Ministry of Micro,Small & Medium Enterprises

MSME’s Cluster Scheme to support private hospitals for Oxygen Plant

Posted On: 05 MAY 2021 6:46PM by PIB Mumbai

Nagpur, 5 May 2021

There are more than 100 private hospitals registered in Vidarbha Hospitals Association, Nagpur facing difficulties in supply of oxygen due to which they approached MSME-DI, Nagpur and met Shri P.M.Parlewar, Director, MSME-DI, Nagpur with a request to support them for setting up of oxygen plant under Cluster Development scheme of Ministry of MSME.  A meeting was held  on Tuesday  with Office bearers and members of Vidarbha Hospitals Association (VHA), Nagpur under the Chairmanship of Shri P.M.Parlewar to discuss the possibility of setting up of oxygen plant as a CFC under cluster development scheme of MSME for cluster of hospitals in Nagpur. These hospitals are registered under MSME Act as service enterprises. 

Discussion was held to set up an  Oxygen plant which costs around 10 crore  Rupees and has capacity to provide about 1700 cylinders per day  . For this, ch Vidarbha Hospitals Associations are ready to form Special Purpose Vehicle (SPV) as per the scheme. As per requirement they are ready to contribute 10-30 % as per requirement and remaining 70% will be provided by the Ministry of MSME as grant -in -aid for CFC.  Once this comes up, the problem of oxygen faced by private hospitals who are acting as COVID hospitals as well as Non COVID hospitals would be resolved to some extent.

It was also discussed that the DPR will be prepared on Fast track basis and a proposal will be submitted to the Ministry immediately for which preparations are under progress.  This will enable the private hospitals in Nagpur to take services from this CFC which will also act as “Oxygen Bank” in Nagpur.  The land for setting up of this CFC is under identification.

Amidst raging pandemic and the paucity of oxygen has created a dangerous situation not only in India but in Vidarbha also. Oxygen has become a lifeline for COVID patients and hence the Government is taking all efforts to maintain supply of oxygen.Earlier, MSME-DI, Nagpur during the first wave of pandemic developed PPE kits at the time when it was not available in India and distributed to Govt. Hospitals.  On similar lines, Shri P.M.Parlewar, Director, MSME-DI, Nagpur has taken this initiative to support the corona warriors during the second wave as well as to face the future waves, if any.  This pilot project, if everything goes smoothly, would be replicated in other parts of the country.

The meeting was attended by the members of Vidarbha Hospitals Associations as under-Dr. Ashik Burade, Nucleus Mother & Child Super specialty Hospital, Dr. Pankaj Agrawal, Nucleus, Hospital, Dr. Mukund Thakur, Zenith Hospital/ Viveka Hospital, Dr. Srikant Mukewar, Dr. Saurabh Mukewar, Midas Multispeciality Hospital, Dr. Pramod Giri, Neuron Brain & Spine Hospital, Dr. Alok Umre, Arogyam Superspeciality Hospital, Dr. Anup Marar, Orange City Hospital & Research Institute, Dr. Santosh Dhole, Axom Hospital, Chetan Gupta, Platina Heart Hospital, Dr. Rohit Gupta, Dr. Pankaj Harkut, Swasthyam Hospital, Nagpur.


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