Biotechnology as a science is affecting us in many ways and is bringing about a quantum leap in agricultural and industrial production. The global Biotech industry is worth $54 billion and is growing at 17% annually. According to many market research groups, India is emerging as a force to reckon with in the field of biotechnology. It contributed $2 billion to the industry in 2006-07 and is growing at the hectic pace of 36.5%, the highest in the world. India is expected to emerge with a 10% market share in the global industry by 2010.

The Indian government has brought out a lot of initiatives for the growth of this segment, one of which is development of centers of excellence. The other is providing funding through the Union Budget and encouragement of private funding.

India’s competitive strengths are in Biopharma including vaccines and Bioservices which includes contract research and manufacturing. The Indian government’s focus is on Agricultural Biotechnology which grew at 54.85% in 2006-07. The other focus areas are Bio-informatics and the Bio-industrial sector. Four states stand out in the Biotech space – Andhra Pradesh, Karnataka, Tamil Nadu and Maharashtra with Gujarat fast emerging as a serious contender in the space.There are various Biotech associations in India for the promotion of the industry as well as educational institutions that provide specialized courses for this industry.

The year 2006-07 also saw a lot of action in the form of global alliances, mergers and acquisitions in this space. The major players in this area are Shantha Biotechnics, Panacea Biotecs, Reliance Life Sciences, Serum Institute, GSK India, Biocon’s Syngene, Dr.Reddy’s Lab, Biotech India.

In the post-TRIPS regime, it has clearly emerged that India cannot compete with its Western counterparts and has to focus on products which are off-patent, or on innovations that MNCs will not be interested in or in clinical trials and R&D outsourcing. The other problems faced by the industry are in the areas of human resources and infrastructure.

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