Biotech industry faces major challenges

Australia must compete against ferocious international competition in biotechnology research and development by "reducing fragmentation and building critical mass," the University of Sydney's Deputy Vice-Chancellor (Academic) told the National Press Club in Canberra recently.

A holistic "whole of government, whole of Australia" team approach was needed to keep Australian biologists at the forefront of international bioscience, said Professor John Hearn. He welcomed the Federal Government's $2.9 billion support of research through the Backing Australia's Ability program, and noted that bioscience was supported by both sides of government.

He warned, however, that the second phase of the program must maintain the energy and increase the investment if it was to position Australia as a world leader providing environmentally sustainable food, health and security solutions for an aging and growing regional and global population.

"The vision is to be world champions in biotechnology, as for sports," said Professor Hearn.

But it was early days in the training camp, he warned, with many challenges facing the industry including too many companies, inexperienced boards, risk-averse venture capitalists, and poor access to markets and global partnerships.

Unrealistic short-term expectations also posed problems. "The cycle from discovery to commercial product is often 15 to 20 years. We must shorten that time."

The US continued to invest hugely in biosciences and to attract and keep excellent Australian researchers, who were at the same time being driven away in part by Australia's high rate of personal taxation cutting in at relatively low salary levels.

The UK was positioning itself as a global leader, second only to the US, and EU biotechnology investments were already $4 billion and set to rise sharply in 2007. Taiwan, Japan, Singapore and Thailand were "emerging players with smart ideas and significant market advantages, China remained innovative in bioscience, and India had identified biotechnology as a 2020 priority".

He added: "We must engage far more effectively with our regional neighbours, becoming part of the eyes and brain of the Asia-Pacific region."

Flair, drive, teamwork and international engagement would allow Australia to ensure that knowledge and discoveries were translated into business success.

Item provided courtesy of The University of Sydney