While, Indian bio-technology is viewed as highly promising, however, so far it has not made as much of an impact or been visible to the public eye, as information technology has been, for instance.

However, there are signs that indicate, the industry is close to an inflection point that will propel it towards a much sharper growth curve and greater visibility. Already, the list of the world’s biggest bio-tech and life sciences firms heading to Indian shores lengthens, as they look forward to carrying on a range of activities, from clinical research to drug discovery.

What is the reason for the Indian attraction? It can be said with surety that Indian talent, lows costs and the capability demonstrated by Indian bio-tech firms, whether big or small in size are the main sources of the attraction. Biogen Idec, the world’s oldest bio-tech firm founded in 1978, set up an Indian subsidiary earlier this year, with the objective of doing R&D and integrating India into its global clinical development programmes.

And, the world’s largest bio-tech firm – the $15-billion US firm - Amgen, plans a direct presence in India, with its own clinical development centre, which may also conduct core drug discovery related activities.

Other global majors like Genentech, Genzyme, Pall Life Sciences, Agilent Technologies bio-tech division. Histor-genetics have either just set up base in India, or are seen to be close to doing so.

Alok Gupta, Country Head, (Life Sciences & Technology) at Yes Bank, says he has seen a broad level of interest among foreign firms at the Bio-technology Industry Organisation International Convention held in Boston, US, last month that saw some 22,000 participants, including a strong contingent from India. Nobby Nazareth, CEO of Leader Prospects, part of the same event, holds a similar opinion.

As does Dr. Amanda Caples, Director – Bio-technology, state government of Victoria, Australia, who believes it makes great sense for Australian drug development firms to ask India to conduct research and clinical trials, since these trials cost 30% less in India as compared to Australia and 50% less compared to USA. With the costs for developing drugs reaching astronomical levels, about $1-billion, of which 70% is spent on trials and R&D, India, according to Dr. Caples presents great opportunities.

Even scientists in India cost far less at $60,000 compared with a scientist in USA, who would cost anywhere between $200,000 to 300,000.

Dr. Alpna Seth, Head of Biogen Idec India, says an additional advantage is the country’s English speaking population, ‘which coupled with the vast talent pool in the field of science and technology is of great significance in a highly regulated knowledge industry like ours that involves a considerable amount of documentation and communications’.

This year’s estimate for the Indian bio-technology industry is expected to be in the range of $2-billion, according to Frost & Sullivan. And while, the count of R&D labs in India stand at 1,200 and 400 for Non-profit Research Centres by private players, India’s rich talent pool of graduate, IT, Engineering and Life Science professionals stand at 2.5-million, 50,000 for Post Graduates in Bio-Sciences and 1,500 PhDs in Bio-sciences.

Source: IANS

A new study believes, the next seven years will see India’s Engineering Process Outsourcing (EPO) business grow 10-fold, to touch $30-billion, which will make the country a major hub in this area.

The study released by Kamal Nath – Commerce Minister says: “The estimated demand for Engineering Process Outsourcing to India has grown at 30-35% since 2004-06,” adding a sustained momentum in the ensuing years.

The study conducted by state-run Engineering Export Promotion Council (EEPC) says, the global EPO market, on the other hand, will grow to around $110-$140-billion by 2015, taking India’s share to 20-27%.

Expressing concern over the decision to do away with the duty entitlement passbook scheme, an export incentive programme, next year, Rakesh Shah, Chairman of EEPC confirms engineering exports from India touched $26-billion in 2006-07.

However, Kamal Nath assures the government is working on developing an alternative duty neutralisation scheme to replace the current scheme that will be in tune with the norms set by the World Trade Organisation.

Asking engineering exporters to use the focus market scheme to their advantage in promoting exports to the identified markets, the minister especially laid emphasis on the Commonwealth of Independent States (CIS), while adding as many as 16-new destinations, including CIS were included in the focus market list, this year, making it useful for exporters to concentrate on developing the markets in these countries.

However, he warns: “Indian exports including engineering exports are likely to face increased non-tariff barriers, considering that average tariffs for industrial products in all countries is headed southwards,” even as, he is of the opinion that the process for engineering products will gain greater momentum, as the coming years see an increase in India’s share of world exports.