Advantages of Investing in Biotechnology Research — Honest Pros and Cons

Biotechnology is a rising field of science that has the capability to solve biological issues which could not be addressed with present techniques. It acquires living forms and their molecular tools to develop products for the welfare of living organisms, including human.

Investing in Biotechnology Research

To give the basic examples of what we have obtained using biotechnology, let’s first start by taking the example of our own system. Insulin, a hormone, is synthesized within us. Every healthy individual synthesizes the adequate amount of insulin which we need to regulate our sugar metabolism and that controls our blood sugar.

However, when the insulin produced is insufficient, this leads to a disease condition, called diabetes. Diabetic patients are advised to take insulin injections. What is that insulin injection and where is it coming from? Today, human insulin is produced by engineered bacteria. Thanks to biotechnology and research scientist involved.

History of Biotechnology

However, modern biotechnology has been with us for roughly four decades. It got its hype in 1973 after scientists first genetically engineered colonies of Escherichia coli (E. Coli) bacteria which contains a small fragment of genetic material, called deoxyribonucleic acid (DNA) from a frog. Then, it gradually flourished in the world for a different purpose.

The industrial application of microbial enzymes was started by a Japanese scientist in 1984. Austria also contributed to the progress of biotech during 1846. India established the Department of Biotechnology during the year 1986. So, in this way, biotechnology gained its importance.

Advantages of Investing in Biotechnology Research

There are various innovative ideas that could turn out to be a blessing if brought into action but those achievements can only be accomplished when the research is well funded with patience. People still hesitate to invest money because they are not certain of the consequences. Below, we will mention the advantages of investing in biotechnology research.

1. Demographic Trends

According to the United Nations, it is presumed that the proportion of the world’s population aged 60 and over will double by 2050. Now, you must be wondering what it has to do with biotech research. So, as a person grows older, more risk of contracting diseases and therefore, the demand for various kinds of prescription drugs inevitably grows.

If any investors are smart enough to recognize this demographic trend and capitalize upon it, they can take advantage of it.

2. Making An Impact

Investing is something that you do for your own future, but investing in biotechnology will make you contribute to the next generation’s future as well. By putting your money in biotechnology, you are helping scientists to develop technology for a better living environment, such as zero-waste bioprocessing, or for a healthy life, by finding faster ways to recognize deadly diseases.

3. The industry is Performing Well

The cost of the medicines will, in general, remain the same because there is consistently the interest of drugs. They won’t be impacted by the politics of the country either. This is the purpose of investing in biotech companies. The stocks presumably won’t go up quickly, anyway it certainly won’t hop unreasonably far down that affects your investments.

4. Worth Taking Risk

Even though there’s always the uncertainty of the uprise in biotech industries, which happens in any business, the profit in biotech industries is always significantly noticed. However, individuals are always suggested to do deep research in the sector you are willing to invest in.


Dr Salyan Bhattarai, Postdoctoral fellow, McGill University, Canada
(Advisor for the content in the article)


Originally published at on May 8, 2020.