Kerala Govt, Avestha Gengraine sign MoU for biotech promotion

Industry Minister PK Kunhalikutty presided over the function. The MoU, signed by industry's principal secretary John Mathai and Avestha Gengraine Technologies CEO and founder Villoo Morawala Patell envisages a joint initiative to position the state for leadership in the phytopharmaceuticals-biotechnology sector.

The state government, along with the biotech major, will set up a special purpose vehicle (SPV) with an initial corpus of Rs 10 crore to leverage the state's rich biodiversity and its unique expertise in ayurveda and other traditional healing systems.

The SPV, which will be constituted in three months, will offer world class cost-effective means to interested institutions and individuals in the state and elsewhere to get their traditional medicine products evaluated and validated for potential marketing in the global marketplace.

Avesthagen will support the SPV to establish state-of-the-art biotechnology infrastructure and expertise in the state for phytopharmaceutical development. It will also take the lead for securing funding for the SPV.

Kunhalikutty said the state possesses in-depth knowledge and practice in ayurveda and tribal medicine. "Through such partnerships with the private sector, we expect to take our traditional medicine to the world, packaged and validated to global market regulations and expectations."

Patell said the SPV will enter into suitable arrangements with Avesthagen Inc, USA, to find suitable partners for the commercialisation of its products worldwide. "Thus, the SPV intends to fill the strategic gaps in the value chain leading to marketing phytopharmaceuticals in the global marketplace."