EU-Korea Biotech Seminar

Current Status of Biotech Industry

in Korea : Strengths and Challenges

December 2005

Jin-Ho Seo, Ph.D.

Director, Bio-MAX Institute, Seoul National University

Bioindustry Association of Korea(BAK)

 CONTENTS
Ⅰ. Fundamental Structure of Bioindustry in Korea
1. History of Korean Bioindustry
2. Bioindustry Fields
3. Government Role and R&D Investment
4. Journal & Patent
5. Driving System
Ⅱ. New Breakthroughs of Bioindustry in Korea
1. Vision for BioSociety and Goal of Bioindustry
2. Basic Direction of Bioindustry Policy
3. Strengthening Strategy of Competitiveness on Bioindustry
4. What We Focus On
Ⅲ. Current Status of Bioindustry in Korea
1. Category of Companies
2. Manpower of Companies
3. Market Size
4. Example of Bio-Products
5. Trend of Technology Development
6. Investment by Major Corporates
7. Industrialization by Major Corporates
8. Launching Trend of New Bio-products
9. SWOT of the Korean Bioindustry
10. Strengths and Challenges
Ⅳ. Future of Korean Bioindustry
1. Prospect for the Future
2. Strategy for the Future
I. Fundamental Structure of Bioindustry in Korea 1
1. History of Korean Bioindustry
1980~1989 : Technology Development Stage
 Introduction & Development of New Biotechnology
 Enactment of Biotechnology Promotion Law, 1983
 Establishment of Biotechnology Departments & Research Institutes in Universities, 1984
 Establishment of the Korea Research Institute of Bioscience & Biotechnology(KRIBB), 1985

1990~1999 : Product Manufacturing Stage

 Establishment of Bioindustry Association of Korea(BAK), 1991
 Formalizing of Biotech 2000 Program(MOST), 1994
 Proclaim of Bioindustry Vision 2000(MOCIE), 1994
 Development of Bioprocess Technology & Launching of Bio-products

2000~Current : Bioindustry Introduction Stage

 Establishment of Korean Bioindustry Development Strategy, 2000
 Key National Strategic Industry
 Inauguration of National Bioindustry Action Plan
 Productivity Improvement of Generic Products, Development of New & Modified Bio-products
 Investment Increase in Public & Private Sector
I. Fundamental Structure of Bioindustry in Korea 2
2. Bioindustry Fields
Bioindustry Fields

Areas Contents

Biopolymer, Industrial enzymes, Organic acids, Amino acids, Reagents &

Biochemicals
Kits, Bioagrochemicals, etc.
Waste water ＆ Wastes treatment, Bioremediation, Polution monitoring,
Bioenvironments
Microbial agents, etc.
Immunomodulator, Growth factor, Blood protein, Antibiotics, Vaccines, Dia
Biopharmaceuticals
gnostics, Tissue & Cell engineering, Gene therapy, etc.
Bioenergy & Biomass ＆ Biogas, Artificial seed ＆ tree, Transgenic animal ＆ plant,
Resources Marine bioresources, etc.
Amino acid, Functional peptide ＆ protein, Functional lipid &
Biofoods
carbohydrate, Food additives ＆ enzymes, etc.
DNA chip, Protein chip, Lab on a Chip, Biosensors, Bio MEMS,
Bioelectronics
Bio devices, etc.
Bioprocess & Bioequipm Fermentation, Cell culture, Bioconversion, Separation ＆ Purification,
ent Formulation, Bioengineering, etc.
Bioevaluation & Bioinfor Safety evaluation, Efficacy evaluation, Biostandardization, Bioinformatics,
matics etc.
Source : Korea Institute for Industrial Economics & Trade(KIET), 2004
I. Fundamental Structure of Bioindustry in Korea 3
3. Government Role and R&D Investment
 Government Role
Government Role in Bioindustry

