| Date: |
26-08-2011 |
| Subject: |
Don't Be A Protectionist; Allow 100% FDI in Pharma: Cipla |
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Within the pharmaceuticals space, there is a huge divide on the issue of restricting foreign investment into Indian pharma companies. Industry leader and veteran Yusuf Hamied has spoken against the Indian pharmaceutical alliance lobbying to restrict foreign companies buying into Indian businesses.
According to the chairman and managing director of Cipla , it should depend on the rules and regulations in the rest of the world. “Today, Indians are buying companies galore outside India, and they are allowed to buy 100%. Since we are allowed to buy 100% in their country, they should be allowed to buy 100% here” said Hamied.
At present, 100% FDI through the automatic route is allowed in the pharma sector. However, concerns were raised due to several high profile acquisitions, including that of Ranbaxy Laboratories and Piramal Healthcare by overseas companies.
Source : moneycontrol.com
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