One of the biggest challenges for the Indian biotechnology industry is promoting investment by venture capital in the sector, says a recent Confederation of Indian Industry (CII) survey, covering over 50 biotech companies.
According to the survey, although a Rs 300-crore venture capital investment has been estimated for the sector, it is still low for the growing biotech industry and accounts for less than 20 per cent of total funding made in India. Banks still remain the major financing source for the sector, says the survey.
The Small Industries Develop-ment Bank of India (SIDBI) and Indian Credit and Investment Corporation of India (ICICI) have committed about 35 per cent each, the CII survey says.
Moreover, the internal funding by individual companies is still insignificant and accounts for only 10 per cent of the total funding types in India, it says.
There has been a significant increase in both government