Department Main Role

Ministry of Commerce, Industry and Energy  Applied Biotechnologies and Industrialization

(MOCIE)  Development of Substitute Energy
Ministry of Science and Technology  Basic and Leading-edge Technologies
(MOST)  Promotion of Biotechnology-supporting Systems
Ministry of Education & Human Resources  Education
Development(MOE)  Assistance of Basic Researches on Life Science
Ministry of Health and Welfare  Development of New Biopharmaceuticals
(MOHW)  Clinical Trials & Regulations
Ministry of Agriculture & Forestry  Breeding Animals, Plants
(MAF)  New Food Additives
Ministry of Environment  Preservation and Use of Biodiversity
(ME)  Development of Wastes Treatment Technology
Ministry of Maritime & Fisheries  Conservation of Marine Resources
(MOMAF)  Gene Analysis of the Marine Species
Source : Biotechnology Promotion Law
I. Fundamental Structure of Bioindustry in Korea 4
3. Government Role and R&D Investment
 Government R&D Investment

Governmental
GovernmentalAgencies
Agencies
US$
US$450
450million
millionR&D
R&DInvestment
Investmentby
by77Ministries
Ministriesin
in2003
2003
US$
US$525
525million
millionR&D
R&DInvestment
Investmentby
by88Ministries
Ministriesin
in2004
2004

Industries
Industries Research
ResearchInstitutes
Institutes Academia
Academia
Bioindustry
BioindustryAssociation
Associationof
of KK Korea
KoreaResearch
ResearchInstitute
Instituteof
of Biotechnology-related
Biotechnology-related
orea
orea Bioscience
Bioscienceand
andBiotechnology
Biotechnology Departments
DepartmentsininUniversities
Universities
Korea
KoreaBiotechnology
Biotechnology Resear
Resear POSTECH
POSTECHBiotech
BiotechCenter
Center University-associated
University-associated
ch Association
ch Association Research
ResearchInstitutes
Institutes
Biocluster
Biocluster: :Bio
BioVenture
VentureCen
Cen
Korea
KoreaBio
BioVenture
Venture Associati
Associati ter & New Region Promotion
ter & New Region Promotion Science
Science&&Engineering
Engineering
on
on Business
Business Research Centers
Research Centers
Biotech
BiotechInstitutes
InstitutesininPrivate
PrivateCC Other
OtherGovernmental
Governmentalor orPubli
Publi Biotechnology-related
Biotechnology-related
ompanies
ompanies ccResearch Institutes
Research Institutes Societies
Societies
I. Fundamental Structure of Bioindustry in Korea 5
4. Journal & Patent
 Case published in the Journals listed by SCI

500 498
450 445
400 394
350
SCI(Case)

300 300 308

250 246
200
150
120
100
55 69
50 43
0
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000
Year
Source : Ministry of Science and Technology(MOST), Biotechnology in Korea
I. Fundamental Structure of Bioindustry in Korea 6
4. Journal & Patent
 Patent registration to the US PTO

30
26
25
23
20
Patent

15 15
13
10 10
7 6
5
3
0
1994 1995 1996 1997 1998 1999 2000 2001

Year
Source : Ministry of Science and Technology(MOST), Biotechnology in Korea
I. Fundamental Structure of Bioindustry in Korea 7
5. Driving System
 Government

 Ministry of Commerce, Industry and Energy(MOCIE)

 Biotechnology & Chemicals Industries Division
 Ministry of Science and Technology(MOST)
 Biotech and Environmental Technology Division
 Ministry of Education & Human Resources Development(MOE)
 Ministry of Agriculture & Forestry(MAF)
 Ministry of Health and Welfare(MOHW)
 Ministry of Environment(ME)
 Ministry of Maritime Affairs & Fisheries(MOMAF)

 Korean Intellectual Property Office(KIPO)

