Ensuring Biotech Startup Success Stories

According to the Indian BioEconomy Report 2025, the number of biotech startups has more than doubled from 4237 in 2020 to 10,075 in 2024.

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However, there has been a 13.1 per cent decline in 2024 with new startup registrations, as compared to the previous years. While the number of new startups kept increasing between 2020 and 2023, ranging between 26 and 30 per cent, 2024 saw only a 16-18 per cent rise in the number. Does this new trend suggest a potential stabilisation of the existing startups or a funding crunch for the new entrants? Or the growth of biotech startups in the country is simply following a numbers game. Let's find out.

In 2024, the bioeconomy of India reached a value of $165.7 billion, reflecting strong growth across biopharma, bioindustrial production, research services, and agricultural biotechnology. The India Bioeconomy Report 2025, prepared by the Association of Biotechnology Led Enterprises (ABLE), states that in 2023, the bioeconomy registered a 10 per cent growth, while in 2024, it registered a 9.7 per cent growth.

The report also reveals that the biotech startup sector has shown a decrease in growth rate in 2024 compared to previous years between 2020 and 2023. A similar dip was witnessed back in 2019 after considerable jumps from 2016 to 2018.

On the other hand, in 2022, biotech startups saw 31 deals totalling $938.8 million, while 2023 saw a dip with only 16 deals worth $199.6 million. The year 2024 further witnessed recovery and is estimated to close at $700 million with over two dozen deals.

These fluctuations might be governed by factors such as market saturation, increased competition, emerging new technologies, or limited funding.

As a recent development to harness the biotech potential in different parts of the country, the government has announced the development of regional Biotechnology Industry Research Assistance Council (BIRAC) centres across India, as a collaboration between the Centre and States.