Start Up Corner
2669 Startups Light Up India Biotech Ecosystem
With the incorporation of a record 937 startups in 2018, the number of biotech startups in the country has zoomed to 2,669 at the end of 2018.
India witnessed a frenzied 32% increase in biotech startup formation in 2018. The average growth rates in the previous years in startup formation has been in the 20-30% range.
The Association of Biotechnology Led Enterprises (ABLE) and the Department of Biotechnology (DBT) of Government of India have been targeting 2020 startups by the year 2020 and the target has been surpassed in 2019 itself.
The startup count was done by ABLE’s Research Group, analyzing data from the Registrar of Companies under the Ministry of Corporate Affairs. On an average, 10,000 companies are incorporated in the country every month.
A biotech company incorporated within the last 7 years is considered as startup by government norms to avail various fiscal and other incentives.
Besides the Federal government, various state governments offer a host facilities such as proof-of-concept grants up to $100,000, incubation facilities, access to mentors and other support systems and potential entrepreneurs flock to these states to start their biotech ventures.
The Western Indian state of Maharashtra, where India’s financial nerve center Mumbai is located leads with the incorporation of 386 startups in the biotech sector. It is followed by the National Capital Region, Karnataka, the combined states of Andhra Pradesh & Telangana, having 350 startups each.
Two-thirds of the startups continue to be in the BioPharma and Diagnostics sectors.