 Genetic Engineering Examination Division
 Korea Food & Drug Administration(KFDA)
 Safety Evaluation Office
I. Fundamental Structure of Bioindustry in Korea 8
5. Driving System
 Academia

 Biotechnology-related Departments were set up in around 40 Universities

 College of Science 60%, College of Agriculture 25%, College of Engineering 15%
 30 University-associated Research Institutes on the Genetic Engineering were established
 Institute of Molecular Biology and Genetics, Seoul National University, etc.
 Science Research Center(SRC) & Engineering Research Center(ERC)
 Over 20 Centers in Biotechnology Area in the Universities
 Seoul National University, Korea University, KAIST, etc.
 Biotechnology-related Societies are Working on
 Korean Society for Biotechnology and Bioengineering(KSBB)
 Korean Institute of Chemical Engineering / Division of Biochemical Engineering, etc.
I. Fundamental Structure of Bioindustry in Korea 9
5. Driving System
 Research Institutes
 Biotechnology-dedicated Research Institutes

Bio-MAX Institute, Seoul National University

 SNU Bio-MAX Institute is a research organization established in 2003 with a support from MOCIE
to carry out innovative projects in a multidisciplinary environment

Korea Research Institute of Bioscience and Biotechnology(KRIBB)

 Korea Research Institute of Bioscience and Biotechnology(KRIBB) is the only government research
institute dedicated to biotechnology research across a broad span of expertise, from basic studies
for the fundamental understanding of life phenomena to applied studies, established in 1985

MOGAM Biotechnology Institute

 MOGAM Biotechnology Institute is one of the best private research institutes established in 1984
on the promotions of the research and development in the field of Biopharmaceuticals
I. Fundamental Structure of Bioindustry in Korea 10
5. Driving System
 Research Institutes
 Biocluster
Bio Venture Center(9)
 Biotechnology Innovation Center, Chuncheon
 Bio Venture Center, Daejeon
 Center for Biotechnology and Bioventure,
Jeonbuk
 Bio21 Center, Kyungnam
 Biotechnology Industrialization Center,
Dongshin University
 Biotechnology Innovation Center,
Youngdong University
 Technology Innovation Center,
Sangju National University
 Bioindustry Development Center, Jeju
 Marine Biotechnology Center for Functional
Material Industry, Busan
New Region Promotion Business(15)
 Bio Venture Town, Daejeon
 Bio Venture Plaza, Chuncheon
 Institute for Marine Bioindustry, Gangneung
 Biotechnology Center for Bioindustry, Jeonnam
 Biotechnology Research Center, Jeonnam
 Biohealth Industry Support Center, Kyungbuk
 Bioscience Park, Jeju
 Traditional Pharmaceutical R&D Center, Chungbuk
 Animal Resources Support Center, Chungnam
 Healthcare Industry Center, Chungbuk
 Marinebio Enviromental Industry Center, Kyungbuk
 Biomaterial Industrialization Center, Daegu
 Herb Medicine Support Center, Daegu
 Bio Venture Plaza, Kyungnam
 Bio-Industry Support Center, Busan
I. Fundamental Structure of Bioindustry in Korea 11
5. Driving System
 Research Institutes
 Biotechnology-related Research Institutes

Government-donated Research Institutes

 Korea Institute of Science and Technology(KIST)
 Korea Tomorrow & Good Research Institute(KTGRI)
 Korea Food Research Institute(KFRI)
 Korea Institute of Toxicology(KIT)
 Korea Biotechnology Commercialization Center(KBCC)
 Korea Institute of Energy Research(KIER)
 Korea Ocean Research & Development Institute(KORDI)

National and Public Research Institutes

 Korean Agency for Technology and Standards(ATS)
 National Institute of Health(NIH)
 National Institute of Environmental Research(NIER)
 National Institute of Agricultural Science and Technology(NIAST)
 Korea Forest Research Institute(KFRI)
 National Veterinary Research and Quarantine Service(NVRQS)
 National Fisheries Research and Development Institute(NFRDI)
 National Institute of Scientific Investigation(NISI)
I. Fundamental Structure of Bioindustry in Korea 12
5. Driving System
 Research Institutes
 Others

