Shanghai launched the inaugural International Biopharma Industry Week from October 11 to 14 as it aims to build a world-class biopharmaceutical industry cluster in the city. The biopharma industry is expected to become a USD1.2 trillion business by 2025 and a key driver of what local authorities call “quality economic growth”. The 14th Five Year Plan (2021-25) period is a crucial stage for Shanghai to build a world-class biopharma industrial cluster, Mayor Gong Zheng said in addressing the opening ceremony. He called for advanced planning, a favorable system and policy support along with deepened resource integration to launch Shanghai to the forefront of the global biopharma industry. Through some 20 events, the Industry Week brought together global pharmaceutical firms, domestic start-ups, investment institutions and research entities to discuss the latest industry trends and opportunities for investment and cooperation. German pharmaceutical company Boehringer Ingelheim pledged to be a co-building partner of the cluster by adopting the contract development manufacturing model, a common way to outsource drug development and manufacturing.
“A healthy contract development manufacturing organization (CDMO) can help multinational pharma companies manufacture innovative medicines on a local basis, which will bring enormous benefits in terms of accessibility and affordability for Chinese patients,” Felix Gutsche, President and CEO of Boehringer Ingelheim China, said in a keynote speech. The key to building a leading industry cluster lies in originality and innovation, said Li Jia, Dean of the Shanghai Institute of Materia Medica at the Chinese Academy of Sciences (CAS). Laekna Therapeutics, a startup focusing on developing therapies to treat cancer and liver diseases, is expected to submit its first new drug application in the near future in both China and the United States, said Chris Lu, Laekna’s Founder and CEO. “We’ve already noticed this policy shift from ‘license-in’ and repeated development to favoring indigenous innovation and R&D capabilities,” said Lu, who had been engaged in the Chinese and U.S. biopharma markets before starting the business in Shanghai. “We are aiming for first-in-class and best-in-class drugs.” Lu said he is heartened to be able to attend such a high-profile conference at home without the hassle of long distance travel.
Shanghai is now home to 18 of the top 20 global pharmaceutical companies and 17 of the top 20 medical equipment companies. They have flocked to Shanghai to set up their China headquarters, R&D centers or manufacturing bases, according to the Shanghai Municipal Commission of Economy and Informatization. To become a top biopharma hub, it is crucial to have this “cluster and density of customers and solution providers”, said Thomas Herget, Director of China and Silicon Valley Innovation Hubs at Merck, which opened its Merck Shanghai Innovation Base last week. Shanghai’s biopharma market size reached CNY350 billion in the first half, up 22.8% year-on-year, the China Daily reports.
