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GROWTH OF BIOTECH INDUSTRIES IN INDIA IN RECENT TIMES

Presented by:Shubham Nayak 12111044 Biotechnology

Different streams of biotech industries:

Bio-pharmaceuticals Sector

Bio-services Sector Bio-agriculture Sector Bio-industrial sector Bio-suppliers industry Bio-informatics sector HERE WELL COMPARE DATAS OF 200809 TO THAT OF 2009-10THEN DISCUSS THE BOOM IN ECONOMY.

Biopharmaceuticals and its growth:

The Indian BioPharma market comprises of Vaccines, therapeutics drugs, insulin, animal biologics, statins & diagnostics in 2009-10. It has contributed Rs 8.829 crore, accounting for 62% market share. Vaccine has the largest share with an estimated sales of Rs.2180 crore over 2008-09 sales of 2000 crore. The Diagnostics market is Estimated to be at Rs 2000 crore with molecular diagnostic market share at $300 million in 2009-10 and accounted for 22% share in bioPharma market. The therapeutics market claimed 15% of market share with cancer therapeutics sales clocking Rs 311 crore. The Oral Diabetes Drugs is estimated to be Rs.1,550 Crore and market size of Insulin is approx Rs 612 crore. Biosimilars also contributed into this revenue growth by sales of Erythropoietin of Rs. 10 lakh, GCSF Rs 5 lakhs and Interferon Rs.10 lakhs. 5

Bio services and growth in CROs Sector:

BioServices segment registered a growth of 28% of Rs 2639 crore over last year total segment revenue of Rs 2062 crore. In last 3-5 yrs many companies have set up contract research and clinical research services operation in India. The segment is growing on account of the growing requirements of the MNCs that are looking at India as an outsourcing destination with high skill, low cost advantage. Due to business models evolution driven by market forces Domestic companies are also outsourcing various portion of Drug Discovery. Siro Clinpharm is the company which is expanding its business with its new joint ventures with MNC cmpanies like with DreamCIS Inc leading CRO based in south Korea and also has signed agreement with Virginia Contract Research Organization(VCRO) based in Taiwan. Syngene International a subsidiary of Biocon Group has partnership with Sapient Discovery, a US Based Biotechnology company for drug discovery Bangalore based Ecron Acunova has tied up with Japanese CRO. Also there is Indo German clinical reasearch which will contribute major market share in CRO. Therefore India services industry is decidedly, set to take the collaboration growth highway.

 Top 5 CROs in India

Rank No. 1

Company Quintiles India

2009-10 Revenue in Cr 375

2008-09 Revenue in Cr ---

% change ---

Syngene International Jubilant Organosys Siro Clinpharm

252

224.60

12.2

249.3

242

3.02

150

280

-46.43

Lambda Therapeutic research

145

30

383.33

BioAgriculture and Growth measures:

AgriBiotech is the 3rd largest contributor to indian biotech industry with total segment turnover of Rs 1,936 crore. India is the 4th largest country in the world with approx 8.4 million hectares of area under Bt cotton. Today in india there are 30 companies marketing Bt cotton seeds in country. Naziveedu Seeds is the largest seller of Bt cotton seeds with 70 lakh packets generating Rs 476.86 crore. Rasi seeds is 2nd largest contributor with 358.78 crore in sales. A total of 280 lakh packets of seeds containing 450 grams were sold in 2009 in which 87% is of Bollard II and 13% Bollard I.

Rank No. Name 1 Naziveedu Seeds 2 Rasi seeds 3 Mahyco 4 Monsanto

2009-10 Revenue in Cr. 2008-09 Rev in Cr 476.86 358.78 312 255 449.58 375.59 211.12 345 8

5 Krishidhan Seeds

133.23

63.25

Bioindustrials and growth:

The Bioindustrial market mainly comprising industrial enzymes is estimated to be Rs 564 crore in the year 2009-10 as compared to Rs. 478 cr in 2008-09. This segment on an average is growing over 15% in last 5 years. In India, the industrial enzymes consumption is predominantly in detergent markets ,starch market, food and feed, textiles, leather and now in food, pharmaceuticals, diagnostics, chemical processing industries. Looking up to the demand of industrial enzymes and with respect to global enzyme industry India still needs to do a lot of catching up.

Rank No

Company

2009-10 Revenue in Cr

2008-09 Revenue in Cr

1
2

Novozymes South Asia

Advanced Enzymes

268
121

250
88.60

Biosuppliers Industry and growth:

The overall supplier industry revenues stood at Rs 3,893 crore as against Rs 3,621 crore in 2008-09. In FY 2009-10 the recession got BioSuppliers and were hit hard with the industry growth sliding to 7.5 percent, even though the overall scenario remains positive. The downward trend took place because of MNCs reporting flat or negative growth. The home-grown companies have done well-posting healthy double digit growth.
Rank No. Company 2009-10 Revenue in Cr 2008-09 Revenue in Cr

1
2 3 4 5

Waters India
Agilent technologies Spinco biotech Thermo Fisher Scientific Becton Dickenson India