Private Research Institutes

 Asan Institute for Life Science
 Samsumg Bioscience Research Institute

Research Institutes on Bioinformatics

 Korea Institute of Science and Technology Information(KISTI)
 Agriculture and Life Science Research Center, Seoul National University
 Biological Research Information Center(BRIC), Pohang University of Science and Technology

Microorganism Depository Organizations

 Korean Collection for Type Cultures(KCTC)
 Korean Culture Center of Microorganisms(KCCM)
 Korean Cell Line Research Foundation
I. Fundamental Structure of Bioindustry in Korea 13
5. Driving Systems
 Industry Organizations

Bioindustry Association of Korea(BAK)

 Industrial Organization established as an affiliated Organization of Ministry of Commerce,
Industry and Energy(MOCIE) in 1991 for the Purpose of the Development and Growth of
Bioindustry in Korea
 Main Activities
- Formation of Bioindustry Platform
- International Cooperation in Bioindustry
 Members : General(Company : 60), Associate(Organization : 19, Individual : 110)

The Korea Biotechnology Research Association(KBRA)

 Research Association established as an affiliated Organization of Ministry of Science and
Technology(MOST) in 1982 for the Purpose of the Support on the Development of Biotechnology

Korea Bio Venture Association(KOBIOVEN)

 Bioventure Organization established as an affiliated one of Ministry of Commerce,
Industry and Energy(MOCIE) in 2000
II. New Breakthrough of Bioindustry in Korea 14
1. Vision for BioSociety and Goal of Bioindustry
 Vision for BioSociety

 Transformation to BioSociety where the Bio-Products and Services are

just on Your Hands
 The Coming BioSociety after the Bio-Revolution of 21C through the Fusion of
Biotechnology(BT) and Information Technology(IT)

Remaking the World From Alchemy to Algeny Transforming Ourselves

 Impact of Bioindustry

 The Core Contributor in Korea Economy in 21C

 The paradigm shift in economy from mass assembly industry to knowledge based industry
II. New Breakthrough of Bioindustry in Korea 15
1. Vision for BioSociety and Goal of Bioindustry
 Vision for Bioindustry

 Settlement as Growth Engine Industry for Next generation

- Industrialization as the main force in Post-IT era

 Commercialization of Export-driven Bio-Product

- Marketing of New Bio-Product in advanced countries
- Globalization of Korean traditional Bio-Products

Export : US$ 0.7 billion(2002)  US$ 10 billion(2012)

Targeting 10% of share in Global Market
II. New Breakthrough of Bioindustry in Korea 16
2. Basic Direction of Bioindustry Policy

Creation of BioSociety for the 21st Century

Wealthy Healthy Clean
BioSociety BioSociety BioSociety

Growth of Bioindustry
 Intensive Promotion of Bioindustry as a National Strategic Industry
 Active Lead toward Development of Bioindustry

Bioindustry Development Strategy 2005

3 Goals : 12 Programmes :
R&D, Infra, Business Environment Bio-Star Project, Biocluster, etc.
II. New Breakthrough of Bioindustry in Korea 17
3. Strengthening Strategy of Competitiveness on Bioindustry

 Development of Core Technology

- Technology for Mid-term & Next generation
Development of
 Growth Engine Industry for Next generation
Core Technology - New Bio-Drug / Artificial Organ, Bio-Chip
& Bio-Product
 Bio-Star Project
- Innovative Biotechnology & Bio-Product

 Establishment of Bio-product Manufacturing

- International authorization of GLP System
Expansion of - Establishment of GCP system for Functional Active Compound
- Expansion of cGMP and Improvement of Management
Industrialization
Infrastructure  Implementation of LMOs
- Biosafety Information Center
- Foundation of Bio-hazard Evaluation Center
II. New Breakthrough of Bioindustry in Korea 18
3. Strengthening Strategy of Competitiveness on Bioindustry

