India’s Bioeconomy & Road Ahead

General Studies Paper-3

Context: India BioEconomy Report has pegged the value of India’s bioeconomy in 2024 at more than $165 billion, accounting for over 4.2% of the country’s GDP.

• The report highlighted ample opportunity for this sector to grow to about $300 billion by 2030, and to $1 trillion by 2047.

What is Bioeconomy?

• Bioeconomy refers to the industrial use of biological resources (plants, animals, and microorganisms), and the replication of natural biological processes in the production of goods and services.
• Bioresources like plants or microorganisms are renewable, relatively cheap, and locally available, while natural processes are more sustainable and eco-friendlier.
• A prime example of this is the growing use of ethanol, which is produced through fermentation of crops like sugarcane or corn by microorganisms, as a biological alternative to fuels traditionally derived from hydrocarbons.

Why Bioeconomy Matters for India?

• Economic Growth & Jobs:
• Expected to contribute $1 trillion by 2047.
• The number of companies in the bioeconomy has increased by almost 90% in the last three years.
• Nearly half the value of the bioeconomy (roughly $78 billion) was generated in the industrial sector, for the development and use of biofuels and bioplastics.
• Food & Agriculture Security:
  • GM technologies improve yields by 21%.
  • Biofertilizers enhance soil health.
  • Innovations like golden rice combat micronutrient deficiencies.
• Healthcare Access:
  • Affordable drug and vaccine production (e.g., CERVAVAC – HPV vaccine).
  • Gene therapy advancements (e.g., Hemophilia A trial).
  • India supplies 25% of WHO’s total vaccine volume.
• Environmental Benefits:
  • Promotes circular economy via waste-to-energy technologies.
  • Reduces reliance on fossil fuels with biogas and ethanol.
  • Supports biodiversity conservation and eco-restoration (e.g., TERI’s Oilzapper).
• Climate Action:
  • Helps achieve India’s net-zero target by 2070.
  • Reduces emissions through bio-based alternatives.

BioE3 Push For India’s Bioeconomy

• To catalyze this growth, the government launched the BioE3 policy in 2024—Biotechnology for Economy, Environment, and Employment.
• The policy promotes:
  • Establishment of Bio-AI Hubs, Bio-Foundries, and Bio-Enabler Hubs
  • Focus on advanced technologies, sustainable biomanufacturing, and pan-India implementation
  • Assam became the first state to formally adopt the BioE3 framework, setting the stage for widespread national rollout.

Other Initiatives

• BioSaarthi Mentorship Initiative (2025): BioSaarthi is designed as a six-month cohort facilitating structured mentor-mentee engagements, offering personalized guidance to emerging entrepreneurs in the biotech sector.
• Draft National Biotechnology Development Strategy (2020–25): Targets $150 billion bioeconomy by 2025, focusing on R&D innovation, Industry competitiveness & startup growth.
• Biotechnology Industry Research Assistance Council (BIRAC): Public sector interface to Fund biotech startups.
• National Biopharma Mission: Supports clinical trials, biosimilars, biotherapeutics, and vaccine development.
• PM-JIVAN Yojana: Focus on bioethanol and compressed biogas from agri-waste.
• SATAT & GOBARdhan Schemes: Promotes bio-CNG plants and waste-to-energy models, aligned with rural bioeconomy goals.
• Global Biofuel Alliance (2023): Led by India, USA, and Brazil to strengthen biofuel supply chains and reduce fossil fuel dependence.
• IP Guidelines (2023): Encourages commercialization of public-funded research.

Challenges to Address

• Despite progress, India’s bioeconomy faces several hurdles:
  • Fragmented Regulation: Overlaps between agencies delay biotech approvals.
  • Limited Investment: High risk and long return on investment deter private capital.
  • IP & Bio-piracy Issues: Weak enforcement hampers innovation and indigenous protection.
  • Weak Industry-Academia Linkages: Limits commercial translation of research.
  • Import Dependence: On high-end equipment and biotech inputs.
  • Skill Shortages: Need for trained professionals in genomics, bioinformatics, etc.
  • Public Perception: Skepticism around GMOs and lab-grown food remains high.
  • Environmental Risks: Overexploitation of biological resources could harm biodiversity and land use.

Way Ahead

• Strengthen Policy Implementation & Coordination: Ensure effective rollout of the BIO-E3 Policy across all states.
  • Establish a National Bioeconomy Mission to provide centralized coordination.
  • Promote state-level policies aligned with national bioeconomy goals (as Assam has done).
• Boost Investment & Public-Private Partnerships: Create dedicated Bioeconomy Investment Funds.
  • Offer tax incentives and risk-sharing models to attract private capital in high-risk biotech ventures.
  • Scale PPP models in R&D, manufacturing, and skill development.
• Accelerate Regulatory Reforms:
  • Streamline regulatory frameworks through a single-window system (expand BioRRAP).
  • Harmonize biotech approvals across agencies (DBT, FSSAI, GEAC, etc.).
  • Build capacity in biosafety and ethics review boards for faster innovation deployment.
• Foster Research, IP & Innovation Ecosystem: Fast-track IP approvals and set up specialized IP courts for biotech.
  • Strengthen academia-industry linkages through co-development platforms.
  • Encourage applied research in synthetic biology, gene therapy, bioinformatics, etc.
• Expand Biotech Infrastructure & Hubs:
  • Set up Bio-AI Hubs, Biofoundries, and bio-incubation centers in Tier 2/3 cities.
  • Invest in shared testing labs, pilot-scale facilities, and data repositories.
  • Support precision farming zones and bio-industrial parks.
• Empower Startups & Entrepreneurs:
  • Scale initiatives like BioSaarthi for mentorship and global exposure.
  • Strengthen BIRAC schemes for funding, incubation, and early-stage scale-up.
  • Encourage grassroots bio-entrepreneurship and women-led biotech ventures.
• Invest in Skilling & Education: Integrate bioeconomy curricula in universities and skill development missions.
  • Establish Centers of Excellence in genomics, molecular biology, and bio-manufacturing.
• Enhance Global Collaboration: Forge R&D partnerships with biotech leaders like the EU, Japan, USA.
  • Lead international forums like the Global Biofuel Alliance and One Health platforms.

