Manufacturing Industries

How Hindustan Antibiotics Transformed Pimpri into an Industrial Hub.

Pa
Pankaj Mankar
•Published:•2 min read
How Hindustan Antibiotics Transformed Pimpri into an Industrial Hub.

How a government backed pharmaceutical plant brought manufacturing, employment and a new industrial identity to Pimpri.

After gaining independence, India was in the grip of poverty, and meeting even basic needs was a challenge. Medicines were extremely expensive in India at the time because they had to be imported from abroad. The Government of India initiated efforts to make medicines available to the Indian people at affordable rates. Operations began at Hindustan Antibiotics Limited, a pharmaceutical company owned by the Government of India. A team of scientists and technical experts set to work determining which medicines to produce first, while the management team planned the logistics for pharmaceutical manufacturing. Establishing a manufacturing plant required three key elements, open land, an abundant water supply, and railway connectivity. Since Pimpri village offered all three, it was selected as the site for the plant. Another significant factor was the proximity of the major city of Pune and the relative closeness of Mumbai.

Establishment of Hindustan Antibiotics.

The entire Pimpri Chinchwad area was originally agricultural, with residents relying on farming for their livelihood. The local farmers were initially unaware that a manufacturing plant was being set up in their village. With the assistance of the WHO and UNICEF, Hindustan Antibiotics Limited was inaugurated in Pimpri on March 10, 1954, by Jawaharlal Nehru. The plant required a workforce, a need that was met by the people of Pimpri and Chinchwad. Residents began working at Hindustan Antibiotics Limited alongside their farming activities, leading to an increase in their disposable income. Hindustan Antibiotics began to transform the Pimpri and Chinchwad region. Pharmaceutical production at the facility commenced in 1955.

The First Post Independence Success.

When antibiotics were imported into India from abroad, drugs such as Penicillin, Streptomycin, and Tetracycline were sold at exorbitant prices, making them affordable only to the wealthy. However, once Hindustan Antibiotics began manufacturing these very antibiotics, their price dropped by 80%. A medicine that previously cost ₹2,000 became available for ₹400. These medicines began reaching government hospitals, ordinary citizens, and rural areas.

The Rise of Indian Manufacturing

Thanks to Hindustan Antibiotics, the word spread across the country that Pimpri-Chinchwad was an ideal location for manufacturing plants; consequently, Bajaj initiated efforts to set up its own plant in the Akurdi area. Following Bajaj, Tata Motors also established a manufacturing plant in the Pimpri-Chinchwad region. Over the years, numerous other companies set up their manufacturing facilities there. Today, manufacturing plants belonging to many companies are operational in the Pimpri-Chinchwad and Chakan areas.

The Journey of Hindustan Antibiotics

Hindustan Antibiotics began its successful journey in 1955, ensuring that medicines reached every corner of India. The company manufactured a wide range of antibiotics that were made available to the public, significantly reducing the mortality rate caused by common illnesses. However, in 1997, Hindustan Antibiotics fell into heavy debt, bringing the company to the brink of closure. It managed to make a comeback through a joint venture between the DSM Group and RPG Life Sciences. Meanwhile, several new companies manufacturing antibiotics were strengthening their market presence. Hindustan Antibiotics gradually fell behind the times, and these new companies captured the antibiotics market.

Three major mistakes made by HAL:

Relied on outdated antibiotics.

Delayed modernization and R&D

Slow decision making the market moved ahead in the meantime.

What did Hindustan Antibiotics manufacture?

In-house developed products

Health care

  • Hamycin (own research product)
  • Ampicillin Sodium
  • Benzyl Penicillin Potassium
  • Benzyl Penicillin Sodium
  • Benzathine Penicillin (Longacillin)
  • Cefuroxime Sodium
  • Amoxycillin Trihydrate (Delamin)
  • Cefotaxime Sodium (Haltax)
  • Ceftriaxone Sodium (Haxone)
  • Meropenem (Halpen)

Agricultural and veterinary

  • Aureofungin (anti-fungal used in preservation of the fruits and vegetables)
  • Humaur (bio-organic foliar spray)
  • Streptocycline (antibacterial for effective control of diseases in plants)
  • Azotomeal
  • Phosphomeal

Although Hindustan Antibiotics is not fully operational today, some of its departments continue to function. Its contribution to India's pharmaceutical sector has always been significant; the company built something substantial from scratch at a time when the country lacked such facilities, paving the way for India to now export its own manufactured medicines globally. Indian medicines are supplied to 191 countries, with over 50% of these exports going to highly regulated markets such as the United States and Europe. Today, Pimpri-Chinchwad and Chakan serve as vital manufacturing hubs in the country, and numerous Indian companies rely on these manufacturing units. Hindustan Antibiotics established its manufacturing plant in Pimpri, and the progress witnessed in the Pimpri-Chinchwad region today is truly commendable.

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