Biotechnology Sector in the Czech Republic: Impressive History, Promising Future
2008/04/08,
Biotechnologies comprise a field that has become increasingly prominent over the past decade while bringing forth possible applications in a wide range of other, related sectors such as healthcare, agriculture and industry. Conscious of this development, the Czech Republic, through a Government Decree in 2005, set molecular genetics and biotechnologies among the priority areas in the long-term, fundamental direction of research. The Czech Republic can be ranked among those countries where public opinion has not historically been against the introduction of modern biotechnologies into practice and it is one of five European countries that are authorised to cultivate GMO crops for food production. Some trends toward biotechnological production began here as early as in the 1980s. The general population, even in the area of food production, accepts the results of biotechnological research relatively favourably.
Modern biology is closely tied to the work of two imminent Czech biologists. One of them, Jan Evangelista Purkyně, was the founder of embryology and the author of a pioneering work on cell theory. The other, Gregor Mendel, is often referred to as the father of genetics due to his famous study of the inheritance of traits in pea plants. In the modern era, other renowned Czech scientists have built on the successes of their forebears. Otto Wichterle was a macromolecular chemist and founder of the Institute of Macromolecular Chemistry of the Czechoslovak Academy of Science. His most important inventions include silon, an artificial polyamide fibre, hydrogel and soft contact lenses. Dr. Milan Hašek, a former director of the Institute of Experimental Biology and Genetics of the Czechoslovak Academy of Sciences, was the co-discoverer of vegetative hybridisation, which is often also referred to as immunological tolerance. In 2003, scientists at the Institute of Experimental Medicine of the Academy of Sciences in Brno succeed in extracting and keeping alive embryonic stem cells from four-day-old human embryos. These scientists thus created a new technology, which they patented, and joined the ranks of only a few scientific teams in the world that have managed this feat. It is also worth mentioning the results achieved by Czech scientists working outside the Czech Republic, one of which was the explanation of cellular anti-cancer mechanisms by a team of researchers under Jiří Bártek and Jiří Lukáš in Denmark in 2005.
The Czech Republic has a well-establish and very strong network of research institutes. At the end of 2007, the country had 308 biotechnology research entities, based mainly in the Prague region (47%) and in the South Moravia region (22%). The majority of the research facilities belong either to the Academy of Sciences of the Czech Republic, to universities or to the Ministry of Health. The main centres of biotechnology, molecular biology and pharmaceutical research and development in the Czech Republic are located in Prague and other large cities with universities such as Olomouc, Hradec Králové, Plzeň, České Budějovice and Brno. Brno has a strong tradition in the medical sector and is especially well-known for cardiovascular and cancer research. Brno is developing into a serious hub of biotech companies also because of its good infrastructure, strong network of universities and research institutes, and encouragement from the local government. An example of this cooperation is the MediPark project of Masaryk University in Brno and the South Moravia region. The project is intended to support the creation of incubators and spin-off centres as well as to attract existing biotechnology investors to the region. The new campus will serve the fields of medicine, chemistry, biology and sport, while an additional 15 hectares are being developed to host commercial partners. “The vision of Masaryk University has been to concentrate all areas of research and education in health sciences on a state-of-the-art campus in order to provide a setting for spin-offs in the very same location,” says Jan Slovak, vice-rector for strategy and development at Masaryk University in Brno. The university’s Morphological Centre and a large research and teaching hospital have already been built. The integrated labs for biomedical and environmental technologies were opened in 2005.
Another example of an excellent research facility in Brno is the International Clinical Research Center (ICRC), a joint project of Saint Anne’s University Hospital Brno and the Mayo Clinic based in the United States. The ongoing collaboration between Czech scientists and their counterparts at the Mayo Clinic has resulted in a clinical-research and education centre capable of significantly strengthening US-European collaboration in medical research and education, particularly in the areas of cardio- and neurovascular diseases, internal medicine, neurology and oncology.
