Opium gum produced by the cultivators is procured by the officers of Central Bureau of Narcotics (CBN) and transferred to the Government Opium and Alkaloid Works (GOAW). There are two GOAWs one in Ghazipur (Uttar Pradesh.) and the other in Neemuch (Madhya Pradesh). Each GOAW has an Opium Factory and an Alkaloid Plant. The Opium Factories dry the opium for export and for use in the Alkaloid Plants. The Alkaloid Plants extract alkaloids from opium and sell them to manufacturers of pharmaceutical preparations.

More information about GOAW can be seen at GOAW  

Licensing other companies to manufacture alkaloids of opium

Of the various Alkaloids, Codeine Phosphate is required in the largest quantity. The total production of codeine phosphate by the two GOAWs is not sufficient to meet India’s needs. Hence, we import Codeine Phosphate every year.

The Government has relaxed the rules to allow private manufacturers to be licensed for production of alkaloids from Indian opium, if it is in public interest to do so and in consonance with India’s obligations under International treaties, conventions or protocols. Further, Government has also initiated the process of allowing private companies to produce Concentrate of Poppy Straw (CPS) and manufacture alkaloids from the same.

Licit Cultivation