262.2
255 250.68 210 180

333.70
-225.02 185.79 232

Bioinformatics :
It is the smallest segment of the Industry, which has 2 % segment share in overall industry and also has been sluggish in 2009-10 It as registered 5% growth over 2008-09 clocking Rs 231 crore in revenue compared to last year Rs 220 Cr. This sector comprises of companies which comes out with products that cater mainly to the needs of the pharmaceuticals and biotechnology companies. Rank No. Company 2009-10 2008-09 Revenue in Cr Revenue in Cr 41.4 35 47.57 35

1 2

Ocimum Biosolution Strand Life sciences

Other Companies are like Strand genomics, SysArris, Cytogenomics Persistant, V Life sciences and molecular connections. Most of these companies are based in locations such as Bangalore, hyderabad, Pune.

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Biotech Industry Export Vs Domestic

Biotech Industry Export Vs Domestic 2008-09 Segment BioPharma BioServices BioAgri BioIndustrial BioInformatics Total Export 4868 1964 61 89 50 7152 Domestic 3015 98 1433 389 170 4985 Total 7883 2062 1494 478 220 12137 %Share Exports 62 95 4 11 23 59 % Share Domestic 38 5 96 89 77 41

Biotech Industry Export Vs Domestic 2009-10 Segment BioPharma BioServices BioAgri BioIndustrial BioInformatics Total Export 4767.66 2507.05 58.08 124.08 73.92 7530.79 Domestic 4061.34 131.95 1877.92 439.92 157.08 6668.21 Total 8829 2639 1936 564 231 14199 %Share Exports 54 95 3 22 32 53.04 % Share Domestic 46 5 97 78 68 46.96

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Top 20 Biotechnology Industries by Revenue

Rank No Company 2009-10 (Revenue in Rs Cr)
1180 850

2008-09 (Revenue in Rs Cr)

912 1114

% Change Over 08-08

29.34 -23.70

1 2

Biocon Serum Institute

3
4 5 6 7 8 9 10 11

Panacea Biotec
Reliance Life Sciences Quintiles Rasi Seeds NovoNordisks Shantha Biotech Mahyco Indian Immunologicals

703.19
450 375 358.78 342 334.23 312 272.87

597.14
449.58 ----375.59 330 247 211.12 231.46

17.76
6.07 -----4.48 3.64 35 47.7 17 13

Naziveedu seeds 476.86

12

Bharat Biotech

271.66

241.05

12.7

13 14 15 16 17 18 19 20

Novozymes South Asia Monsanto Syngene International Jubilant Organosys Eli Lilly Bharat Serums Haffkine Biopharma Siro Clinpharm

268 255 252 249.3 187 175 168.98 150

250 345 224.6 242 164 140 ---280

7.2 -26 12 3 13.85 25 ----46

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Present scenerio :
India has been ranked among the top 12 biotech destinations worldwide and third largest in the Asia-Pacific region. The Indian biotechnology sector is one of the fastest growing knowledge-based sectors in India and is expected to play a key role in shaping India's rapidly developing economy

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 Revenue from biotech exports reached US$ 2.2 billion in FY13, accounting for more than half (51 per cent) of total industry revenues. During FY05 and FY13, revenue from exports increased at a CAGR of 25.1 per cent to US$ 2.2 billion from US$ 0.4 billion. According to data released by the Department of Industrial Policy and Promotion (DIPP), the drugs and pharmaceuticals sector has attracted FDI worth Rs 54,321.68 crore (US$ 8.15 billion) between April 2000 and June 2013

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What are we expecting in future:

The biotechnology sector in India is expected to achieve a revenue of US$ 11.6 billion by 2017, growing at a compound annual growth rate (CAGR) of 22 per cent, according to a recent report by Ernst & Young (E&Y).

The key growth drivers of the US$ 4.3 billion industry include strong domestic demand for biotech products, growth in contract services, focus on research and development (R&D) initiatives and strong government support for the sector.

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Some of the major investments in the sector are as follows: -Bharat Biotech launched the world's first clinically proven conjugate Typhoid vaccine 'Typbar-TCV', which offers long-term protection and can be given to children as young as six months. -Roselabs Biosciences Ltd has set up fully integrated pre-filled syringes (PFS) manufacturing unit in Ahmedabad with an investment of Rs 400 crore (US$ 60.04 million). -A modern computational systems biotechnology laboratory has been set up at the Biotechnology Department of Sri Venkateswara College of Engineering, Sriperumbudur. -Roselabs Biosciences Ltd plans to raise about Rs 100 crore (US$ 15.01 million) over the next 18 months through private equity (PE) from a global investor in pharmaceutical sector for inhouse research and development (R&D) of active pharmaceutical ingredients (APIs). -Biocon has launched a new biologic that could treat patients with psoriasis. -Biocon has entered into an agreement with Mylan for the global development and commercialisation of Biocon's generic insulin analog products (long lasting insulins), which has a global addressable market of US$ 11.5 billion.

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Thank You!!