Most basic biotechnology-oriented fields of study at universities arose prior to 2000, which reflects the advanced degree of the Czech Republic’s experience in this sector. The total number of university students in the Czech Republic was 294,082 in 2005. Approximately 56,777 students were enrolled in life-sciences universities with the corresponding output of 7,400 graduates per year. University professors and doctoral students are increasingly involved in both public- and private-sector research projects.
The development of human and veterinary pharmaceuticals, diagnostics, fermentation technologies, use of biotechnologies in liquidating waste and protecting the environment, and animal and plant biotechnologies are currently the most successful areas in which Czech biotechnology entities most intensively operate. Microbial and cellular biotechnology (33%) is the most common biotech sector in companies, whereas plant biotechnology (28%) is the most common among research entities. Each biotechnology sector is composed of sub-sectors. Czech biotech companies mostly use „Proteins and other molecules“ as a biotechnology technique, whereas research entities widely use „DNA/RNA“ technique. Nearly two-thirds of enterprises in the Czech biotechnology sector are companies with up to 20 employees, which is comparable with similar firms in other developed countries. The reason or this is particularly the fact that the biotechnology sector requires know-how rather than manual skills and numerous employees.
Nearly one hundred biotechnology-oriented firms were operating in the Czech Republic in 2007. Most of these companies are located in the Prague region (35%) and the South Moravia region (21%). Important biotechnology firms currently operating in the Czech Republic include EXBIO Praha and BioVendor, which developed – and were the first in the world to market – sHLA-G ELISA diagnostic kits, which increase the probability of success of artificial insemination from 29% to 70%. The company CPN, part of the Contipro Group, developed the wound-healing preparation Hyiodine, which is protected by a worldwide patent. Hyiodine can be used, for example, in healing massive infected wounds or in the treatment of venous ulcerations. Bioveta, Enantis, Generi Biotech, I.Q.A. and Vidia are among the country’s other successful biotechnology firms. The Czech Republic is also home to a number of waste-treatment firms, such as Dekonta, Earth Tech CZ, Biodegradace s.r.o. and LentiKats, to name just a few, that use methods based on biotechnological process. It can be expected that in future this area of biotechnology will be of great importance, as emphasis on environmental protection will only continue to grow.
That foreign biotechnology firms recognise the importance of having a presence in the Czech Republic and trust the skills of the local workforce is apparent in the relatively recent investments made by foreign pharmaceutical companies and independent investors. Companies such as Barr Pharmaceuticals (PLIVA-Lachema), Lonza Biotec, Baxter International, AstraZeneca, TEVA Pharmaceuticals, and Beckman Coulter (Immunotech) are developing their operations in the Czech Republic.
There are roughly ten large and 15 smaller pharmaceutical companies in the Czech Republic. The country’s biggest pharmaceutical producers are Zentiva, Ivax Pharmaceuticals, Farmak and Spofa, which mostly produce active pharmaceutical ingredients and generics. Some of the generics are versions of drugs created in-house with expired patent protection. Some of these large producers have extensive fermentation experience and have high-capacity fermenters. With the exception of Zentiva, no biotechnology-oriented Czech firms are listed on the stock market. Small and medium-sized biotechnology firms can find applications at various levels of new-drug development. Whereas only a limited number of large companies are end-producers, research is the domain of primarily small firms, which is also true abroad. The establishment of a high-quality biotechnology industry depends mainly on quality human resources including both skilled researchers and experienced managers that are able to oversee the entire enterprise.
In 2006, Contipro initiated the establishment of the Nanomedic medical-pharmaceutical cluster, which currently has 21 members and the aim of mutual cooperation in research and development, production and distribution of products in the area of preparations for wound-healing, replacement tissue, and preparations for targeted distribution of drugs and for gene therapy. Nanomedic’s vision for the future includes establishing a science and technology park.
Five start-up biotechnology firms are located in a building owned by VIDIA and EXBIO in a successfully operating, yet informal, business complex in Vestec u Prahy. These start-ups were established at the Institute of Molecular Genetics of the Academy of Science of the Czech Republic, with which they continue to cooperate.