 Activation of Biocluster
- Construction of Korea Bio-Hub
- Strengthening of existing Biocluster
Strengthening - Promotion of using Micro-biochip production platform
- Establishment of platform for supporting Industrialization of
& Promoting BIT technology
of Biocluster
 Construction of Complex
- Advanced Biopharmaceutical production complex
- Bulk Vaccine production complex

 Establishment of Investment / Consulting Company

- Participation from public company, private & foreign companies
- Support of long-term investment
Promoting
Global  Joint R&D with Foreign Countries
Network  Training International Standard Specialist

 Networking among Domestic & Foreign association, companies

and government
II. New Breakthrough of Bioindustry in Korea 19
4. What We Focus On
 Mid-term & Next Generation Project

 Development of Therapeutic Protein by Animal Cell Culture

 Development of Biomaterial by Intelligence-type Bioinformatics
 Development of Gene Therapy for Incurable Diseases
 Mass Production of Protein-DNA chip System
 Development of High Value Added Protein

 Growth Engine Project : New Bio-Drug / Artificial Organ & Bio-Chip

 Immunomodulator
 Drug Delivery System
 Gene Therapy
 Cell Therapy
 cGMP Technology
III. Current Status of Bioindustry in Korea 20
1. Category of Companies
 Types of Companies
 No. of Companies in 2003 : 605
 No. of Companies on both R&D and Sales of Bio-Products : 432
 No. of Companies focusing on R&D : 173

Types of Bioindustry Companies in 2003

Types of Companies No. of Companies

Companies focusing on R&D 173

Companies working on R&D and Sales of Bio-Products 432
- Domestic Products (387)
- Imported Products (45)
Source : Korean Agency for Technology & Standards, Korea Institute for Industrial Economics & Trade,
Bioindustry Association of Korea, 2004

 2004
 No. of Companies in Bioindustry : About 600
III. Current Status of Bioindustry in Korea 21
1. Category of Companies
 Company Group

Large
Large Above
Above30
30Companies
Companies
Size
Size LGLS,
LGLS,CJ,
CJ,Daesang,
Daesang,TS
TSCorporation,
Corporation,etc.
etc.
Group Operating
Operatingthe
thefully
fullyIntegrated
IntegratedSystem
Systemon
onR&D,
R&D,Production,
Production,Marketing
Marketing
Group

Middle
Middle Above
Above70
70Companies
Companies
Size
Size Dong-A
Dong-APharm.,
Pharm.,Chong
ChongKun
KunDang,
Dang,Green
GreenCross,
Cross,Daewoong,
Daewoong,etc.
etc.
Group Focused
Focusedon
onthe
theCompetitive
CompetitiveCore
CoreProducts
Products
Group

Small
Small Above
Above500
500Companies
Companies
Size
Size&& Dong
DongKook
KookPharm.,
Pharm.,Bioneer,
Bioneer,Macrogen,
Macrogen,KoBioTech,
KoBioTech,etc.
etc.
Venture
Venture
Group Individually
Individuallyconcentrated
concentratedon
onthe
theNiche
NicheFields
FieldsofofR&D,
R&D,Production
Productionand
andMarketing
Marketing
Group
III. Current Status of Bioindustry in Korea 22
2. Manpower of Companies
 2003
 Total : 11,013
 R&D Area : 5,808(53%)
 Manufacturing Area : 5,205(47%)

Manpower of Bioindustry in 2003

Ph.D. M.S. B.S. Technician Total

R&D 1,001 2,654 1,593 560 5,808

Manufacturing 35 363 1,405 3,402 5,205

Total 1,036 3,017 2,998 3,962 11,013

Source : Korean Agency for Technology & Standards, Korea Institute for Industrial Economics & Trade,
Bioindustry Association of Korea, 2004

