India's biotechnology sector has been nurtured since its inception by the national government. However, it is an industry still in its infancy. Currently India is making a considerable investment in both academics and the existing industry infrastructure to accelerate the sector's growth and contributions.

Tamil Nadu is rich in bioresources. The variety of geographical terrains in the State provides tremendous biodiversity rarely seen in any other single State. The forest, agricultural and plant resource base of the State are both large and diverse and represent great market opportunity for biotechnology products. There are more than 5,000 species of flowering plants and the forest cover in the State spreads over 22,500 sq.kms. The State also has one of the largest coastlines in the country which again presents opportunities for Marine Biotechnology. The State is also fortunate to have a pool of experts in various areas of Biotechnology with experience in commercialisation of Biotech products. Industrial activity so far in the area of Biotechnology has been largely in first generation Biotechnology like fermentation of antibiotics. A number of Tissue Culture Units to produce food and ornamental plants have also been set up by leading industrial houses in Tamil Nadu. Thus, Tamil Nadu has the potential to create a critical mass of industrial activity in Biotechnology, graduating from the current first and second generation Biotechnology projects to modern Biotechnology products involving recombinant, DNA- based products and Bioinformatics.

Government is trying to promote use of biotechnology to enhance the value of Kerala's export-oriented resources such as spices, seafood, plantation crops and so on while ensuring that appropriate quality standards are maintained. In this context, the need to use biotechnology tools to leverage the State's traditional ayurvedic system of medicine comes in for special mention.