Centre should direct its financial assistance to small-time biotech companies rather than backing large players in the sector, says experts from the industry. Government should fund small bioinformatics companies to help them improve their business thus by improving the industry.

The funding authority can select 10-15 companies which have the required expertise and are capable to grow instead of supporting large players who have the ability to grow even obtaining these funds, opined Anuradha Acharya, CEO of Ocimum Biosolutions.

Welcoming the Central government's proposal to develop a National Bioinformatics Policy, she said, it is sad to see lot of small companies closing their shops due to lack of venture capital to improve their operations.

The proposal to develop bioinformatics clusters, parks and centres of excellence would prove useful only if it benefits the industry. As of now, few pharmaceutical and biotech companies in the country are using bioinformatics products/services. Most of the bioinformatics companies in India are serving overseas clients. And it may take at least a couple of years for the Indian companies to start using the services, she added.

According to Acharaya, the small and medium companies in the industry can be successful if they focus on building brands, customer support services and delivery aspects. Lack of past experience in developing products/services is seen as a hindrance for growth. Bioinformatics companies should try to develop the markets within the country. Lot of research is needed to develop quality products and Government needs to play an active role here.

The UK government has been funding small companies which have linked up with universities and these companies are making good progress. India needs such initiatives. Through industry-academia tie up, existing knowledge in the field can be well utilised and government can fund for such joint programmes.

Integration of databases is an important task and NIH has set up an example in this direction. All bioinformatics companies in the country should work together to address major issues of the industry, she pointed out.