BIOECONOMY

BIOECONOMY

NEWS: Union Minister Dr. Jitendra Singh said that India’s Bioeconomy grew more than 10 times in the last 10 years.

 

WHAT’S IN  THE NEWS?

  • BioEconomy refers to the knowledge-based production and utilization of biological resources to create products, processes, and services across different economic sectors within a sustainable economic framework.
  • It integrates advancements in biotechnology, bioengineering, and life sciences to enhance productivity and environmental sustainability.
  • Key sectors under BioEconomy include agriculture, forestry, fisheries, food production, biotechnology, and bioenergy, contributing to both economic growth and environmental sustainability.

 

 

Subsectors of the BioEconomy in India

1. BioPharma or BioMedical

  • Involves the development, production, and commercialization of medical products, pharmaceuticals, and healthcare solutions.
  • Includes biopharmaceuticals, vaccines, medical devices, and lab-grown organoids for regenerative medicine.
  • India has emerged as a global hub for vaccine production, playing a critical role in COVID-19 vaccine supply worldwide.

2. BioAgri

  • Focuses on biotechnology-based agricultural advancements to improve crop yield, resistance, and sustainability.
  • Includes genetically modified (GM) crops, bio-pesticides, bio-fertilizers, and precision agriculture technologies.
  • Example: Bt Cotton – A genetically modified cotton variety that resists pests, reducing pesticide dependency.

3. BioIndustrial

  • Involves the development of bio-based industrial products using enzymes, synthetic biology, and recombinant DNA technology.
  • Includes biodegradable plastics, biofuels, bio-lubricants, bio-based chemicals, and green manufacturing processes.
  • Aims to reduce dependency on fossil fuels and minimize environmental impact.

 

BioEconomy Growth in India

1. Expansion Over the Last Decade

  • India’s BioEconomy has grown 13-fold, from $10 billion in 2014 to over $130 billion in 2024.
  • Projected to reach $300 billion by 2030, making India a key player in global biotechnology.

2. Global Innovation Index Improvement

  • India’s ranking in the Global Innovation Index has improved significantly from 81st place in 2015 to 40th out of 132 economies in 2024.
  • This growth reflects enhanced research output, policy support, and innovation-driven enterprises.

3. Biomanufacturing Leadership

  • India ranks 3rd in the Asia-Pacific region and 12th globally in biomanufacturing capabilities.
  • The biotechnology sector, a high-growth industry, has reached a valuation of ₹75,000 crore over the last 10 years.

4. Economic Contribution

  • In 2022, the BioEconomy contributed 4% to India’s GDP, which stood at $3.47 trillion.
  • The sector currently employs over 2 million people, highlighting its role in job creation and industrial growth.

Government Initiatives Supporting BioEconomy

1. Biotechnology Industry Research Assistance Council (BIRAC)

  • Established by the Department of Biotechnology (DBT) to support biotech startups and enterprises.
  • Provides funding, mentorship, and research grants to accelerate innovation in biotechnology, biopharma, and bio-industrial solutions.

2. Policy Initiatives for Biotech Growth

  • Startup India and Make in India initiatives focus on developing India into a world-class biotechnology and biomanufacturing hub.
  • These policies promote ease of doing business, investment in R&D, and market access for biotech startups.

3. Favorable Government Policies

  • Draft R&D Policy 2021 – Encourages increased R&D investment in biotech innovation.
  • Production Linked Incentive (PLI) Schemes – Boosts domestic manufacturing of biopharmaceuticals and medical devices.
  • Clinical Trial Rules (2019) – Streamlines the clinical trial approval process, making India attractive for biotech research and innovation.
  • These policies have positioned India as the ‘Pharmacy of the World’, supplying affordable medicines and vaccines globally.

 

Challenges for India’s BioEconomy

1. Global Competition

  • India faces stiff competition from well-established BioEconomies like the USA, European Union, and China, which have:
    • More advanced research infrastructure
    • Greater investment in biotechnology
    • Stronger R&D capabilities and skilled workforce

2. Intellectual Property (IP) Protection

  • Weak patent laws and IP enforcement make it difficult for Indian biotech firms to protect innovations.
  • The risk of intellectual property theft and lack of incentives discourages private-sector investments in research.

3. Insufficient Infrastructure

  • India lacks world-class biotech research centers, advanced testing labs, and large-scale manufacturing facilities.
  • Limited access to high-tech equipment and expertise slows down commercialization of innovations.

4. Brain Drain of Skilled Talent

  • Highly qualified Indian scientists and biotech experts migrate to countries offering better research funding, salaries, and career opportunities.
  • This reduces India's talent pool and slows down biotech advancements.

 

Way Ahead: Strategies for Strengthening India's BioEconomy

1. Increase Public and Private Investment in Biotech R&D

  • The government should offer grants, tax incentives, and venture capital support to encourage startups and established firms to invest in R&D.
  • More funding partnerships between academia and industry can accelerate innovation.

2. Strengthen Global Research Collaborations

  • India should partner with international biotech firms and research institutions to:
    • Share expertise and technology
    • Access advanced infrastructure
    • Fast-track development of biotech innovations

3. Develop Innovation Clusters and Biotech Hubs

  • Establishing biotech parks and innovation clusters where:
    • Academia, industry, and government entities collaborate on BioEconomy initiatives.
    • Specialized research centers focus on areas like synthetic biology, gene editing, and bio-manufacturing.
  • This approach can reduce infrastructure gaps and enhance commercialization of biotech products.

4. Strengthen Intellectual Property Laws and Enforcement

  • Improve India’s patent laws and legal framework to:
    • Ensure stronger protection for biotech inventions.
    • Attract global biotech firms to set up R&D centers in India.

5. Retain Talent and Build Skilled Workforce

  • Create attractive career opportunities, better salaries, and incentives for biotech researchers in India.
  • Promote industry-academia collaboration, ensuring students receive hands-on training in cutting-edge biotechnology.

 

Conclusion

  • The BioEconomy of India is rapidly growing, with significant contributions to GDP, employment, and global biotech innovation.
  • Government policies, funding support, and research advancements have positioned India as a rising global biotech leader.
  • Addressing challenges like global competition, infrastructure gaps, and IP protection will be crucial for India to achieve its $300 billion BioEconomy goal by 2030.
  • A collaborative approach between industry, academia, and government will ensure sustainable growth and long-term success in the biotechnology sector.

Source: https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2108904

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