The Biotech Startup Expo 2022, the first of its kind in India, was recently inaugurated by the Prime Minister. This event not only demonstrates the significant growth of the biotech sector in India but also provides a common platform for various stakeholders in the industry. Investors, entrepreneurs, researchers, scientists, manufacturers, bio-incubators, industry leaders, regulators, and government officials will be able to connect at the expo.
Organised by the Department of Biotechnology and the Biotechnology Industry Research Assistance Council (BIRAC), the purpose of the expo is to commemorate BIRAC’s ten-year anniversary, and highlight the various applications of biotechnology across different fields like healthcare, agriculture, genomics, clean energy, biopharma, industrial biotechnology, and waste-to-value.
An Overview of Biotechnology and Its Applications
Biotechnology refers to the use of biological systems, living organisms or their parts to develop or create different products. For example, brewing and baking bread are traditional processes that utilise yeast to produce the desired product. However, modern biotechnology involves a more advanced modification of the biological system or organism.
Industrial-scale production of biopharmaceuticals and biologicals using genetically modified microbes, fungi, plants and animals falls under the domain of biotechnology. Other applications include therapeutics, diagnostics, genetically modified crops for agriculture, processed food, bioremediation, waste treatment, and energy production.
The Current Status and Potential of the Biotech Sector
India is globally recognised as one of the top 12 destinations for biotechnology, and the third largest in the Asia-Pacific region. The country is also the world’s third-largest producer of recombinant Hepatitis B vaccine and the second-largest producer of BT cotton.
The Indian bioeconomy grew from USD 62.5 billion in 2019 to USD 70.2 billion in 2020, an impressive growth rate of 12.3%. By 2025, India’s biotech industry, currently valued at USD 63 billion, is predicted to reach USD 150 billion. Moreover, India’s contribution to the global biotechnology market could grow to 19% by that time.
Biotechnology is a multi-faceted domain, and its vast potential encompasses applications in agriculture, pharmaceuticals, scientific discoveries, etc. One of India’s significant achievements in biotechnology is the growth of biotech start-ups. Currently, over 2,700 biotech start-ups are operating in India, and this number is expected to reach 10,000 by 2024.
Challenges Encountered by the Biotech Sector
Despite its potential, the biotech sector faces several challenges, such as structural issues, heavy reliance on public funding, and lack of innovation. The manufacturing in the biopharma sector is capital intensive, and such investments have been suboptimal due to limited access to capital, inadequate infrastructure and complex regulatory frameworks.
Additionally, biotechnology research in India is primarily funded by the public exchequer. Without substantial support from the private sector for applied research and engagement with academic institutions, innovation in applied and translational biotechnology may be limited.
Initiatives to Boost the Biotech Sector
There have been several initiatives to boost the biotech sector in India, such as the UNATI Atal Jai Anusandhan Mission Programmes, Biotechnology Parks and Incubators, National Biopharma mission ‘UMMID’ initiative, Genome India, LOTUS HR project, and Biotech-KISAN.
In addition, flagship government programmes like ‘Make in India’ and ‘Start-up India’ have been instrumental in boosting the biotechnology sector. Increasing the number of biotech incubators can further promote research and boost the growth of start-ups, a vital factor for the success of the Indian biotech industry.
The strategic location of biotech hubs depends on several critical factors like research competence, market conditions, policy environment, infrastructure availability, and investments. The creation of these integrated biotech hubs can attract foreign direct investment, build investor confidence, enhance export potential, boost capacity towards import substitution, and foster innovations to generate more intellectual property for India.