 2004 : About 13,000

III. Current Status of Bioindustry in Korea 23
3. Market Size
 2003 : US$ 1,332 million
 Biopharmaceuticals 61%, Non-biopharmaceuticals 39%
 Domestic Products 68%, Imported Products 32%
Bioindustry Market Size in 2003
(Unit : US$ million)
Area Domestic Products Imported Products
Biopharmaceuticals 545 267
Biofoods 148 1
Biochemicals 65 35
Bioenvironments 76 -
Bioenergy ＆ Resources 11 2
Bioprocess & Bioequipment 26 122
Bioelectronics & Bioinformatics 33 1
904 428
Total
1,332
Source : Korean Agency for Technology & Standards, Korea Institute for Industrial Economics & Trade,
Bioindustry Association of Korea, 2004

 2004 : About US$ 1,701 million

III. Current Status of Bioindustry in Korea 24
4. Example of Bio-products

 Examples of Domestic Products  Examples of Imported Products

 Human Growth Hormone  Insulin

 Vaccines : Hepatitis B Vaccine, etc.  Human Growth Hormone

 α-Interferon, γ-Interferon  α-Interferon, β-Interferon

 Antibiotics : 7-ACA, etc.  Vaccines : Influenza, etc.

 Diagnostic Kits  Erythropoietin

 Amino Acids : Lysine, etc.  Diagnostic Kits

 Oligosaccharides  Equipments : Bioprocess, etc.

 Microbial Agents  Industrial Enzymes

III. Current Status of Bioindustry in Korea 25
5. Trend of Technology Development

 Upstream Technology : Well Developed

 Recombinant DNA Technology, Cell Fusion Technology, etc.
 Downstream Technology
Technology
 Fermentation : Well Developed
Level  Animal & Plant Cell Culture, Separation & Purification, etc. : Improving
 Emerging Technology : Early Stage
 Genomics, Proteomics, Bioinformatics, etc.

 Use of Established Biotechnology

 Improvement of level on Bioprocess Technology
Trend of  Development of Post genomics-related New Technology
Technology
 Industrialization of Improved and New Bio-products
Development
 Improved Bio-product
 New Bio-product
III. Current Status of Bioindustry in Korea 26

6. Investment by Major Corporates

Company
Company Investment
Investmentto
toBiotech
Biotech
Samsung
Samsung US$
US$230
230million
millionby
by2004
2004

SK
SK US$
US$32
32million
millioninin2001,
2001,domestic
domesticand
andoversea
overseainvestment
investment

LGLS
LGLS US$
US$85
85million
milliontotoBiotech,
Biotech,30
30million
milliontotoBiotech
BiotechVentures
Ventures

Daesang
Daesang US$
US$155
155million
millionby
by2004
2004

CJ
CJ US$
US$230
230million
millionby
by2003
2003

Green
GreenCross
Cross US$
US$100
100million
millionby
by2005
2005

ISU
ISUChemical
Chemical US$
US$115
115million
millionby
by 2006
2006

DooSan
DooSan US$
US$77
77million
millionby
by2004
2004
III. Current Status of Bioindustry in Korea 27

7. Industrialization by Major Corporates

 Bio-Products of LG Life Science Ltd.
Approval
No. Product Application
Date
Intermax gamma
1 Chronic myelogeneous leukemia(CML), Rheumatoid arthritis(RA) 1989
Injection
Euvax B Injectio
2 Immunization against infection caused by all known subtypes of hepatitis B virus 1992
n
Intermax alpha I Multiple myeloma , Renal cell carcinoma, Malignant melanoma, Kaposi's sarcoma in patie
3 1992
njection nts with AIDS, Hairy cell leukemia, Improvement of viremia in chronic hepatitis B, etc.
Eutropin Injectio
4 Short stature due to GHD, Short stature due to Turner's syndrome 1993
n
Sustained-release(SR) formulation of recombinant Bovine Somatotropin(rBST) for increa
5 Boostin 1994
sing milk production in lactating dairy cows.
Leucogen Injecti Neutropenia due to chemotheraphy in patients with solid tumor, Neutropenia after bone
6 1995
on marrow transplantation(BMT)

