Indian biotech industry growing, but at slower pace

June 18th, 2009 - 7:18 pm ICT by IANS  

Bangalore, June 18 (IANS) Global recession and slowdown in the domestic market impacted the Indian biotech industry last fiscal, resulting in a year-on-year (YoY) growth declining to 18 percent from 34 percent notched in 2007-08.
According to data released Thursday at Bangalore Bio 2009, India’s premier biotech event, the industry grew to Rs.12,137 crore from Rs.10,274 crore the previous fiscal, reflecting an increase of 18 percent.

“Global recession impacted growth,” said Kiran Mazumdar-Shaw, chairperson of biotech major Biocon, at the event.

Exports grew 25 percent to Rs.7,152 crore, which accounted for 60 percent of the total revenue.

Sector-wise, the major earner was bio-pharma, which contributed Rs.7,883 crore to the total revenue. Bio-services accounted for Rs.2,062 crore, while the bio-agri segment fetched Rs.1,494 crore.

City-wise, Bangalore continued to be in the forefront of India biotech industry. However, Shaw told the 700 delegates participating in the three-day event: “Though Bangalore tops the list accounting for Rs.2,500 crore, Pune is catching up fast with this tech hub.”

In dollar terms, growth was flat YoY at $2.5 billion, with the rupee depreciating to Rs.46.30 against the dollar on average in 2008-09. Exports grew 6 percent in dollar terms to $1.5 billion.

Domestic business at Rs.4,985 crore ($1 billion) grew by 10 percent YoY in rupee terms.

According to her, the Indian biotech industry is consolidating and looking at various business models to sustain the growth momentum in a globally challenging environment.

“India can play a key role in addressing the global challenges of food and health insecurities. To achieve this goal, we need to innovate the very process of biotech innovation,” Shaw noted.

Related Stories

Tags: , , , , , , , , , , , , , , , , , , ,

Posted in Business |

Subscribe