Austria as a location is experiencing a real boom in the biotech, pharmaceutical and medtech industries. This emerges from the current Life Science Report Austria. The reason for this is, among other things, the effective state support system for innovative companies and last but not least a stable and long-term research policy.
The report presented on October 18 shows that the life sciences industry has grown strongly in recent years. Since 2018, the number of companies in biotechnology, pharmaceuticals and medical technology has risen to almost 1,000, 5,000 new jobs were created in these three years and the companies generated record sales of 25.1 billion euros.
The Federal Minister for Digitization and Business Location, Margarete Schramböck, explained at the presentation of the study: “Austria should become the pharmacy of Europe. That’s why we have also placed a focus on the life science sector in the budget and will invest a further 100 million euros in the expansion of the life science location in Austria over the next two years!” The pandemic has shown how important production and The minister went on to say that there was security of supply with medicines.
All the signs of the individual data examined show significant growth compared to the last study from 2018: the number of companies has increased by 7%, sales have grown by 12%, the number of employees has increased by 9% to a new value of around 60,000. The Federal Minister also pointed out some differences to Germany. In Austria, for example, there is a greater increase in the number of company start-ups (+19%) than in the neighboring republic (there +14%), and Austria uses a larger per capita amount for research, namely 33 euros compared to Germany (there 26 euros per inhabitants) and will also expressly focus on the life sciences in a “Strategy 2040” on Austria as a location, which is currently being worked on. The aim must be to cover the life sciences value chain as well as possible in the country or together with European neighbors in order to “become more independent”, said Minister Schramböck.
At the event, the General Manager of Boehringer Ingelheim in Austria, Philipp von Lattorff, emphasized the company’s decades-long support for Austria as a business location. He referred to the opening of a large new pharmaceutical production facility near Vienna – with an investment of almost one billion euros, it was the largest investment ever made by a company in Austria. Reasons for this decision in a global competition of the locations would have been the high quality of life, the very good infrastructure, the qualification level of the employees as well as stable and attractive general conditions and a future-oriented innovation policy. In his statement, Bernhard Sagmeister, Head of Austria Wirtschaftsservice (aws), emphasized the concrete help for start-ups in the Alpine republic as well as the understanding of the long-term development times, the risks of which could be better shouldered together via particularly long loan terms. In addition, the funding programs such as LISA and the competence of the investment team there are the basis for the positive and strong growth figures.
The Life Science Report Austria was created by BIOCOM AG on behalf of the aws and the Federal Ministry for Digital and Economic Affairs and can be found here.