West Region Companies Generate $1B in Revenues
Though the southern cluster is the largest in terms of number of companies headquartered in the region, it is the West, which accounts for 48 percent share of the total biotech business generated in 2006-07 by the companies incorporated in the cluster.
The biotech industry in 2006-07 stood at Rs 8,541 crore in revenues, registering 30.98 percent growth, over the previous year's figure of Rs 6,521 crore. It was the year of globalization, product launches, and the industry moving through the maturity curve. The biotech industry recorded $1.2 billion (Rs 4,937 crore) revenues in exports. Exports accounted for almost 58 percent of the total revenues generated by the biotech industry. The biopharma segment recorded sales in excess of $1.45 billion (Rs 5,973 crore), accounting for 71 percent of the total industry revenues. Further, the biotech companies based in the western region of the country also generated $1 billion in revenues.
The biggest biocluster in terms of number of companies headquartered in a region is the South. It accounts for 46 percent share of the total number of companies in the country. Out of the total of 330 companies profiled by BioSpectrum, the western region accounted for 41 percent share of the total base. However, the western region accounted for almost half of the total biotech revenues generated in the country by the companies based in the cluster during 2006-07 (48 percent). This biocluster has generated such high revenues mainly because it is home to almost all the top diagnostics companies. The companies based in the western region alone generate about 95 percent of the total diagnostics business in the country. South based companies generate almost 55 percent of the total CRO business in the country.
Further, the top companies from each of the regions constitute the top three companies in the country. West-based Serum Institute of India is the top ranked company in India with total revenues of Rs 950.95 crore. It is followed by Biocon, which is headquartered in Bangalore with Rs 823 crore in revenues. The third ranked biotech company in the country, Panacea Biotec, is based in the North. All the regions in the country today aim to be the hub for biotech activity and are pushing up the investments through setting up new infrastructure facilities and establishing funding mechanisms. The race for dominance is expected to step up further in the forthcoming years.