State Contributes 21% to India’s BioEconomy, Over 10% to GSDP
Bengaluru, February 23: Karnataka’s BioEconomy is projected to reach USD 39.2 billion in 2025, marking a significant rise from previous years and reaffirming the state’s leadership in the biotechnology sector at the national level, according to an official report released on Monday.The Karnataka Innovation and Technology Society under the Department of Electronics, IT, Biotechnology and Science and Technology unveiled the Karnataka BioEconomy Report 2025 in collaboration with the Association of Biotechnology Led Enterprises. The report was released by IT Minister Priyank Kharge.
According to the findings, Karnataka currently contributes around 21 per cent to India’s BioEconomy and accounts for over 10 per cent of the state’s Gross State Domestic Product.
Strong Growth Momentum Since 2023
The report noted that the state’s BioEconomy has expanded from USD 31.0 billion in 2023 to a projected USD 39.2 billion in 2025, reflecting cumulative growth of 26.5 per cent. It also stated that the sector is now adding nearly USD 10 billion every quarter to Karnataka’s GDP.BioPharma Leads, BioIndustrial Biotechnology Fastest Growing
BioPharma continues to dominate the ecosystem with more than 40 per cent share, translating to approximately USD 16.44 billion. The segment is driven by biologics, biosimilars, vaccines, and diagnostics.BioIndustrial biotechnology has emerged as the fastest growing segment, accounting for approximately USD 11.46 billion and around 29 per cent share. The growth is led by fermentation based industries, biofuels, enzymes, and sustainable materials.
BioServices account for about 25.8 per cent of the BioEconomy, while BioAgri contributes through sustainable agriculture and input innovation.
Growth Spreads Beyond Bengaluru
The report highlighted that BioEconomy expansion is becoming increasingly multi regional. Bengaluru Urban accounts for around 54 per cent of the state’s BioEconomy. Mysuru contributes approximately 8.7 per cent, while Belagavi and Dakshina Kannada together account for more than 9 per cent. Northern districts continue to serve as the Agri biotechnology belt.In terms of startups, 218 new biotech ventures were established in 2025, taking the cumulative total to 1,451. Over 75 per cent of these startups focus on life sciences and health tech. Bengaluru alone accounts for about 54 per cent of the startup ecosystem.
USD 1.14 Billion Investment Across 40 Deals
Between January 2024 and October 2025, Karnataka attracted USD 1.14 billion through around 40 deals spanning BioPharma, MedTech, precision fermentation, digital health, and AgriBio, the report stated.Government Focus on Full Spectrum Biomanufacturing
IT Minister Priyank Kharge said that with the BioEconomy crossing USD 39 billion and contributing over 10 per cent to the state’s GSDP, biotechnology is no longer confined to laboratories and has become a central driver of economic growth, industrial innovation, and societal impact.He added that the state government is focused on building a full spectrum biomanufacturing economy by supporting deep tech startups, strengthening innovation infrastructure, and ensuring that growth extends beyond Bengaluru to every region of Karnataka.
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