In December 2025, the Cabinet of Odisha formally approved the Pharma & MedTech Policy 2025. The policy aims to transform the state’s healthcare manufacturing landscape by building infrastructure, easing approvals and encouraging both domestic and global players to set up pharmaceutical and medical-device manufacturing units in Odisha. 

As part of the plan, the government will develop dedicated industry parks  the Odisha Pharma Park and Odisha MedTech Park  with modern infrastructure, ready-to-use facilities, and support systems to accelerate setup of manufacturing plants and R&D units for drugs, medical devices, diagnostics equipment and allied health technology. 

To attract investors, the policy offers a suite of incentives: 30% capital-investment subsidy on plant and machinery; 100% stamp-duty exemption on concessional industrial land; power subsidy of ₹2/unit and full electricity-duty reimbursement; wage incentives for five years (₹15,000/month for women, ₹12,500/month for men), along with reimbursement of statutory labour-related contributions (ESI/EPF). 

The government has also reactivated the Odisha Pharmaceutical Development Cell (OPDC) as nodal agency to coordinate policy implementation, approvals and investor facilitation. Through this institutional framework the state hopes to address regulatory bottlenecks and provide end-to-end support for new units. 

According to recent data, nine pharmaceutical / biotech companies have already expressed investment intent worth ₹4,349 crore to establish manufacturing and healthcare units in Odisha  reflecting growing investor interest even before the policy rollout. 

Officials suggest that the policy will not only meet rising domestic demand for drugs, devices and diagnostics, but also enable export-oriented manufacturing, boost employment (skilled and semi-skilled), and foster collaboration between industry and academia  potentially positioning Odisha as a national hub in the life-sciences sector by 2036.