The country’s biggest drug manufacturing hub is in Baddi, Himachal Pradesh.

Pharmaceutical companies in Himachal Pradesh are queuing up to register new products at the drugs controller’s office before the seven-year tax holiday window for hill states ends on March 31. Over 450 drug companies have their production units in the state.

The clarification by the Central Board of Excise and Customs, Ministry of Finance, last month, stated any new product coming out of the existing machinery after the cut-off date will attract excise duty. This decision triggered the rush for approval of new products.