Karnataka’s Bioeconomy Set To Reach $100 Bn By 2030: Report

Karnataka’s bioeconomy grown by 10.7 per cent to reach USD 31 billion in 2023. A state government report, unveiled on Wednesday by state’s Information Technology and Biotechnology Minister Priyank Kharge on 31 July, projected that the state’s bioeconomy could reach USD 100 billion by 2030, provided it can achieve a 19 per cent compound annual growth rate (CAGR). 

This target aligns with India’s broader bioeconomy goals, which aims to grow from USD 151 billion to USD 300 billion at a 14 per cent CAGR since 2020. Karnataka currently contributes one-fifth of the national bioeconomy.

Biopharma reportedly leads in its contribution to the state’s bioeconomy with USD 12.61 billion, accounting for 41 per cent of the total, supported by advancements in therapeutics, vaccines and diagnostics. Bioindustrial activities, including biofuels and industrial enzymes, contribute USD 12.10 billion, representing 39 per cent. 

Bioservices and BioIT, focusing on research and IT solutions, add USD 5.09 billion (16 per cent), while bioagriculture, with an emphasis on sustainable practices and biopesticides, accounts for USD 1.22 billion (4 per cent).

Karnataka attracted over 30 per cent of national biotech investments in 2023, contributing 21 per cent to India’s bioeconomy. The state’s bioeconomy forms nearly 10-12 per cent of its USD 310 billion economy, positioning it second only to Maharashtra in national contributions. 

Beyond Bengaluru, regions like Mysuru contribute with USD 2.81 billion, while Belagavi, Dakshina Kannada and Bengaluru Rural each account for over 4 per cent. The diverse economic activities in these regions include in bioindustrial and BioIT sectors.

The report mentioned the need to increase contributions from various sectors to meet future goals. It aims to boost biopharma contributions to USD 30 billion, expand bioagriculture to USD 15 billion, and quadruple bioindustrial contributions to USD 30 billion by 2030.