India- a Biotech Growth Catalyst
Did you know, India is the World’s second-largest producer of BT Cotton? World’s third-largest producer of recombinant Hepatitis B vaccine? or India is considered as a Biotech Growth catalyst?
The biotech sector is growing exponentially in India. India is among the top 12 destinations for biotechnology in the world, with approximately 3% share in the global biotechnology industry. We are also the leader in the global supply of DPT, BCG and measles vaccines. India surely is considered as a Biotech Growth catalyst.
Current Picture of the Biotech Industry
The biotechnology industry in India comprises about 600+ core biotechnology companies, approximately 2600+ biotech startups, 47 BIRAC-supported incubators. India has the second-highest number of US Food & Drug Administration (USFDA)-approved manufacturing plants outside the US. The country is currently home to more than 523 USFDA approved drug manufacturing facilities.
By 2025, the Indian Biotechnology industry is expected to reach $150 bn
Those are some big numbers you just saw. It’s something to be immensely proud of, and also a great opportunity to invest. The time has come where Biotechnology is serious business and provides a huge scope of growth.
The Indian Biotechnology industry that was valued at $64 bn in 2019 will reach $150 bn target by 2024-25.
The sector is divided into five major segments- Bio-pharma, Bio-services, Bio-Agri, Bio-industrial, and Bio-informatics. The biopharmaceutical sector accounts for the largest share of the biotech industry with a share of 55% of total revenues, followed by bio-agri with 23% market share (2018).
Bio-services accounted for 16% of the Biotech industry as India is becoming a leading destination for clinical trials, contract research, and manufacturing activities, which is further fuelling the growth of the bio-services sector, while the remaining market is catered by bio-industrial (6%).
India is also one of the first countries to have a department dedicated to Biotechnology. The Department of Biotechnology has also set up BIRAC (Biotechnology Industry Research Assistance Council). This not-for-profit an interface agency to strengthen and empower emerging biotechnology enterprises to undertake strategic research and innovation.
Indian biotech startups attracted $ 2.8 bn investments between 2012-16. There is the establishment of Biotech parks, Office and plant space for investors and incubator. The overall scenario of the Biotech Industry is on the rise. The focus states in India are; GUJARAT, TELANGANA, ANDHRA PRADESH, KARNATAKA & HIMACHAL PRADESH.
The start-up Ecosystem
- India ranks high in the start-up ecosystem. Currently, 1730+ start-ups exist in the country, which has been incorporated since 2012- ~61% of these are focused on BioPharma
- This is a result of the gradual improvement in ease of doing business norms, proof-of-concept funds for start-ups and favourable government policies
- Association of Biotechnology Led Enterprises (ABLE) is targeting 2020 start-ups by 2020
- BIRAC will continue to grow its partnerships with innovation foundations and universities, to focus on the Make in India and Startup India programs
The biotechnology sector of India is highly innovative and is on a strong growth trajectory.
Policy Support & Incentives
SKILL DEVELOPMENT: Setting up of Life Sciences Sector Skill Development Council (LSSSDC) under National Skill Development Corporation (NSDC) to promote skill development in the biotechnology sector.
- Biotechnology Industry Research Assistance Council (BIRAC) is a not-for-profit set up by Department of Biotechnology (DBT), Government of India. It is an interface agency aimed at strengthening and empowering the emerging biotechnology enterprises to undertake strategic research and innovation
- BIRAC hosts an industry-specific Make in India cell for the Biotechnology Sector
Major Biotech Initiatives
- Regulations and guidelines on biosafety of recombinant DNA research & biocontainment released (2017)
- Lok Sabha has passed the DNA Technology (Use and Application) Regulation Bill 2018, that allows regulated use of DNA
- Launch of National Biopharma Mission’s program, ”Innovate in India“ (2017) – it is a DBT program with USD 250 Mn in funding, that aims to bring together industry and academia in order to promote entrepreneurship and indigenous manufacturing in bio-pharma
State-Specific Biotech Policies
- Andhra Pradesh launched its Biotechnology Policy 2015-2020, with an aim to attract new investments worth INR 6,000 Cr by 2020- as well as create 5000 additional employment opportunities for skilled personnel by 2020
- Gujarat launched its draft Biotechnology Policy for 2016-2021, with special emphasis on the Biotech sector
- Rajasthan launched its Biotechnology Policy 2015, with an aim to establish world-class research institutes and biomanufacturing infrastructure
- Telangana launched its Life Sciences Policy (2015-2020), with an aim to make the state the most preferred destination for life science activities- as well as attract new investments worth INR 20,000 Cr by 2020
- Uttarakhand launched its 2018-2023 Biotechnology Policy, aimed at attracting new investments worth INR 5000 Cr- as well as generate employment opportunities for 5000 people by 2023.
The major Biotechnology segments, responsible for the rocket ship growth of the Industry are:
01% BIOINFORMATICS, SYSTEM BIOLOGY
Industry/ Cluster Zones
There are DBT-supported biotechnology parks and incubation centres in different states, designated for the promotion of Biotech start-ups and the Public-Private Partnerships
- Lucknow Biotechnology Park, Uttar Pradesh
- Biotechnology Incubation Centre, Genome Valley, Hyderabad, Andhra Pradesh
- Biotechnology Core Instrumentation Facility (BTCIF) at TIDCO Centre for Life Sciences (TICEL), Chennai
- The Golden Jubilee Biotech Park for Women, Siruseri,
- Kanchipuram District, Tamil Nadu
- Guwahati Technology Incubation Centre (GBPIC) at Biotech Park, Assam
- Bangalore Biotech Park, Karnataka
- KRIBS BioNest, Kochi, Kerala (previously called KINFRA Biotech Park)
- Punjab Biotechnology Incubator, Mohali, Punjab
Major Players in India
From the above-stated facts and figures, there is enough evidence of how well currently the Biotech Industry is doing. It is growing exponentially and is contributing greatly to the economy of the nation. Science graduates of the country have a scope unmatched to any other new industry. Before fleeing abroad, one needs to know about the facts of their own nation. And then make a thoughtful decision.
India is the 3rd largest biotech destination in the Asia Pacific Region
India has no dearth of talent in biotechnology, as a number of institutions, both government and autonomous, provide the necessary opportunities for the students seeking to obtain a degree in this sector. The Government of India has provided adequate scope to this sector by providing facilities for Research and Development (R&D) in the field of biotechnology.
With the country offering numerous comparative advantages in terms of R&D facilities, knowledge, skills, and cost-effectiveness, the biotechnology industry in India has immense potential to emerge as a global key player.
Source: Invest India