At the prestigious World Economic Forum Annual Meeting in Davos, Telangana has unveiled its ambitious Next-Gen Life Sciences Policy for the period 2026–30. This forward-thinking initiative aims to attract a staggering $25 billion in investments and create approximately 500,000 new jobs, positioning the state among the top five global life sciences clusters by the year 2030. The announcement marks a significant strategic pivot for Telangana, moving from traditional scale-led pharmaceutical manufacturing towards a more innovative, value-driven growth model that emphasizes research and development (R&D), advanced therapeutics, and sustainable bio-manufacturing practices.
Chief Minister A. Revanth Reddy articulated the vision behind this policy, stating, “We are building one of the world’s most trusted and transformational biosciences ecosystems—driving global health impact from Telangana.” This statement encapsulates the state’s commitment to not only enhancing its economic landscape but also contributing significantly to global health advancements.
Hyderabad, the capital city of Telangana, is already home to a burgeoning concentration of global R&D, digital, and capability centers for leading life sciences companies such as Amgen, Sanofi, Bristol Myers Squibb, and Lilly. The city’s reputation as a hub for innovation in the life sciences sector is well-established, and the new policy seeks to build on this foundation by fostering an environment conducive to cutting-edge research and development.
In recent years, Telangana has demonstrated remarkable momentum in attracting investments. D. Sridhar Babu, the state’s minister for IT, electronics, communications, and industries, highlighted that over the past two years, the state has successfully attracted investments totaling ₹73,000 crore (approximately $9 billion). With the launch of the Next-Gen Life Sciences Policy, the government is now setting its sights on attracting an additional ₹2 lakh crore (around $25 billion) over the next five years. This ambitious target reflects the government’s confidence in the potential of the life sciences sector to drive economic growth and job creation.
The policy places a strong emphasis on frontier science and advanced manufacturing platforms, including cell and gene therapies, peptides, precision fermentation, and other next-generation modalities. By focusing on these areas, Telangana aims to transform itself from a critical node in global supply chains into a global originator of advanced therapies, platforms, and healthcare innovations. A key reform within the policy is the recognition of R&D units as full-fledged industrial enterprises, allowing them to access incentives comparable to those available to traditional manufacturing facilities. This change is expected to stimulate investment in R&D and foster a culture of innovation within the state.
One of the standout features of the Next-Gen Life Sciences Policy is the establishment of a Green Pharma City. This sustainable industrial cluster is envisioned to operate on principles of zero liquid discharge, centralized waste management, energy-efficient systems, and net-zero practices. The creation of such an environmentally friendly industrial ecosystem aligns with global trends towards sustainability and responsible manufacturing, ensuring that Telangana remains at the forefront of modern industrial practices.
In addition to the Green Pharma City, the policy proposes the development of ten ‘Pharma Villages,’ each spanning between 1,000 to 3,000 acres along the Outer Ring Road of Hyderabad. These villages are designed to facilitate decentralized and balanced industrial growth across the state, providing ample space for life sciences companies to establish operations and collaborate on innovative projects. This initiative aims to distribute the benefits of industrialization more evenly across the region, reducing congestion in urban areas while promoting economic development in suburban and rural locales.
Complementing these initiatives is the expansion of Genome Valley, a globally recognized biotech hub, and the further strengthening of the Medical Devices Park. Genome Valley has been instrumental in establishing Telangana as a leader in biotechnology, and its expansion is expected to attract even more investment and talent to the region. The Medical Devices Park, on the other hand, will focus on fostering innovation in medical technology, ensuring that Telangana remains competitive in this rapidly evolving sector.
A significant highlight of the policy is the creation of a Life Sciences Innovation Fund, which will have an initial corpus of ₹100 crore (approximately $12 million) and is scalable up to ₹1,000 crore (around $111 million) through a public-private partnership model. This fund is intended to support startups and emerging companies in the life sciences sector, providing them with the financial resources necessary to innovate and grow. By investing in early-stage companies, the government aims to cultivate a vibrant ecosystem of entrepreneurs and innovators who can contribute to the state’s economic development.
The policy also prioritizes diagnostics and medical electronics, with a focus on attracting global capability centers (GCCs) and global innovation centers that specialize in artificial intelligence (AI), analytics, digital health, and advanced R&D. As healthcare increasingly becomes data-driven, the integration of AI and analytics into life sciences is crucial for developing personalized therapies and improving patient outcomes. Telangana’s commitment to advancing precision medicine and personalized therapies underscores its dedication to delivering targeted, data-driven healthcare solutions.
Talent development is another cornerstone of the Next-Gen Life Sciences Policy. The government plans to establish the Telangana School of Life Sciences, which will offer industry-aligned curricula, structured internships, and continuous skilling programs. By equipping the workforce with the necessary skills and knowledge, Telangana aims to ensure that it has a steady pipeline of talent ready to meet the demands of the rapidly evolving life sciences sector. This focus on education and training is essential for sustaining long-term growth and innovation in the industry.
As Telangana embarks on this ambitious journey, it is clear that the Next-Gen Life Sciences Policy 2026–30 represents a transformative opportunity for the state. By leveraging its existing strengths in R&D, fostering innovation, and prioritizing sustainability, Telangana is poised to become a global leader in the life sciences sector. The government’s proactive approach to attracting investment, creating jobs, and nurturing talent will not only benefit the local economy but also contribute to advancements in global health.
In conclusion, the unveiling of the Next-Gen Life Sciences Policy at Davos marks a pivotal moment for Telangana. With its ambitious targets and comprehensive strategies, the state is set to redefine its role in the global life sciences landscape. As the world continues to grapple with complex health challenges, Telangana’s commitment to innovation, sustainability, and collaboration positions it as a beacon of hope and progress in the quest for better health outcomes. The coming years will be crucial as the state implements this policy and works towards realizing its vision of becoming one of the top five global life sciences clusters by 2030.
