Sunday, April 25, 2004

SCENARIO OF BIOTECH INDUSTRIES IN INDIA

1P.SURESH KUMAR and 1B. ANAND

1. School of Engineering & Technology, Bharathidasan University

Indian Economic sectors, viz agriculture and industry are getting exposed to an entirely new set of technologies. The development of Biotechnology in agriculture arises to improve the productivity of important cash crop. However, in the industrial sector, biotechnology helps in production of neural components and enzymes. India is one of the first few countries among the developing countries, to have recognized the importance of biotechnology as a tool advance the growth of agriculture and health sectors as early as 1980. The rapid studies in the development of biotechnology sector in India are posed to reach USD 1.8 billion this year.

This quantum of growth was achieved due to availability of trained manpower, vast knowledge base, growing multinational companies and indigenous R&D efforts. The prospects like vaccines, diagnostics, bioactive, therapeutic proteins, hybrid seeds, bio pesticides are opening up vast opportunities in our country. In the global biotech market India’s share is significantly increasing. The consumption of biotech products in India was $1789 million during 1999 and is expected to increase to the tune of $ 4270 million by the end of 2010. The rich human capital of India is believed to be a strongest asset having large English speaking skill base, three million graduates, 700 thousand post graduates and enormous rich talent of Ph.D qualified in Biosciences and engineering. It is estimated that 10% research scientist in Pharma/ Biotech R&D are of Indian origin in the USA. Biotech industries in India at present are at the threshold of tremendous growth. There is an increase of 20% approximately $ 230 million in human and animal product segments.

India’s first genetically engineered vaccine, produced by Shanta Biotech against Hepatitis B, costs less than 50% (approximately $ 4) when compared to vaccines marketed from the developed countries. The investments opportunities in India are very promising fresh investment potential of about $ 200 million turn over in the next 5 to 10 years is expected. According to the McKinsey study, Indian Pharma/biotech industry is poised to grow by $ 25 billion by 2010. Vaccine market in 2001 was $ 100 million. In 2003 streptokinase, interferon alpha 2b & EPO are released.

The Indian government has granted marketing license for about 25recombinant therapeutics. Of about 11 recombinant products are already approved by Genetic Engineering Approval Company (GEAC) namely insulin, interferon alpha, interferon gama, interleukin 2,
Gm-CSF, Hepatitis B vaccine, G-CSF, erythropoietin, streptokinase, EGF and Chymo trypsm. Indian biotech firm like shanta biotech has launched other products like plasminogn interferon vaccine following the suit of globalization many multinationals like Monsanto, Dupont, Bayer have set up their business in
India. Collaborative ventures like Eli-lilly, Ranbaxy and Hoechst Roussell vet has developed a low abortion IBH vaccine India.

Over the last decade the number of biotech industries in India has grown up at rapid phase. There are about 170 Bitoech based companies in India. It is expected that nearly all products in the future would become biotech oriented. As more and more organizations continue to embrace biotech based techniques, A time would come when one would be hard pressed to distinguish biotech from the mainstream. Having said that, the kind of support the government has shown to this sector and the missionary zeal with which the sector is being promoted by various industry associations such as CII, ASSOCHAM & FICCI, the future of the biotech industry in India undoubtedly seems bright.

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