BioIndustrial Takes baby steps
- The bioIndustrial market in India clocked 625.94 crore in
- Novozymes remains leading player
- Exports continue to drive the homegrown companies
The bioIndustrial market in India
625.94 crore in 2010-2011, growing at a
rate of 10.98 percent
for 2010-2011, as against
564 crore in 2009-2010.
India has a marginal share in the global market for industrial enzymes,
which is estimated to be at about $3.3 billion (
14,904.4 crore). The
segment is forecasted to grow at a CAGR of 15 percent till 2015.
Industrial enzyme consumption in India, is in the various sub-segments
of detergents, pharmaceuticals, food and beverages and animal feed with
detergents and pharmaceuticals having a lion’s share of the market.
Other segments include textiles, leather and pulp.
Leading players in the segment include Novozymes, Danisco, Advanced
Enzymes, Rossari Biotech, Maps (India), Zytex and Lumis, Kerry
Biosciences. Novozymes continues to remain the top enzyme player in the
market commanding a market share of 50 percent. Advanced Enzymes takes
the second spot with a market share of 20 per cent. Rossari Biotech
takes 13 percent, Maps (India) (6 percent), Zytex (3 percent) and
Lumis, Richcore Life Sciences, Titan Chemcials, Kerry Biosciences split
the remaining market share between themselves.
Though there is a prevailing domestic demand, the segment is largely
export driven. Major export markets include the US (global share of 40
per cent), Europe (global share 25 percent) China (Global share: 20
percent). Others include Rest of Asia (Global share of 15 percent).
Realizing the potential of the opportunities outside India, many Indian
companies are expanding their base outside the country even into
difficult markets such as China. Advanced Enzymes for instance, will
start its European and Chinese subsidiaries for market expansion. And
this is how the company expects to achieve its
revenue-milestone in the next five years.
The investment in research and development by the Indian companies
continues to remain on the conservative side. Few companies have their
own R&D and manufacturing set-ups. The common strategy for most of
the homegrown companies is to import enzymes from foreign companies and
then resell them into the Indian markets. India has a small share in
the total global market due to the declining price points of enzymes
every year. The price drop can be as much as 10 percent depending on
the type of enzyme.
MNCs have dominated the market for a number of years, yet the segment
is gradually witnessing the entry of Indian companies, who are building
capacity and capability to compete with the MNCs.
Top 5 BioIndustrial Companies by
over 2008-09 (%)
over 2009-10 (%)
South Asia *