In a major boost to Odisha’s bioeconomy, Governor Hari Babu Kambhampati announced an investment of Rs 1,113 crore— a comprehensive plan to strengthen research, innovation, and entrepreneurship in biotechnology.
Addressing the members of state assembly during the inaugural session of Budget on February 17, the governor outlined the policy framework of the government that aims to accelerate scientific advancement in the state.
Titled ‘Development of Biotechnology’, the ambitious project spanning five years (2025-26 to 2029-30), which comprises 17 sub-schemes, will promote higher education, research, and infrastructure development in the most promising areas of biotechnology. It will also develop and strengthen supportive and vibrant ecosystem for 5Is — Innovation, Incubation, Investment, Income, and Impact — to build enterprises and industries.
Why it is a significant move
Reduce overdependence on minerals and mining: Experts have hailed this move, terming it as visionary and strategic, which eventually would transform Odisha from a resource dependent, capital intensive to an economy, which will be not only knowledge-driven but will also generate employment. Reason is simple: the state that has been heavily dependent on minerals, metals and mining contributing to over 41% of gross-state-value-added (GSVA) to the economy has also been unable to generate substantial amount of direct employment.
Biotechnology, on the other hand, has the potential to produce intellectual property and exports, create high skill jobs and support MSMEs and startups.
Therefore, biotech can emerge as an important engine of growth thereby reducing the state’s overdependence on natural resources.
Create a knowledge economy: Over the years, Odisha has established research institutions of national repute. Institutes like The Institute of Life Sciences (ILS) have emerged as a major centre for genomics, cancer biology, and other research purposes. During Covid-19, it also played a critical role in genome sequencing, among others. Similarly, the National Institute of Science Education and Research (NISER) has been tapping the research talent by producing highly trained graduates in biological sciences.
However, due to lack of adequate biotech industries, these talents migrate to states like Hyderabad, Pune, and Bengaluru. Promoting biotech industries in the state will create knowledge as also retain talent in the state, who will contribute to the economy’s growth.
Make agricultural methods more scientific: In Odisha, 48–49% workforce is still engaged in agriculture and allied activities. However, the sector contributes only around 19.6–20.4% to the state’s Gross State Value Added (GSVA). The figures clearly reflect the structural productivity gap in the economy.
Moreover, the latest Economic Survey also talks of the glaring gap. Agriculture remains the single largest employer in the state, but its income share is less than half of its employment share.
Biotechnology will help in modernizing agricultural methods by developing climate-resilient crops, improving seed quality, and increasing farm productivity, which in turn will boost farmer’s income and enhance food security.
Bolster Public Health: Experts are of the view that establishment of local diagnostic centres, vaccination research and molecular testing facilities will go a long way in curbing diseases like malaria and dengue, which is still rampant in the state. Similarly, it can also help in the dipping of malnutrition deaths, among others, while also reducing dependence on other states, making it cost effective for local citizens.
How the state is gearing up to make it a biotech hub
The Odisha Biotechnology Policy 2024 is a step in that direction. The policy aims at establishing the state as a leading global bioeconomy hub by encouraging innovation, research, and sustainable development. It focuses on accelerating growth in agriculture, industrial biotechnology, and bioinformatics through incentives like land concessions, capital support, and, notably, a ₹15,000/month employment generation incentive.
Its most visible outcome is the Bhubaneswar Biotech Park, which provides wet labs, incubation space, and technology-transfer support. This is a crucial first step as like other sectors, in biotechnology too infrastructure will determine survival rates of startups.
With all the required blocks in place such as talent, institutions, policy intent and infrastructure already in place, biotechnology can prove to be a game changer like the way IT once gave Karnataka. Scale, capital and market linkage are the props required to give it the wing to fly!
Also Read: Odisha Budget 2026-27: How is it different from last year
