BENGALURU: The Association of Biotechnology-led Enterprises (ABLE) and Department of Biotechnology (DBT) have drawn up a roadmap to boost the size of the Indian biotechnology sector from the current $5-7 billion to $100 billion by the end of 2025.
The sector’s growth has stagnated currently at 15 per cent year-on-year and the aim is to raise it to about 30 per cent.
The key states where the industry is likely to grow are Karnataka, Telangana, Andhra Pradesh and Gujarat, ABLE said in a press release.
The Association of Biotechnology-led Enterprises has put forth its recommendations for the sector.
Incorporation of these recommendations in the Union budget will help the industry grow significantly in the forthcoming financial year, it feels.
1. I nclusion of global spends on R&D and patenting, pertaining to 200 per cent weighted tax deduction on R&D. Currently, only Indian spends are eligible.
2. MAT exemption in all biotech/pharma SEZs; extension of the 10-year tax holiday for biotech/pharma SEZs by another two years to accommodate regulatory approval time lines which are specific to the sector.
3. Implementation of GST from coming fiscal year as it will significantly impact the pharma sector.
4. Change in listing norms for biotechnology companies to enable access to capital markets. This will drive innovation and value creation of IP-led companies.
5. Creation of an innovation fund of `10,000 crore. R&D cess can be utilised to create this fund.
6. All indigenously-made biotech products should be given 15 to 25 per cent weighted advantage over imported products in all government tenders.