LIFE SCIENCE CLUSTERS
opportunities
LIFESCIENCELEADER.COM MARCH 2015
52
life sciences innovators because they
provide excellent regulatory systems,
world-renowned research institutions,
and highly transparent political and
financial systems that allow for business-
es to be conducted efficiently.
Mature life sciences clusters generally
have developed policies that foster small,
growing companies and help overcome
barriers to market. For example, the
U.K. Trade and Investment (UKTI) was
created to help attract investment from
overseas to domestic ventures, from early-
stage development through product
commercialization, and helps companies
maximize government tax breaks and
incentives.
In Korea, the government developed its
"Pharma Korea 2020" strategic plan in
2012 to help the country become a top-
seven global drug powerhouse by 2020.
To establish Osong Bio Valley as a life
sciences hub, the Korean government is
relocating six government institutions
to the region, including the Ministry
of Food and Drug Safety and Korea
National Institute of Health.
Biotechnology is one of seven strategic
emerging industries identified in China's
12th Five-Year Plan, which calls for
government spending of more than
$1.9 billion on new drugs through 2015.
While Big Pharma historically was
interested in China as a low-cost manu-
facturing location, China now is focusing
on expanding its capabilities into high-
tech R&D; functions.
REGIONAL COMPETITION FOR
COMMERCIALIZATION HUBS HEATS UP
More life sciences companies are looking
internationally at emerging clusters not
only for market opportunities, but also
as cost-effective locations in which sig-
nificant investments are being made to
design supportive environments that
cultivate growing companies. More than
one-third of life sciences companies
anticipate reducing or consolidating their
corporate real estate portfolios in
European markets, while 63 percent and
48 percent plan to increase their port-
folios in China and Brazil, respectively,
according to JLL's
Global Corporate Real
Estate Trends for the Life Sciences Sector
.
As regional competition intensifies to
gain the coveted life sciences cluster status,
businesses must carefully prioritize the
most influential external factors that will
help make their product or treatment the
next billion-dollar idea.
L
By
R.
Humphrey
A
RECIPE
FOR
LIFE
SCIENCES
COMMERCIALIZATION
Roger Humphrey is executive
managing director of JLL's Life
Sciences Group. He can be reached
at Roger.Humphrey@am.jll.com.
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