German biotech sector has turned the corner

1st September 2004, Comments 0 comments

2 September 2004 , FRANKFURT - Germany's biotechnology sector is now moving forward again after two difficult years and the mood is more upbeat with more biotech firms expecting to turn profits, a top industry official said. Peter Stadler, head of the German Biotechnology Industry Federatino DIB in Frankfurt, said the sector in 2004 is expecting revenues of around EUR one billion. Last year turnover dropped 5 percent to EUR 960 million. He said the number of biotech firms now showing a profit was growing,

2 September 2004 

FRANKFURT - Germany's biotechnology sector is now moving forward again after two difficult years and the mood is more upbeat with more biotech firms expecting to turn profits, a top industry official said.

Peter Stadler, head of the German Biotechnology Industry Federatino DIB in Frankfurt, said the sector in 2004 is expecting revenues of around EUR one billion. Last year turnover dropped 5 percent to EUR 960 million.

He said the number of biotech firms now showing a profit was growing, new products and technologies were ripe for the market and there would be more company stock launches in the foreseeable future.

In July, the launch of the Berlin company Epigenomics was the first biotech company stock listing in three and one-half years.

"Overall, the signs are pointing to a clearly more substantial and sustained development," Stadler said. While cautioning that there would be some insolvencies in the next two years, he said there would also be more companies than before operating in the black.

German biotech firms were also improving their position in new patents. After US companies, with 722 patents last year, German firms ranked second at 247, improving from 10 percent to 16 percent their share of the world total.

A problem area for biotech firms is now the Berlin government's plans for amendments to the law on genetic engineering, Stadler said. He warned that unless changed some of the amendment proposals could spell the end of "green" genetic engineering in Germany.

DIB board member Harald Seulberg added that unless the amendment proposals are changed, it would hold up investments in research, agriculture and industry.

"Nobody is going to put money into new ideas if the law prevents their chances of being marketed," Seulberg said.

The DIB represents more than 200 German biotech companies and is a sub-section of the German Chemical Industry Federation VCI.

DPA

Subject: German news
 

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