India’s Biodiversity Economy

India’s Biodiversity Economy

India’s Biodiversity Economy Gains Momentum as NBA Realises ₹21.26 Crore Through ABS Mechanism

This development shows how India’s biological wealth is gradually being integrated into a structured conservation-linked economic model. The ABS mechanism ensures that industries using biological resources and associated traditional knowledge contribute back to the communities, farmers, Biodiversity Management Committees and knowledge holders connected to those resources.

India’s biodiversity governance system has recorded a significant financial milestone, with the National Biodiversity Authority realising ₹21.26 crore through the Access and Benefit Sharing mechanism during FY 2025–26. The amount came from approvals linked to research, commercial use, intellectual property rights, bio-survey and bio-utilisation of Indian biological resources.

This development shows how India’s biological wealth is gradually being integrated into a structured conservation-linked economic model. The ABS mechanism ensures that industries using biological resources and associated traditional knowledge contribute back to the communities, farmers, Biodiversity Management Committees and knowledge holders connected to those resources.

The seed sector emerged as the largest contributor during the year, accounting for ₹11.75 crore. The AYUSH sector followed with ₹5.56 crore, reflecting the strong commercial value of India’s medicinal plants, traditional formulations and wellness-linked biological resources. The nutraceutical sector contributed ₹1.40 crore, while the pharmaceutical sector contributed ₹1.18 crore. Other contributing areas included biotechnology, cosmetics, chemicals, biofuel and food and beverages.

Major contributors from the seed industry included Nunhems India Pvt. Ltd., East West Seeds India Pvt. Ltd., Pioneer Overseas Corporation, Nongwoo Seed India Pvt. Ltd. and BASF India Pvt. Ltd. In the AYUSH segment, important contributors included Himalaya Wellness Company, Organic India Pvt. Ltd. and Natural Remedies.

The range of biological resources used by these sectors shows the depth of India’s natural resource base. Around 300 biological resources were utilised, including maize, rice, turmeric, amla, mustard, bitter gourd, kalmegh, cardamom, tulsi, guggal gum, neem leaves, garcinia, ashwagandha, pepper and clove. These resources are part of India’s agricultural, medicinal, nutritional and traditional knowledge systems.

The larger picture is even more important. The National Biodiversity Authority has so far realised ₹266 crore from users of biological resources and associated knowledge. Out of this, ₹145 crore has already been disbursed to beneficiaries across the country. This makes ABS a practical bridge between commercial utilisation and grassroots benefit-sharing.

The Access and Benefit Sharing mechanism was created under the Biological Diversity Act to ensure that benefits arising from the use of biological resources are shared in a fair and equitable manner. Its purpose goes beyond revenue collection. The funds help support biodiversity conservation, sustainable use of natural resources and livelihood improvement at the community level.

This milestone also strengthens India’s commitment to global biodiversity goals. The ABS framework aligns with the Convention on Biological Diversity, the Nagoya Protocol on Access and Benefit Sharing, and Target 13 of the National Biodiversity Strategy and Action Plan 2024–2030. It places India’s traditional knowledge, medicinal resources and agricultural biodiversity within a formal legal and economic structure.

The ₹21.26 crore realisation in FY 2025–26 shows that biodiversity can be protected while also supporting responsible industry growth. When companies use Indian biological resources, the communities connected to those resources also receive a share of the benefit. This creates a more balanced model where conservation, commerce and community welfare move together.


Source: PIB