Policy Update
Ritu Mishra
Background
The Biotechnology Sector Growth Strategy (2021–2025) was launched by the Department of Biotechnology (DBT), Ministry of Science and Technology, Government of India established in 1986 with the vision to transform India into a global bio-manufacturing and innovation hub. This strategy is aligned with the national target of building a USD 150 billion bioeconomy by 2025.
The strategy focuses on promoting innovation, entrepreneurship, translational research, and skill development. It also emphasizes strengthening infrastructure, regulatory frameworks, and international collaborations. Beneficiaries include startups, MSMEs, research institutions, farmers, students, and industry stakeholders.
Functioning
The Biotechnology Sector Growth Strategy is driven by DBT’s flagship schemes and missions such as BIRAC for startups and industry-led R&D, the National Biopharma Mission for vaccines and therapeutics, BITP for skill development, and dedicated initiatives like the Distinguished Biotechnology Research Professorship Award and Biotechnology Parks for innovation and commercialization. Its implementation is supported through budgetary allocations, state-level partnerships, and global collaborations with institutions like the World Bank and Wellcome Trust. Progress is monitored via DBT’s annual reports, dashboards, and regular reviews, ensuring accountability and alignment with national bioeconomy targets.
Performance
- Bioeconomy Growth: India’s bioeconomy surged from USD 70 billion in 2020 to USD 130 billion in 2024, reflecting strong progress in biopharma, agriculture, and bio-industrial sectors, and moving closer to the USD 150 billion target by 2025.
- Startups: Over 6,500 biotech startups are currently active, working in areas like genomics, diagnostics, and sustainable materials, with the number expected to reach 10,000 by 2025 through policy support and funding.
- Employment: The sector has generated more than 5.3 million jobs, offering opportunities in research, manufacturing, clinical trials, and entrepreneurship, thereby boosting both innovation and livelihoods.
- Research Output: India now ranks among the top 12 global biotech hubs, with significant growth in patents and publications, particularly in synthetic biology, bioinformatics, and healthcare biotechnology.
- Public Health: India’s expanded vaccine manufacturing during COVID-19 strengthened its role as a global health provider, ensuring affordable access and building capacity for future vaccine development.
Impact
The Biotechnology Sector Growth Strategy has played a transformative role in advancing India’s bioeconomy by positioning the country as a global vaccine hub, supplying over 60% of worldwide demand. It has strengthened agricultural biotechnology through the development of high-yield and climate-resilient crops, while simultaneously expanding bio-manufacturing with a focus on green energy, biofuels, and sustainable materials. The strategy has also attracted substantial foreign direct investment (FDI) into biotech parks and startups, further catalyzing innovation-driven growth. Moreover, it has enhanced India’s research and innovation ecosystem by fostering stronger academia–industry integration, thereby laying the foundation for sustained global leadership in biotechnology.
Emerging Issues & Suggested Solutions
- Funding Gaps: Need for enhanced venture capital and risk-sharing funds.
Solution: Expand PPP models, promote biotech-focused investment funds.
- Regulatory Delays: Approval processes remain time-consuming.
Solution: Establish single-window clearance mechanisms for biotech products.
- Talent Shortage: Despite BITP, a gap in skilled biotech professionals persists.
Solution: Expand training, integrate biotech into higher education curricula.
- Global Competition: India needs to accelerate IP protection and innovation incentives.
Solution: Strengthen patent ecosystem and incentivize R&D.
Way Forward
The Biotechnology Sector Growth Strategy (2021–2025) has been instrumental in positioning India as a key player in the global bioeconomy, fostering a transition toward a knowledge-driven and innovation-led economy. With an ambitious target of achieving a USD 150 billion bioeconomy, the strategy emphasizes consolidating existing gains, strengthening resilient supply chains in biomanufacturing and vaccines, and expanding international collaborations to enhance India’s global leadership in biotechnology. Furthermore, it underscores the importance of sustainability and green biotechnology in line with India’s climate commitments. Beyond driving economic growth, this strategy represents a critical step toward Atmanirbhar Bharat (self-reliant India) while ensuring significant contributions to the global bioeconomy.
References
- Department of Biotechnology (DBT). (2021). Biotechnology Sector Growth Strategy 2021–2025. Ministry of Science and Technology. https://dbtindia.gov.in
- DBT Annual Report (2022–23). Ministry of Science and Technology.
- BIRAC (2024). Startup and Innovation Dashboard. Biotechnology Industry Research Assistance Council. https://birac.nic.in
- Press Information Bureau (PIB). Various updates, 2021–2024. https://pib.gov.in
- Economic Survey of India (2023). Ministry of Finance, Government of India.
About the Contributor
Ritu Mishra is a Research Intern at IMPRI and Pursuing Master’s degree in Botany.
Acknowledgment: The author sincerely thanks the IMPRI team for their valuable support.
Disclaimer: All views expressed in the article belong solely to the author and not necessarily to the organization.
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