Biotechnology-Based Economy: Will Bangladesh Lead or Be Left Behind?

Even as Bangladesh continues to rank among the world's fastest-growing economies, more than five decades after independence the promise of true economic emancipation remains elusive.

The country's growth model still depends heavily on the ready-made garments sector and remittance inflows. That dependence is fragile and insufficient to ensure long-term stability. In an era of global economic uncertainty and intensifying competition, maintaining this trajectory is far from guaranteed.

Across the world, countries are moving beyond traditional development models and investing in cutting-edge technologies and innovation to secure their future. In this age of rapidly advancing artificial intelligence, it is the convergence of digital technologies and modern biotechnology that is likely to shape the next global business order and redefine the economic architecture of tomorrow. The question Bangladesh must now confront is simple: is it prepared to lead this transformation, or be left behind by it?

The bioeconomy, driven by advances in biotechnology, has already emerged as a trillion-dollar global marketplace. By 2030, it is projected to exceed $4 trillion, around 50 times larger than Bangladesh's national budget for fiscal year 2025–26. More than 5 percent of the United States' GDP is already generated by the bioeconomy. Recognising this potential, nearly 50 countries have adopted national policies and strategic roadmaps to harness the growth of the bio-based economy.

Even in South Asia, India and Sri Lanka have begun moving in this direction. India's case is particularly instructive. Its bioeconomy reached about $166 billion in the last fiscal year, accounting for more than 4 percent of GDP. Data from India's Department of Biotechnology shows that the sector has expanded more than 16-fold in just 10 years. This demonstrates that with the right policies, investment and strategic vision, biotechnology can transform not only agriculture, healthcare and industry, but also a country's broader economic landscape. Against this backdrop, the bioeconomy is no longer a peripheral opportunity for Bangladesh. It is a strategic imperative.

Biotechnology in agriculture has long been debated in theory, but its effectiveness has already been demonstrated in Bangladesh through a compelling real-world example: Bt brinjal. This is not merely a crop; it is a clear signal to policymakers of how the right technology can rapidly transform agriculture into a new engine of growth. A study published in GM Crops & Food in 2025 reported that Bt brinjal cultivation increased yields by around 5,845 kilograms per hectare while generating an average additional income of Tk226,577, or roughly $2,000, for farmers. Small and marginal farmers now have a tangible pathway to better livelihoods.

At the same time, the sharp reduction in pesticide use has lowered production costs, reduced health risks for both farmers and consumers, and contributed to environmental sustainability. In some cases, yield increases of up to 42 percent further show that biotechnology is not confined to laboratories; it delivers measurable results in the field. The experience of Bt brinjal makes one thing clear: biotechnology is not a luxury or a distant possibility. It is already a proven economic model. This success could serve as the foundation for a wider agricultural biotechnology revolution through expansion into other crops.

A similar contradiction is visible in the pharmaceutical sector. By meeting nearly 98 percent of domestic demand and exporting medicines to more than 150 countries, Bangladesh has established a strong position in South Asia's pharmaceutical industry. Yet continued dependence on imports for high-value biologics and vaccines limits the sector's full potential. Biotechnology offers a clear pathway to local production of high-value products such as insulin, monoclonal antibodies, vaccines and gene-based therapies. Such progress would not only strengthen the healthcare system, but also enhance the country's economic self-reliance.

It is worth noting that local insulin production has already begun, and several companies have started investing in vaccine manufacturing. This could reduce import dependence, ease pressure on foreign exchange reserves and enable the country to respond more effectively to public health challenges through stronger domestic capacity. Yet Bangladesh's participation in the rapidly expanding global biopharmaceutical market remains negligible.

Meanwhile, sectors such as spirulina production have yet to gain recognition as industries in Bangladesh, despite their proven potential to strengthen nutritional security and generate revenue. Tissue culture technology is another example. Although it has been practised for four to five decades, it remains absent from any formal national industrialisation effort. This is not a lack of potential; it is a failure of policy. While the rest of the world is investing aggressively in bio-based industries such as bioplastics, biofuels, industrial enzymes and food biotechnology, Bangladesh remains largely on the sidelines.

These sectors are not only environmentally sustainable; they are also among the most profitable and fastest-growing segments of the global economy. Biofuels are emerging as viable alternatives to fossil energy, bioplastics are expanding in response to mounting environmental concerns, and amid the global energy crisis biodiesel is increasingly seen as an immediate and practical solution. Bangladesh's limited response to these opportunities reflects a troubling lack of urgency.

When climate change enters the discussion, Bangladesh stands among the world's most vulnerable countries. Rising sea levels, increasing coastal salinity, frequent flooding and extreme weather events are already exerting serious pressure on agriculture, water resources and public health. In this context, biotechnology is emerging as a practical tool for sustainable development. For example, the salt-tolerant Boro rice variety BRRI dhan67, developed by the Bangladesh Rice Research Institute in 2014, has opened new possibilities for cultivation in coastal areas where farming was previously difficult or impossible. Likewise, flood-tolerant varieties such as BRRI dhan52 can survive several days under submerged conditions, significantly reducing the risk of crop loss during flash floods.

Bioremediation technologies also offer effective solutions for removing heavy metals and toxic substances from contaminated soil and water, which is especially important in industrially polluted regions. Climate-resilient crops and biological technologies can raise agricultural productivity while maintaining environmental stability.

These technologies are not merely supportive tools for achieving the Sustainable Development Goals; they are indispensable. From SDG 2 on zero hunger and SDG 3 on good health and well-being to SDG 9 on industry, innovation and infrastructure, SDG 13 on climate action and SDG 15 on life on land, the role of biotechnology in advancing these targets can no longer be ignored. Yet Bangladesh's progress remains slow. Meeting the SDG targets by 2030 will be extremely difficult unless biotechnology is placed at the centre of the country's development strategy.

Bangladesh introduced biotechnology in higher education in the mid-1990s. Three decades later, the sector has still not lived up to expectations. Weak coordination across related disciplines and the absence of a clear, actionable national strategy remain at the centre of this shortfall. At present, around 24 universities, including 14 public institutions, offer programmes in genetic engineering and biotechnology, producing more than 1,500 graduates each year. Yet many of these graduates remain overlooked because of misaligned recruitment structures.

More concerning still is the prolonged delay in policy formulation. Although multiple drafts have been prepared over the years, a comprehensive national biotechnology policy has still not been finalised or implemented. As a result, skilled graduates continue to seek opportunities abroad. If this human capital is not absorbed into the bioeconomy, Bangladesh will not only lose employment opportunities but also weaken a sector that has the potential to reshape its economic future.

Bangladesh must therefore act on several fronts. First, it must adopt a national bioeconomy policy and strategic plan that places biotechnology at the centre of economic priorities and ensures effective implementation. The long-delayed national biotechnology policy should be finalised without further delay. Rather than leaving biotechnology fragmented across multiple ministries, all branches of the sector should be brought under a dedicated Biotechnology Directorate to ensure coordination and accountability.

Second, investment in research and development must be increased significantly. Universities and research institutions need adequate funding to support innovation and translate knowledge into practical outcomes. Third, biotechnology parks should be established to bridge the gap between research and industry, allowing innovations developed in laboratories to move more quickly into production. Fourth, regulatory processes must be streamlined so that relevant authorities can approve new technologies without unnecessary delay. Finally, private investment must be encouraged more actively, because the state alone cannot unlock the sector's full potential.

Through targeted incentives and clear policy direction, the government can lead the creation of new industries and new employment opportunities. A strong biotechnology-driven transformation could become one of the defining forces in building a more self-reliant Bangladesh.