7 HCD ELISA kit for the detection of Ab against hepatitis C virus 1995

Hyal 2000 Injecti Hyal 2000 Inj. is used during surgical procedures on the eyes, for example, cataract (intra
8 1997
on ocular lens implantation), keratotransplantation, glaucoma, etc.
Hyruan™ Injecti
9 Deformative osteoarthritis of the knees, Shoulder periarthritis 1998
on
Espogen Injectio
10 Anemia in patients with chronic renal failure 1999
n
LG Malaria
11 ELISA kit for the detection of Ab against Plasmodium vivax 2000
anti-P.V.
III. Current Status of Bioindustry in Korea 28

7. Industrialization by Major Corporates

 Sales of LG Life Science Ltd. from Main Bio-Products in 2003
Sales
Euvax B Immunization against infection diseases caused by $ 29 mil.
Injection subtypes of hepatitis B virus

Eutropin Inject Short stature due to GHD or due to Tuner’s

syndrome
$ 19 mil.
ion

Sustained-release(SR) formulation of recombinant

Boostin Bovine Somatotropin(rBST) for inducing increased $ 8 mil.
milk production in dairy cows.

Espogen Injec
Anemia in patients with chronic renal failure
$ 8 mil.
tion

Hyruan™ Injec Deformative osteoarthritis of the knees or shoulder $ 6 mil.

tion periarthritis
III. Current Status of Bioindustry in Korea 29

7. Industrialization by Major Corporates

 Bio-Products of CJ Corp.
No. Product Application

1 7-ACA Intermediate for cephalosporins

2 Hepaccine-B Hepatitis B vaccine

Treatment for the infection due to staphylococci and skin structure infections,
3 Vancomycin
etc.

4 Epokine Treatment of anemia associated with chronic renal failure

Treatment of multiple myeloma, malignant melanoma, Kaposi's sarcoma, hairy

5 Alphaferon
cell leukemia, and chronic hepatitis B viremia

6 Serratiopeptidase A proteolytic enzyme derived from Serratia spp

7 G-CSF Therapeutics of Neutropenia

8 Lysine Feed Additives

9 Nucleic Acid Food Additives

III. Current Status of Bioindustry in Korea 30

7. Industrialization by Major Corporates

 Sales of CJ Corporation from Main Bio-Products in 2003
Sales
$ 256 mil.

 
Lysine Feed additives

Nucleic Acid Food additives $ 128 mil.

                                                                                                                       
7-ACA Intermediate for cephalosporins. $ 27
mil.
Treatment of anemia associated with chronic renal $ 22
Epokine failure
mil.

Vancomycin
Treatment for the infection due to staphylococci $ 8 mil.
and skin structure infections, etc.
III. Current Status of Bioindustry in Korea 31

7. Industrialization by Major Corporates

 Bio-Products of Dong-A Pharmaceutical Co., Ltd.

Approval
No. Product Application
Date

1 ADM Anti-cancer 1988

2 Vaxigrip Influenza vaccine 1989

3 Dong-A Prostin Injection Chronic Arterial Scleosis 1993

4 Leucostim Injection Human granulocyte-colony stimulating factor 1995

Dong-A Interferon alpha-2 Multiple myeloma, Malignant melanoma, Kaposi's sarco

5 1996
Injection ma, Hairy cell leukemia, etc.

