Day 46 – Q.1 How can India’s pharmaceutical industry benefit from advancements in biotechnology, and what specific steps can be taken to encourage innovation and investment in this field? Discuss.

  • IASbaba
  • January 12, 2023
  • 0
GS 3, Sci & Technology, TLP-UPSC Mains Answer Writing
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How can India’s pharmaceutical industry benefit from advancements in biotechnology, and what specific steps can be taken to encourage innovation and investment in this field? Discuss.

जैव प्रौद्योगिकी में प्रगति से भारत का फार्मास्यूटिकल उद्योग कैसे लाभान्वित हो सकता है, और इस क्षेत्र में नवाचार और निवेश को प्रोत्साहित करने के लिए क्या विशिष्ट कदम उठाए जा सकते हैं? चर्चा करें।


In this question candidates need to write about how Indian Pharmaceutical industry is benefited from biotechnology, In second part write about which steps have been taken to encourage innovation in this field.


Biotechnology plays a very vital role in Pharmaceutical Research and Development sector. In today’s time, 15% of the bounce is elicited from the bio pharmaceutical industry. Many steps has been taken to improve innovation and investment in this field .


Biotechnology is the science that merges with technology that is being used in the pharmaceutical industry and it is proven to be advantageous specifically in the manufacturing of genetic testing and vaccinations.

Importance of biotechnology in the field of Pharmaceutical Industry

  • Pharmaceutical companies are highly working towards the production of medicines and lifesaving vaccines for the entire global community. And when the pharmaceutical industry uses the advances of biotechnology and its sophisticated techniques, the result is better and faster delivery of drugs. Biotechnology has contributed to the Pharma industry for the preparation of vaccines and medicines in an accurate manner.
  • Biotechnology has helped the Pharma industry in the development of better processes, new products, and also has come up with new technologies to improve the existing methods. Thus, biotechnology when combined with the pharmaceutical industry can introduce a large number of jobs at the international level.some of the fields of the Pharmaceutical industry where biotechnology has played a vital role-


  • Today, when the world is fighting with the fear of Corona-virus and all our hopes stand united on the development of the COVID-19 vaccine. It can be well understood about how much the vaccination industry demands the expenditure of resources.
  • The pharmaceutical industry strives to manufacture products that are beneficial in fighting various diseases. Some diseases can still not be cured by medication, therefore the concept of vaccination came into the picture. The most relevant indication is metabolic, oncology disorders of the musculoskeletal system, and for the near future, it can be anticipated that the relevancy of the bio-pharmaceutical sector will be a boom.

Genetic Testing:

  • Genetic testing is a form of medical test that specifies the changes in chromosomes, proteins, or genes of an organism. The result of a genetic test can verify or rule out an expected genetic condition or help deduce a person’s chance of developing or enacting on a genetic disorder. More than 1,000 genetic tests are presently in use, and further are being formulated.

Various methods can be obtained for genetic testing:

  • Molecular genetic tests study solitary genes or short lengths of DNA to specify variations or modifications that steer to a genetic disorder.
  • Chromosomal genetic tests help in the analysis of entire chromosomes or the long lengths of DNA to identify the occurrence of huge genetic changes such as an additional copy of a chromosome, that induces a genetic condition.

Biochemical genetic tests research

  • Biochemical genetic tests research the proportion or activity level of proteins; abnormalities in either can imply changes to the DNA that result in a genetic syndrome.
  • Genetic testing is instinctive. Because testing has advantages as well as restrictions and risks, the decision about whether to be tested is a subjective and difficult one. A geneticist can assist by giving information about the pros and cons of the test and examining the social and emotional factors of testing.

Need of the Innovation in Pharma Sector

  • Changing perspective and increasing the use of technology were the need of the hour. But now it is essential that innovation is at the core of business, and there is a dire need to embrace it if India wants to continue to be of relevance in the global pharmaceutical space.
  • India playing at scale in the innovation space will not just help the country but will create a source of sustainable revenues, bringing new solutions to unmet healthcare needs.
  • In India, this would lead to reduction in disease burden (development of drugs for India-specific concerns like tuberculosis and leprosy does not get global attention), creation of new high-skilled jobs, and probably around USD 10 billion of additional exports from 2030.
  • Countries like China have already leapfrogged ahead, skipping the generic medicine based development.

Way Forward

  • Robust Regulation: An enabling regulatory structure with simplified processes, robust guidelines, predictability, increased capacity and strong governance.
  • India needs a 60% reduction in the approval timeline to be competitive.
  • Robust Funding Support with government aid for industry investment through policies/incentives, direct government investment, and significant private investment.
  • India offers an attractive set of benefits — weighted R&D deduction, additional patent box benefits, and progressive policies to increase innovation funding which can attract more investment.
  • Industry-Academia Linkages: Strong linkages between academia and industry with high quality academic talent and infrastructure, industry-oriented research, and strong governance.
  • India needs world-class centers of excellence to attract global talent and support cutting-edge research.
  • Hubs to Accelerate Collaboration: There is a need for several at-scale innovation hubs co-locating academia, public R&D centers, industry, start-ups and incubators.
  • Invest in Other Modern Sectors: India should look up to and invest in biotechnology. India’s biotechnology industry, comprising bio pharmaceuticals, bio-services, bio agriculture, bio-industry and bio-informatics is expected to grow at an average rate of around 30% a year and reach USD 100 billion by 2025.


The biotechnology and pharmaceutical sectors have showcased resilience and grit in the face of the pandemic, continuously evolving and innovating for better outcomes.

The next story of the Indian pharmacy industry has to be one centred around biotechnology and innovation. If the right choices are made and if nurtured right then investment will come and  India can grow to be leaders in the global pharmaceutical market.

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