Accelerating Agribiotech R&D in Private sector Public Policy and Partnerships

1. Accelerating Agribiotech R&D in Private sector Public Policy and Partnerships S.R.Rao Department of Biotechnology Government of India E. Mail: [email_address]

2. Today,s topics

3. Size of Private Seed Sector in India Sources : Seed Industry in AP- A profile, 2004 06/18/11 S.No No of Companies Size of companies Sales turn over (in million Rs) 1 40 Large involved in R&D >200 2 Small number Medium 200 3 Large number Local player and unorganized <20 Can we learn from current status?

4. Source: - International Seed federation/www.worldseed.org/2008 06/18/11 Domestic market size of seeds in different countries

5. Basic R&D Applied R&D IARC More than 50 firms MNCs Foundation Seed ICAR SAUs, Res St. NSP 50 firms Commercial Seed Production NSC, 13SSC SFSC Contract farming More 400 Seed Companies Seed Distribution & Sales Govt. Coops Farmers Thousand of Dealers at district Distribution Seed Production Public Private NGO Sources: Pray et al, 1990. Figure SAU/State/Research Regional seed production/ contact farming 06/18/11 Conventional breeding , seed production and distributionsystem is shifting and getting complex

6. Increasing complexity Rising cost Investment ---Gradient of Biotechnologies Modern biotechnology Genomics Genetic engineering of animals Genetic engineering of plants Recombinant DNA technology Clonal and polyclonal antibody production Embryo transfer in animals Plant tissue culture Biological nitrogen fixation Microbial fermentation Traditional biotechnology Technological complexities are increasing

8. Risk profiling has become important in technology led market creation Risk Core technology interest Perceived risk factors Low CRO, CMO & Diagnostics (Services Business) Relatively low risk companies Med. Enzymes and Biogenerics Medium risk High Drug discovery & delivery technologies / Bio-agri/ Bioinformatics / Biomass / Biofuels Perceived as high risk, nascent business models

9. World’s Top Ten Seed Companies doing business in India S.No Seed companies Seed sale (US) million s, 2004 Seed sale (US) million s, 1998 1 Monsanto (USA) 2,803 1,800 2 Dupont (USA) 2,600 1,835 3 Syngenta (Novartis)(SWD) 1,239 1,000 4 Groupe Limagrain(France) 1,044 733 5 KWs AG (Germany) 622 370 6 Land O’ lakes (USA) 538 370 7 Sakata (Japan) 416 349 8 Bayer crop science (Germany) 387 - 9 Taikii(Japan) 366 300 10 DLF Trifolium (Denmak) 320 -

12. Lessons from current status Value Transfer into Seed Adventa 2008 SEEDS Human Health Water & Soil Nutrients Crop Chemicals Animal Nutrition

13. Lessons from current status Challenges Adventa 2008

15. Commercial potential 1. Start-up Prototype 2. Early Stage/ patenting 3. Develop- ment and trails 4. Expansion & Growth Grants 3 F’s, joint research Informal VC (Business Angels) & seed corn, some formal VC, corporate venturing VC and corporate venturing IPO and /or Buyout A biotechnology finance life cycle SBIRI NIMTLI ; TDB; PATSAR,

17. Proposals received

18. Small Business Innovation Research Initiative Projects Medical Agriculture Industrial Processes/ Enzymes Others Advertise 6 times 361 proposals received 41 proposals recommended 32 proposals supported 9 projects in pipeline Public Private Partnerships

20. Biotechnology Industry Research Assistance Council (BIRAC)- End-to-end Services Started as a pilot project and EFC ready for circulation under I&M sector

22. NMITLI seeks to catalyze innovation centered scientific and technological developments as a vehicle to attain for Indian industry a global leadership position, in selected niche areas in a true ‘Team India’ spirit, by synergising the best competencies of publicly funded R&D institutions, academia and private industry. THE OBJECTIVE More Public –Private Partnerships Example: New Millennium Indian Technology Leadership Initiative

23. SPREAD OF PROJECTS

26. Why such low response from agribiotech private sector Potential Currently here

27. I Is public policy catalytic in promoting R&D in private sector?

30. Lack of public sector technologies

31. Not very steep we can climb Thanks