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