Biotech industry seen gaining 10% global share in 5 years

By siliconindia   |   Wednesday, 10 December 2003, 20:30 IST
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MUMBAI: Indian biotechnology sector is poised for an exponential growth and would garner a global market share of 10 per cent in the next five years from the present one per cent. "Indian biotechnology is currently nascent and accounts for a mere one per cent of the global biotechnology market. It is poised for an exponential growth over the next five years with an expected global market share of 10 per cent," Small Industries Services Institute director PK Mukherjee said addressing the national convention of biotechnolgy. He said the consumption of biotech products in India is estimated to grow ten-fold to $1.5 billion by 2007 and to $4.5 billion by 2010. The market for modern biotechnology products and services in India was estimated to be about $150 million for 2002, of which about 40 per cent are estimated to be export revenues. The government's budgetary allocation to biotechnology has risen to $500 million in 2002-03 from $300 million in 1997-98, Mukherjee said adding, the national budget for 2002 provides for 150 per cent tax deduction for R&D spending on biotechnology. India enjoys certain advantages such as low operational costs, low-cost technologies, skilled human resource base and large network of research laboratories, he said. Several state governments such as Maharashtra, Andhra Pradesh and Karnataka have taken proactive initiatives in promoting biotechnology policies with a focus on setting up biotech parks, incubators, Centre of Biotech Excellence and providing fiscal incentives to the investors.

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