About

• She stressed the need to balance modern development with environmental protection and the inclusion of all sections of society in the development process.
• Naxalism or Left Wing Extremism (LWE) is one of the major challenges to India’s internal security.
  • Naxalites seek to overthrow the State through violent means.
  • Naxal affected areas in India are known as the ‘Red Corridor’.
• The States of Chhattisgarh, Jharkhand, Orissa and Bihar are considered severely affected.
• She emphasized the “saturation approach” to ensure that no citizen is left behind in India’s development journey.

What is Inclusive Development?

• Inclusive Development refers to a development approach that ensures all segments of society have equal access to opportunities, resources, and benefits of economic, social, and political progress.
  • It focuses on reducing inequality and addressing the needs of diverse populations.
• The Indian model of inclusive growth, viewed from a development economics perspective, has three pillars: Market economics, Empowerment, and Pragmatism.
• India ranked 62nd out of 74 emerging economies in the World Economic Forums’ Inclusive Development Index (IDI), last released in 2018.
• The three key approaches for inclusive development include:
  • Good governance (progressive politics, effective management and successful engagement in the global economy;
  • Structural transformation, (economic, social and demographic), and;
  • Multi-pronged policy and programme mix (macroeconomic policies, sound institutions, public-private sector development, effective economic policy management).

Identified Segments for Inclusive Development

• Tribal and Rural Communities: Assimilation of communities in society; educating at grassroot level; electricity, network connectivity; connectivity through roads; pucca houses; introduction to new basic technologies etc.
• Physically Disabled: Providing facilities such as wheelchairs and audio-visual aids; installation of ramps and tactical paths for easy accessibility; training of individuals on interacting with differently abled; skilling specially-abled, etc.
• Streamlining Unbanked Section: Awareness should be provided related to the importance of bank accounts in rural and tribal areas, financial literacy, mobile banking etc.
• Women: Pre- and post-pregnancy care, healthcare, education, childcare, skill-development, opportunities for financial improvement etc.

Need for Inclusive Development in India

• Addressing Inequality: India has significant disparities in income, education, healthcare, and living standards, particularly between urban and rural areas, and among different social groups.
• Empowering Marginalized Communities: Large sections of society, including tribal communities, women, and the differently-abled, remain excluded from mainstream development and opportunities.
• Promoting Social Justice: Inclusive development ensures that every citizen, regardless of their background, has access to the benefits of growth, promoting fairness and reducing social tensions.
• Economic Growth: India can unlock the full potential of its population, leading to more sustainable and equitable economic growth.
• Global Competitiveness: A more inclusive society leads to a more productive, skilled, and innovative workforce, enhancing India’s global competitiveness.
• Sustainable Development: It aligns with the goal of long-term, sustainable growth, considering the needs of all sections of society, including future generations.

Constitutional Framework for Inclusive Development

• Fundamental Rights (Part III):
  • Equality Before Law (Article 14): Guarantees equality for all citizens.
  • Prohibition of Discrimination (Article 15): Ensures no discrimination on grounds of religion, race, caste, sex, or place of birth.
  • Equality of Opportunity (Article 16): Ensures equal opportunities in public employment.
  • Right to Education (Article 21A): Guarantees free education for children aged 6 to 14.
  • Protection of Minorities (Articles 29 & 30): Safeguards the cultural and educational rights of minorities.
• Directive Principles of State Policy (Part IV):
  • Social Justice (Article 38): Promotes the welfare of the people, focusing on justice and reducing inequalities.
  • Promotion of Weaker Sections (Article 46): Aims to protect and promote the interests of SCs, STs, and OBCs.
• Reservation and Affirmative Action: Articles 15(4) and 16(4) allow for affirmative action, such as reservations in education and employment for SCs, STs, and OBCs.
• Panchayats and Local Governance (Part IX): Article 243N strengthens local self-governance, ensuring the participation of marginalized communities.
• Legal Protection for Vulnerable Groups: Laws like the Protection of Civil Rights Act, 1955 and the SC/ST (Prevention of Atrocities) Act, 1989 protect disadvantaged communities from discrimination and violence.
• Judicial Oversight: The Supreme Court and High Courts ensure that policies align with the constitutional values of equality and justice.

Conclusion

• There are many Government initiatives focused on providing opportunities, resources, and social security for marginalized communities, ensuring broad-based growth and well-being.