6 Growtropin Human growth hormone 1999

7 Eporon Injection Treatment of Anemia 1999

Dong-A Syphilis, HCV, HBsA Anti-Treponema pallidum Diagnostic Kit, Diagnosis of Hepatitis C, B,
8
g ELISA, AIDSDIA Diagnosis of HIV
III. Current Status of Bioindustry in Korea 32

7. Industrialization by Major Corporates

 Sales of Dong-A Pharmaceutical Co., Ltd. from Main Bio-Products in 2003
Sales

    
Growtropin Human growth hormone $ 9 mil.

Vaxigrip Influenza vaccine $ 7 mil.

Eporon Injecti $ 5 mil.

                                                                                                                       
Treatment of anemia
on

Leucostim Inje                                                                                

                                                           

ction
Human granulocyte-colony stimulating factor $ 4 mil.
    

Beszyme Tab Treatment of Indigestion and dyspepsia $ 4 mil.

III. Current Status of Bioindustry in Korea 33

8. Launching Trend of New Bio-Product

 Cell & Tissue Therapy

Products Companies Application

SureDerm™ Acellular human dermis for the repair

(approved in 200 Hans Biomed
0) or replacement of damaged tissue.

Chondron Cellontech
Autologous chondrocyte
(approved in 2001) transplantation(ACT)

Holoderm Tego Science

Cultured epidermal autograft
(approved in 2002) (CEA)
III. Current Status of Bioindustry in Korea 34

8. Launching Trend of New Bio-Product

 Bio-Chip

My HPV Chip
(approved in 2004)

 MyGene Inc.
 Detection of Human Papillomavirus(HPV)
 High sensitivity and specificity for the detection
of cervical disease in early stage
 Minimal specimen preparation required
 Cost effective and user-friendly test

HPVDNAChip
(approved in 2004)

 Biomedlab Co.
 Detection of Human Papillomavirus(HPV)
 Accurate risk determination by genotype
information
 Assist diagnosis or prognosis of cervical cancers
 Useful in vaccine development and evaluation
III. Current Status of Bioindustry in Korea 35
9. SWOT of the Korean Bioindustry
Strength
• International Level of IT Technology
• Enthusiasm to Education
• Strong Driving Policy of Government
Opportunity
• Narrow gap in the Potential of Korea with Advanced Countries
• Innumerable fields to be Investigated
• Increase of the interests in Bioindustry among Koreans
Weakness
• Inferior in Technology Competitiveness
• Far behind level in Industrial Infrastructures
• Insufficient Investment
Threat
• Spread of the Anxiety on Bio-Products
• Monopoly of the Patents and IPR by a limited no. of Countries
• Speedy of Technology Development
III. Current Status of Bioindustry in Korea 36
10. Strengths and Challenges
Strengths Challenges

 Amino Acid & Food Additives  Stem Cell R&D

 Amino Acid : Lysine, etc.  Embryo Originated Stem Cell
 Food Additives : Nucleic Acid, etc.  Cloned cow, dog
 Development of mini pig

 Biopharmaceuticals
 Antibiotics : 7-ACA, etc.  BIT
 Gene Drug : Hepatitis B Vaccine, etc  Biochip, etc.
IV. Future of Korean Bioindustry 37
1. Prospect for the Future

Creation of BioSociety for the 21st Century

Wealthy Healthy Clean
BioSociety BioSociety BioSociety

Ready for BioSociety

Growth of Bioindustry

Intensive Promotion Active Lead

Enhancement of
of Bioindustry toward Development
International Cooperation
as a National & Enlargement
with China, etc.
Strategic Industry of Bioindustry
IV. Future of Korean Bioindustry 38
2. Strategy for the Future
 Strong Support Policy by Government
  Securing the Research Manpower by Education and Training
  Support to Build-up of t Infrastructures for Research and
     Commercialization
 Increase of R&D Investment
 Encouragement of Industry / Academia Cooperation
  Formulation of Consortium System by Bio-companies
 Encouragement of International Cooperation
 Support to Venture Capitals + Industries
 Support to Bioclusters