Eight of the top 10 pharmaceutical companies in the world have at least one manufacturing operation in Ireland. With more than 44,000 employees and exports approaching €40 billion, the pharmaceutical/life science sector in Ireland is continuing to move itself up the value chain. There are 32 FDA-approved manufacturing plants in Ireland, and they manufacture six of the top 10 best-selling drugs in the world.

Paul Duffy

Matt Corcoran

A key element in developing of the Irish economy has been the close cooperation between government, academia, and industry. In a small open-island economy like Ireland, it is imperative that these three elements work in tandem to develop and implement a clear vision for the future. That vision is Ireland - the knowledge economy for the 21st century. It is one that industry is very happy to adopt and support. The pharmaceutical industry is a key component of the Irish economy, and we are playing our part in collaboration with government and the academic community.

The overall context for the development of this sector in the Irish economy is the Strategy for Science, Technology and Innovation 2006-2013. The overall vision is stated as follows: "Ireland by 2013 will be internationally renowned for the excellence of its research, and will be to the forefront in generating and using new knowledge for economic and social progress, within an innovation-driven culture."

The emerging Life Sciences cluster in Ireland is an excellent example of this "three-legged stool" working together. The government has implemented a significant and welcome R&D tax credit, which encourages greater research and development investment in Ireland. In addition, the government has funded the establishment of the National Institute for Bioprocessing Research and Training (NIBRT), which is focused on training, education, and pilot-scale fermentation and purification. Third, the government established and funded Science Foundation Ireland (SFI), which has adopted ICT and Biotechnology as its two key areas of focus.

With strong financial support from the government, the academic community has taken up the challenge and is developing world-class research in a number of key biotechnology areas. International peer assessments ensure that only best-in-class research is being funded, and each of the seven universities in Ireland is funding research in the Life Sciences area. Examples of such leading research include the Biomedical Diagnostics Institute at Dublin City University, the Alimentary Pharmabiotic center at University College Cork, and the Regenerative Medicine Institute at the National University of Ireland, Galway.

A key requirement for companies looking to invest in the life sciences sector in Ireland is the availability of qualified and productive graduates. In 2007 the IMD World Competitiveness Yearbook placed Ireland in the top ten countries for its education system meeting the needs of a competitive economy. We in industry can attest to the quality and caliber of graduates and postgraduates from Ireland. One-fourth of Ireland's population is in full-time education, and in 2006 Ireland produced more than 56,000 graduates.

Industry has played a significant role with substantial investment in the life sciences area. Centocor, Eli Lilly, Genzyme, MSD, Pfizer, and Wyeth have all completed or are constructing biotechnology facilities in Ireland. A key feature of this emerging cluster is the continuing expansion of the scale and range of activities undertaken in Ireland. In backward integration, companies are investing in process development, basic research, translational medicine, and clinical trial management. In forward integration, companies are adding activities in areas such as supply chain management, regulatory affairs, shared services, lifecycle management, and European headquarters.

We are greatly encouraged by the collaborative approach in Ireland, which benefits foreign direct investment. However, it is no time to be complacent, as Ireland has many challenges to face. Eroding cost competitiveness and greater competition from emerging countries make it imperative that Ireland continues to invest heavily in education, research, and development. We continue to see Ireland as an excellent location for development and manufacturing operations in the life sciences sector.

Paul Duffy is the site leader for Ringaskiddy for Pfizer Ireland Pharmaceuticals.
Matt Corcoran is senior Director of Operations for Wyeth Ireland.