Tata Chemicals Ltd (TCL) and The Energy and Resources Institute (TERI) have established a Centre of Excellence on Biochemicals to develop cost-effective, innovative technologies for platform and speciality biochemicals from renewable first-and second-generation feedstocks.

The CoE was inaugurated today in New Delhi by Nitin Desai, Chairman, TERI, R Mukundan, Managing Director & CEO, Tata Chemicals and Vibha Dhawan, Director General, TERI. The Centre’s initial research focus is on the low-cost, demonstration-scale production of 2,3-Butanediol, a versatile platform chemical with wide applications in plastics, polymers, pharmaceuticals, paints, food additives, rubber, and as a precursor for bio-jet fuel, said a press release.

The Centre is equipped with state-of-the-art bioreactor facilities of different scales—small, medium, and large—for upstream production of fermentation-based biochemicals, complemented by pilot-scale downstream recovery systems, enabling advanced research and development. Together, the facilities provide a platform to validate integrated bioprocess technologies at demonstration scale–a critical step towards commercialisation. ''The CoE will serve as a crucible for cutting-edge research, scalable technologies and skilled talent – paving the way for India to lead the global transition to green chemistry,” said R Mukundan, Managing Director & CEO, Tata Chemicals.

''This Centre is more than a research facility; it is a biomanufacturing hub designed to bridge the gap between lab-scale innovation and commercial-scale production. By building expertise, infrastructure, and partnerships, we are laying the foundation for India’s leadership in sustainable biochemical production, aligned with the Government of India’s Bio-E³ policy," said Vibha Dhawan, Director General, TERI.

Biotechnology offers a viable alternative through fermentation-based production of platforms and speciality chemicals from renewable resources. Fermentation-derived products, including enzymes, metabolites, fatty acids, bio-pigments, and biopolymers, already have wide industrial applications across pharmaceuticals, textiles, nutraceuticals, personal care, and plastics. However, speciality biochemicals such as 2,3-Butanediol, propanediol, and succinic acid are not yet produced at a commercial scale in India, primarily due to high costs of downstream recovery, which account for nearly 70% of total production costs.

India’s chemical industry, currently valued at around $220 billion and projected to reach nearly $1 trillion by 2040, faces a growing imperative to transition towards sustainable production pathways. The sector, ranked sixth globally, supplies critical inputs for industries such as pharmaceuticals, agrochemicals, textiles, paints, and polymers but remains heavily dependent on fossil-based feedstocks that contribute to greenhouse gas (GHG) emissions.