The Regional Development Agency of South Moravia contributed support to the establishment of the CEITEC bioinformatics cluster. The aim of this project is to build a functioning commercial platform to complement the research environment. CEITEC currently associates 15 entities, including BioVendor, Enantis, the Biophysical Institute of the Academy of Sciences of the Czech Republic, the Faculty of Natural Sciences at Masaryk University and others.
The biotech cluster in South Bohemia around Nove Hrady (Centre of Biological Technologies) is also of great interest. This region has traditionally featured state-of-the-art institutes and companies focused on environmental and agricultural issues. This tradition is now developing into a technology platform with support from the University of South Bohemia, Institute of Physical Biology and other research institutes and private companies.
As its name implies, the Water Treatment Alliance is an association of companies operating in the area of water filtration and treatment. These companies offer their customers comprehensive solutions comprising technologies for water-treatment plants. The alliance’s members also include two universities that provide cooperation in the areas of technology transfer and research and development.
The unique Czech biotechnology website at www.gate2biotech.com is the main guidepost and information hub covering all activities in the biotechnology sector in the Czech Republic. The website is an ideal place for both companies and institutions to find Czech contract partners for manufacturing or research and development, and skilled labour, or just to get the latest news from the sector. The website is intended to provide an extensive overview of biotech companies, universities, institutions and academia in the country.
19th century Gregor Mendel formulates the laws of heredity
1907 Dr. Jan Jansky discovers the fourth blood type
1959 J. Heyrovsky receives the Nobel Prize for Polarography
1961 Otto Wichterle produces the first soft gel contact lenses
2001 The FDA approves the anti-AIDS drug Vistide, developed by Dr. Holy in Prague
2002 The FDA approves the hepatitis B drug Hepsera, also developed by Dr. Holy
2003 Isolation of a new line of embryonic stem cells
2004 Industrial production of nanofibrous non-woven materials
2004 The FDA approves the anti-AIDS drug Truvada, also developed by Dr. Holy
2005 Development of the ELISA diagnostic kit, which raises the likelihood of successful artificial insemination from 25-29% to 60-70%
2005 Czech scientists exploit nanoelements in order to treat cancer patients
Martin Partl, CzechInvest
Impressive History, Promising Future
Modern biology is closely tied to the work of two imminent Czech biologists. One of them, Jan Evangelista Purkyně, was the founder of embryology and the author of a pioneering work on cell theory. The other, Gregor Mendel, is often referred to as the father of genetics due to his famous study of the inheritance of traits in pea plants. In the modern era, other renowned Czech scientists have built on the successes of their forebears. Otto Wichterle was a macromolecular chemist and founder of the Institute of Macromolecular Chemistry of the Czechoslovak Academy of Science. His most important inventions include silon, an artificial polyamide fibre, hydrogel and soft contact lenses. Dr. Milan Hašek, a former director of the Institute of Experimental Biology and Genetics of the Czechoslovak Academy of Sciences, was the co-discoverer of vegetative hybridisation, which is often also referred to as immunological tolerance. In 2003, scientists at the Institute of Experimental Medicine of the Academy of Sciences in Brno succeed in extracting and keeping alive embryonic stem cells from four-day-old human embryos. These scientists thus created a new technology, which they patented, and joined the ranks of only a few scientific teams in the world that have managed this feat. It is also worth mentioning the results achieved by Czech scientists working outside the Czech Republic, one of which was the explanation of cellular anti-cancer mechanisms by a team of researchers under Jiří Bártek and Jiří Lukáš in Denmark in 2005.
