Innovative products and services will be the cornerstone strategy for Taiwan's biotechnology companies making inroads in the international market, Premier Jiang Yi-huah said at the Executive Yuan today after hearing a report on a major biotech development program.
High on the government's agenda, biotechnology has been listed among the six emerging industries for priority development. To hasten industrial transformation, the premier said he would like to see the industry turn out out five to 10 successful innovative products and services within the next three years.
According to the report, the government launched the Taiwan Biotechnology Take-off Diamond Action Plan in 2009 to strengthen the industry's basic structure. This first phase, which ran through 2012, aims to double the industry's total worth from NT$130 billion to NT$260 billion (US$4.4 billion to US$8.8 billion). The second phase of the program, the Taiwan Biotech Industrialization Take-off Action Plan (2013-2015), has made creating innovative products and service models its goal. This will be achieved through the development of pharmaceutical drugs, medical equipment and health care management services.
In new drug development, the number of drugs in clinical trials has swelled in the past five years from 13 to 86 currently. The Academia Sinica is planning to open a biotech park that will serve as a major incubation center for pharmaceutical research and development. Land expropriation for the park will be finalized this September and construction is slated to begin year-end at the earliest.
The medical equipment industry in Taiwan has been growing rapidly, yielding a turnover of NT$109.2 billion in 2012, which is 10 percent higher than the previous year. In particular, blood glucose meters, carriages for disabled persons and contact lenses generated export value of NT$46 billion, also up 10 percent from 2011. As for prototype devices, two are in clinical trials and eight have been approved for the market. Production value from the prototypes will reach an estimated NT$2.19 billion by 2015.
In health care management services, the government is eyeing the global market and building "turnkey solutions" that offer a full professional service package including medical resources, medical equipment and medical logistics. According to the Executive Yuan, Taiwan's strength rests in quality and affordable medical management. Taiwan can build a distinct brand in this field by combining different services such as medical treatment, telecommunications and care.
Health care management services can also benefit related industries such as hospital management, medical information, medical equipment and pharmaceuticals, all of which are projected to bring in NT$6 billion to NT$10 billion each year. Meanwhile, the Ministry of Health and Welfare will be inaugurating a new health care management services office on October 3 to tap the international markets. This office is expected to generate production value of NT$5.7 billion annually and create more high value-added jobs.
Premier Jiang said the biotech action plan will boost the industry's clustering effect and raise its overall worth. Medical biotechnology also has the potential to develop into another trillion-dollar industry that will provide smart health technologies for the people of Taiwan.