The biotechnology sector in the country is all set to become a $5 billion industry by 2010. The current turnover of the sector is $1 billion. The growth in the sector has been spurred by the several partnerships that have taken place in the country particularly in Bangalore, said Kiran Mazumdar-Shaw, head Vision Group on Biotechnology government of Karnataka and chairman and managing director, Biocon Limited. She was delivering the introductory address at the fifth edition of the annual Bangalore Bio 2005.

Manufacturing and research are the two key areas that have ensured bio-partnering collaborations. Almost all big pharma and a number of biotech companies are outsourcing R&D services from a large number of research service companies from India and China, she added.

The noteworthy collaborations have taken place between Stand Genomics and Medibic, Biocon with Nobex, Vaccinex and CIMAB, Avesthagen and Genetic ID for genetically modified crops, and with Bio Meraux for diagnostics. The most significant development is the acquisition of Lotus Labs by Iceland-based Actavis.

Some of the bio-partnerships between Bangalore-based companies in the areas of research include Rea Matrix and National Centre for Biological Sciences, Avesthagen and AstraZeneca, Syngene with Strand Genomics, Bangalore Genei and Biocon. In addition, many Bangalore-based companies have forged partnerships with global majors like Bayer, Affymax, Symyx, Serono, KRDL, Biostrx etc.

Bangalore is establishing itself as the fastest growing bio-cluster in the country. Between 2004 and 05, of the 25 new units in the country, 21 are in Karantaka including Avita Biotech Animal Biotech, Accacia Serum, US, Acmeceeyess, Apotec Pharma Reserch, Bio-Organics, Bhairavi Labs, Biogen Extracts, Goplana Organics IT Cube Ltd., Invitrogen US, Kumar Organics, Molecualr Cellular Reserch, Polyclone Bioscienses, Randox UK, Siddhi Vinayak Spec Chem Synchor Reserch and Sasya Seeds.

Karnataka's Vision Group on Biotechnology in a report of the Indian biotech scenario has indicated that the country's unprecedented growth in the sector is because of Karnataka and Bangalore companies. As of 2004-05, there are 265 biotech companies in the country, of which 131 are in Karnataka, including 127 in Bangalore.

The classification of 131 units is Suppliers (30%), agro (18%), health (17%), services (14%), bioinformatics (13%), industrial (4%) and others (4%).

The state industry has also attracted $100 million venture capital funding in 2004-05, the highest in the country.

In 2005, 131 biotech companies in the state generated employment to the tune of 20,000 jobs, out of which 7,500 constituted scientific manpower. The breakup of the quality of manpower which have been suitably employed in the companies include 33 percent graduates, 30 percent post graduates, 18 percent doctorates, 15 percent engineers and Management graduates.