Research and Development in the Biotech Sector
The Czech Republic has a well-establish and very strong network of research institutes. At the end of 2007, the country had 308 biotechnology research entities, based mainly in the Prague region (47%) and in the South Moravia region (22%). The majority of the research facilities belong either to the Academy of Sciences of the Czech Republic, to universities or to the Ministry of Health. The main centres of biotechnology, molecular biology and pharmaceutical research and development in the Czech Republic are located in Prague and other large cities with universities such as Olomouc, Hradec Králové, Plzeň, České Budějovice and Brno. Brno has a strong tradition in the medical sector and is especially well-known for cardiovascular and cancer research. Brno is developing into a serious hub of biotech companies also because of its good infrastructure, strong network of universities and research institutes, and encouragement from the local government. An example of this cooperation is the MediPark project of Masaryk University in Brno and the South Moravia region. The project is intended to support the creation of incubators and spin-off centres as well as to attract existing biotechnology investors to the region. The new campus will serve the fields of medicine, chemistry, biology and sport, while an additional 15 hectares are being developed to host commercial partners. “The vision of Masaryk University has been to concentrate all areas of research and education in health sciences on a state-of-the-art campus in order to provide a setting for spin-offs in the very same location,” says Jan Slovak, vice-rector for strategy and development at Masaryk University in Brno. The university’s Morphological Centre and a large research and teaching hospital have already been built. The integrated labs for biomedical and environmental technologies were opened in 2005.
Another example of an excellent research facility in Brno is the International Clinical Research Center (ICRC), a joint project of Saint Anne’s University Hospital Brno and the Mayo Clinic based in the United States. The ongoing collaboration between Czech scientists and their counterparts at the Mayo Clinic has resulted in a clinical-research and education centre capable of significantly strengthening US-European collaboration in medical research and education, particularly in the areas of cardio- and neurovascular diseases, internal medicine, neurology and oncology.
Most basic biotechnology-oriented fields of study at universities arose prior to 2000, which reflects the advanced degree of the Czech Republic’s experience in this sector. The total number of university students in the Czech Republic was 294,082 in 2005. Approximately 56,777 students were enrolled in life-sciences universities with the corresponding output of 7,400 graduates per year. University professors and doctoral students are increasingly involved in both public- and private-sector research projects.
Biotechnology and Pharmaceutical Companies Focus
The development of human and veterinary pharmaceuticals, diagnostics, fermentation technologies, use of biotechnologies in liquidating waste and protecting the environment, and animal and plant biotechnologies are currently the most successful areas in which Czech biotechnology entities most intensively operate. Microbial and cellular biotechnology (33%) is the most common biotech sector in companies, whereas plant biotechnology (28%) is the most common among research entities. Each biotechnology sector is composed of sub-sectors. Czech biotech companies mostly use „Proteins and other molecules“ as a biotechnology technique, whereas research entities widely use „DNA/RNA“ technique. Nearly two-thirds of enterprises in the Czech biotechnology sector are companies with up to 20 employees, which is comparable with similar firms in other developed countries. The reason or this is particularly the fact that the biotechnology sector requires know-how rather than manual skills and numerous employees.
Nearly one hundred biotechnology-oriented firms were operating in the Czech Republic in 2007. Most of these companies are located in the Prague region (35%) and the South Moravia region (21%). Important biotechnology firms currently operating in the Czech Republic include EXBIO Praha and BioVendor, which developed – and were the first in the world to market – sHLA-G ELISA diagnostic kits, which increase the probability of success of artificial insemination from 29% to 70%. The company CPN, part of the Contipro Group, developed the wound-healing preparation Hyiodine, which is protected by a worldwide patent. Hyiodine can be used, for example, in healing massive infected wounds or in the treatment of venous ulcerations. Bioveta, Enantis, Generi Biotech, I.Q.A. and Vidia are among the country’s other successful biotechnology firms. The Czech Republic is also home to a number of waste-treatment firms, such as Dekonta, Earth Tech CZ, Biodegradace s.r.o. and LentiKats, to name just a few, that use methods based on biotechnological process. It can be expected that in future this area of biotechnology will be of great importance, as emphasis on environmental protection will only continue to grow.
