Senator Kim Carr, Minister for Innovation, Industry, Science and Research, today formally announced that Dr Brian McNamee, the Chief Executive Officer of Australia's largest pharmaceuticals company CSL, will head the recently announced Pharmaceuticals Industry Strategy Group.
The Minister also released the terms of reference for the Strategy Group, which will develop a plan to attract investment in R&D, clinical trials and manufacturing activity in Australia.
"The Strategy Group will examine the drivers and barriers to attracting new internationally competitive and sustainable manufacturing and R&D investment in the pharmaceuticals sector. It will present a draft report to me by September and a final report by the end of the year.
"The environment the pharmaceuticals industry operates in has changed dramatically over the last decade. We need a full and frank assessment of the opportunities and challenges facing the sector," Senator Carr said.
"Key industry and union leaders will work with the Government to develop the strengths that Australia has already carved out in early-stage clinical trials and specialised manufacturing.
"It is imperative that industry, workers and government join together to create an operating environment where it makes good business sense for international firms to invest in Australia."
Dr Brian McNamee is well known and well respected for his role in turning CSL into a globally significant pharmaceuticals company.
Members of the Strategy Group will be drawn from all segments of the bio-pharmaceuticals value chain, with leaders from the pharmaceuticals, biotechnology and generic medicines industry asked to participate, along with union representatives. The chief executives of Medicines Australia, AusBiotech and the Generics Medicines Industry of Australia will be members of the Group.
Mr Craig Pennifold, Head of Innovation Division, Department of Innovation, Industry, Science and Research will co-chair the Strategy Group.
Terms of Reference for the Strategy Group are attached.
Media Contact: Catriona Jackson, Minister's Office, 0417 142 238
Terms of Reference for the Pharmaceuticals Industry Strategy Group
The Minister for Innovation, Industry, Science and Research has commissioned the Pharmaceuticals Industry Strategy Group (PISG) to develop a strategic plan to increase investment in pharmaceuticals research and development (R&D) and manufacturing in Australia over the next decade.
The Australian pharmaceuticals industry is defined as all those who contribute to the discovery, creation and supply of pharmaceutical products and services, including prescription medicines and vaccines. It covers from research through clinical trials, to manufacturing of pharmaceuticals. It includes the originator medicine sector, the generic medicine sector and the medical biotechnology sector.
The pharmaceuticals industry is highly globalised and is undergoing a period of global rationalisation that will impact on the sustainability of the Australian industry.
The Pharmaceuticals Industry Strategy Group (PISG) will:
1. Examine the drivers and barriers to increasing productive investment in R&D, clinical trials and manufacturing activity in Australia. In doing so, the PISG can take into account the impact of, but is not required to report on, regulatory and reimbursement systems such as the Therapeutic Goods Administration and the Pharmaceutical Benefits Scheme.
2. Identify strategies to overcome the impediments and capitalise on the opportunities to attract investment in R&D, clinical trials and manufacturing activity in Australia that:
a) Builds on Australia's competitive strengths;
b) Identifies the actions that industry and Government should take to:
i) Increase manufacturing activity and investment in manufacturing infrastructure; and
ii) Increase R&D activity and investment in R&D infrastructure;
c) Provides a well reasoned business case (consistent with the principles of appropriateness, effectiveness, efficiency, integration, performance assessment and strategic policy alignment) for how any proposed actions will attract new, internationally competitive and sustainable R&D, clinical trials and manufacturing investment to Australia together with an implementation timetable and key performance indicators; and
d) Explains how the actions would make a net economic and/or social contribution to Australia by 2020.
3. Report to the Minister for Innovation, Industry, Science and Research with a draft directions paper by 30 September 2008 and a final report by the end of December 2008.