India's bioeconomy surges to $151 billion, ranks top 5 globally

Sept. 13, 2024, 10:38 a.m.

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India's bioeconomy has witnessed significant growth, achieving a valuation of USD 151 billion by the end of 2023, according to a recent report. This surge underscores the bioeconomy's crucial role in national development, contributing 4.25 percent to the country's GDP and placing India among the top five global bioeconomies.

The report, jointly prepared by the Biotechnology Industry Research Assistance Council (BIRAC) and the Association of Biotechnology Led Enterprises (ABLE), highlights transformative advancements across biotechnology, agricultural innovation, healthcare, and biomanufacturing, driving the sector's expansion.

Advertisement It was unveiled during a session at the Global Bio-India Summit 2024.

The report indicates that India's bioeconomy has experienced substantial growth, reaching a valuation of USD 151 billion by the end of 2023.

”This surge underscores the bioeconomy's crucial role in national development, contributing 4.25 per cent to the country's GDP and placing India among the top five global bioeconomies,” it stated.

One of the key drivers of this growth has been the BioE3 (Biotechnology for Economy, Environment, and Employment) Policy, the report indicated, noting the policy's focus on bio-based chemicals, precision biotherapeutics, climate-resilient agriculture, and advanced research in marine and space technologies.

Rajesh S Gokhale, Secretary DBT, Chairman BIRAC & DG-BRIC, stated that the India bioeconomy report 2024, launched at the 4th edition of Global Bio India, marks a significant milestone in India's journey towards becoming a global leader in biotechnology.

“The report emphasizes India's bioeconomy growth from USD 10 billion in 2014 to USD 151 billion by 2023, fueled by rising demand for vaccines and biopharmaceuticals. With the new BioE3 Policy, we are poised to accelerate this momentum, aiming to reach USD 300 billion by 2030. This report establishes the foundation for India's bio-revolution and illuminates our path towards global leadership in biotechnology,” Gokhale informed PTI.

The report highlights the significance of Artificial Intelligence (AI) in biomanufacturing, outlining plans for establishing biomanufacturing and Bio-AI centers.

These initiatives are anticipated to generate new employment opportunities, particularly in smaller cities, while facilitating the integration of biotechnology across diverse industries.

The Bioindustrial sector remains the dominant contributor to India’s bioeconomy, accounting for USD 72.6 billion or 48.09 per cent of the total market size.

This sector encompasses biofuels, bioplastics, and enzymatic applications in industries like textiles and detergents. Biofuels, in particular, have experienced substantial growth, with ethanol production capacity reaching 13.8 billion litres in 2023, positioning India as the world’s third-largest ethanol producer.

The Ethanol Blended Petrol (EBP) program, aimed at boosting domestic ethanol production, has played a key role in reducing India’s reliance on imported fuels and strengthening energy security.

The biopharma sector also exhibited noteworthy growth, contributing USD 53.8 billion or 35.65 per cent to the bioeconomy.

India remains a global leader in vaccine production, with companies like Serum Institute of India (SII) manufacturing over 3 billion doses annually. Notable advancements, such as the R21/Matrix-M malaria vaccine and India's first quadrivalent Human Papillomavirus (HPV) vaccine, underscore India's expertise in vaccine development.

The diagnostics and medical devices industry, which reached USD 19.4 billion in value, has significantly contributed to addressing healthcare challenges. This is particularly evident through advancements in early disease detection and personalized medicine, the report stated.

Advertisement In the bioagri sector, which accounted for USD 12.44 billion (8.24 per cent), agricultural biotechnology continues to drive innovation in sustainable farming practices. Precision agriculture technologies, such as genetically modified crops and bio-based products like biopesticides, are seeing increasing adoption to enhance agricultural output.

”Bt cotton serves as a prime example of how biotechnology is enhancing crop resilience and yields, contributing to sustainable agricultural growth in India,” the report stated.

India's bioservices sector, valued at USD 12.1 billion (8.02 per cent), has emerged as a vital support system for the bioeconomy, offering contract research, clinical trials, and biotech software services, the report said.

”This segment experienced a 30 per cent growth in 2023, reflecting India's expanding role as a global center for research and development. The sector's growth is expected to continue, driven by the increasing demand for outsourced research and specialized bioservices that aid in accelerating product commercialization,” the report added.

According to the report, India's bioeconomy is predicted to experience continued substantial growth, aiming to reach a value of USD 300 billion by the year 2030.

”This expansion will be fueled by progress in areas such as bio-industry, bio-pharmaceuticals, and bio-agriculture, complemented by strategic government initiatives like the BioE3 program. The bioeconomy is anticipated to foster over 35,000 startups and generate 35 million employment opportunities by the end of the decade, highlighting its potential as a crucial factor in India's sustainable development and economic prosperity,” the report stated.