That foreign biotechnology firms recognise the importance of having a presence in the Czech Republic and trust the skills of the local workforce is apparent in the relatively recent investments made by foreign pharmaceutical companies and independent investors. Companies such as Barr Pharmaceuticals (PLIVA-Lachema), Lonza Biotec, Baxter International, AstraZeneca, TEVA Pharmaceuticals, and Beckman Coulter (Immunotech) are developing their operations in the Czech Republic.
There are roughly ten large and 15 smaller pharmaceutical companies in the Czech Republic. The country’s biggest pharmaceutical producers are Zentiva, Ivax Pharmaceuticals, Farmak and Spofa, which mostly produce active pharmaceutical ingredients and generics. Some of the generics are versions of drugs created in-house with expired patent protection. Some of these large producers have extensive fermentation experience and have high-capacity fermenters. With the exception of Zentiva, no biotechnology-oriented Czech firms are listed on the stock market. Small and medium-sized biotechnology firms can find applications at various levels of new-drug development. Whereas only a limited number of large companies are end-producers, research is the domain of primarily small firms, which is also true abroad. The establishment of a high-quality biotechnology industry depends mainly on quality human resources including both skilled researchers and experienced managers that are able to oversee the entire enterprise.
Successful Clusters
In 2006, Contipro initiated the establishment of the Nanomedic medical-pharmaceutical cluster, which currently has 21 members and the aim of mutual cooperation in research and development, production and distribution of products in the area of preparations for wound-healing, replacement tissue, and preparations for targeted distribution of drugs and for gene therapy. Nanomedic’s vision for the future includes establishing a science and technology park.
Five start-up biotechnology firms are located in a building owned by VIDIA and EXBIO in a successfully operating, yet informal, business complex in Vestec u Prahy. These start-ups were established at the Institute of Molecular Genetics of the Academy of Science of the Czech Republic, with which they continue to cooperate.
The Regional Development Agency of South Moravia contributed support to the establishment of the CEITEC bioinformatics cluster. The aim of this project is to build a functioning commercial platform to complement the research environment. CEITEC currently associates 15 entities, including BioVendor, Enantis, the Biophysical Institute of the Academy of Sciences of the Czech Republic, the Faculty of Natural Sciences at Masaryk University and others.
The biotech cluster in South Bohemia around Nove Hrady (Centre of Biological Technologies) is also of great interest. This region has traditionally featured state-of-the-art institutes and companies focused on environmental and agricultural issues. This tradition is now developing into a technology platform with support from the University of South Bohemia, Institute of Physical Biology and other research institutes and private companies.
As its name implies, the Water Treatment Alliance is an association of companies operating in the area of water filtration and treatment. These companies offer their customers comprehensive solutions comprising technologies for water-treatment plants. The alliance’s members also include two universities that provide cooperation in the areas of technology transfer and research and development.
Portal at www.gate2biotech.com
The unique Czech biotechnology website at www.gate2biotech.com is the main guidepost and information hub covering all activities in the biotechnology sector in the Czech Republic. The website is an ideal place for both companies and institutions to find Czech contract partners for manufacturing or research and development, and skilled labour, or just to get the latest news from the sector. The website is intended to provide an extensive overview of biotech companies, universities, institutions and academia in the country.
Inventions that have changed the world
19th century Gregor Mendel formulates the laws of heredity
1907 Dr. Jan Jansky discovers the fourth blood type
1959 J. Heyrovsky receives the Nobel Prize for Polarography
1961 Otto Wichterle produces the first soft gel contact lenses
2001 The FDA approves the anti-AIDS drug Vistide, developed by Dr. Holy in Prague
2002 The FDA approves the hepatitis B drug Hepsera, also developed by Dr. Holy
2003 Isolation of a new line of embryonic stem cells
2004 Industrial production of nanofibrous non-woven materials
2004 The FDA approves the anti-AIDS drug Truvada, also developed by Dr. Holy
2005 Development of the ELISA diagnostic kit, which raises the likelihood of successful artificial insemination from 25-29% to 60-70%
2005 Czech scientists exploit nanoelements in order to treat cancer patients
Martin Partl, CzechInvest