Sparking Growth In Ontario's Biopharmaceutical Industry



    Support For Cutting-Edge Health Research Will Create Jobs, Attract
    Investment

    TORONTO, Jan. 9 /CNW/ - The McGuinty government is providing $150 million
through the Next Generation Jobs Fund to encourage research-based
pharmaceutical companies to invest in Ontario, Minister of Research and
Innovation John Wilkinson announced today.
    "Attracting these investments will create good-paying jobs that support
the discovery of new medical treatments for diseases that affect us all," said
Wilkinson. "Supporting this research will strengthen Ontario's economy and
create a higher quality of life for Ontario families."

    
    The biopharmaceutical industry:

        -  Employs over 9,000 Ontarians in high-value jobs, such as
           researchers and scientists
        -  Invested more than $550-million in Ontario in 2006 to enable the
           discovery of life-saving therapies, such as antibiotics, new
           vaccines and more effective cancer treatments
        -  Makes up thirty-one of Canada's top 100 corporate R&D investors.
    

    The $150 million announced today will create jobs in the
biopharmaceutical research community by enabling companies to apply for
grants, loans, forgivable interest loans and funds for building
infrastructure, research and training.
    "Our government's $150 million investment is focused on increasing the
amount of health research and advanced manufacturing activity that is
happening right here in Ontario," said Minister of Economic Development and
Trade Sandra Pupatello. "The significant investments that biopharmaceutical
companies make in health research are essential to the growth and success of
our emerging biotechnology industry, and other sectors that are important to
Ontario's economy."
    The $1.15-billion Next Generation Jobs Fund supports job creation in
areas where Ontario has a strong competitive advantage and is designed to
build and strengthen industry, create jobs and make Ontario globally
competitive in key sectors.
    "Today's announcement sends a signal not only to the domestic
biopharmaceutical industry, but also to our global community that Ontario
values this sector and its potential for growth," said Ronnie Miller, Chairman
of Rx&D and President & CEO Hoffmann-La Roche Limited. "By working together
with the Ontario government, our community is setting a course for the future
that will help ensure we can continue to invest today in the medical
discoveries of tomorrow, retain our brightest minds here at home and
ultimately, ensure patients benefit from access to these new medicines and
vaccines."
    "Ontario enjoys a vibrant, world-class health research sector," said
Janet Rossant, Chair of Research, The Hospital for Sick Children. "Incentives
like this new biopharmaceutical investment program will ensure that
partnerships between industry and researchers in Ontario continue to build a
strong knowledge-based economy that will create jobs and improve the health of
our population."
    The $150-million biopharmaceutical investment program is just one of the
ways the McGuinty government is strengthening the economy and supporting
Ontario families. Other initiatives include:

    
        -  Encouraging strong job creation, with over 417,000 net new jobs
           since October 2003
        -  Launching the $160 million Ideas-to-Market strategy that supports
           emerging companies
        -  Helping Ontario's brightest researchers move their new ideas from
           labs to the global marketplace by investing $527 million over five
           years in the Ontario Research Fund
        -  Establishing a six-year, $500-million Advanced Manufacturing
           Investment Strategy to help manufacturers invest in innovative new
           technologies
        -  Providing a 21 per cent Capital Tax rate cut for all businesses
           retroactive to January 1, 2007, on the way to full elimination in
           2010
        -  Eliminating the Capital Tax on January 1, 2008 for corporations
           primarily engaged in manufacturing and resource activities and
        -  Announcing in the 2007 Fall Economic Statement an additional
           $50 million in strategic investment to further strengthen
           Ontario's environment for scientific research that will lead to
           new discoveries, higher quality of life and new jobs.


    Disponible en français


    Backgrounder
    -------------------------------------------------------------------------

                        THE NEXT GENERATION JOBS FUND

    The Next Generation Jobs Fund is a five-year, $1.15 billion strategy that
will stimulate economic growth and prosperity in Ontario while helping to
create the next generation of jobs and improve environmental sustainability.
    Premier McGuinty unveiled the fund in June 2007 when he announced
$650 million would be made available to companies looking to invest in the
development of clean cars, clean fuels, and clean technologies and products in
Ontario. The fund has since been expanded to $1.15 billion.
    The fund supports environmental and economic advances in key sectors,
including:

        -  Clean automotive and other green technology,
        -  Health and biotechnology research and development,
        -  Creative industries (digital media and ICT), and
        -  Pharmaceutical research and manufacturing.

    To bid for financial support from the fund, companies need to demonstrate
they can:
        -  Secure good jobs for Ontarians
        -  Reduce greenhouse gas emissions
        -  Help establish Ontario as a global leader in an emerging market
        -  Build on existing expertise in areas in which Ontario has a strong
           research and commercial base or create new expertise, and
        -  Create synergies among researchers, business people and
           entrepreneurs.

    The fund is modeled after the successful $500 million Ontario Automotive
Strategy which has helped to leverage over $7 billion in total new auto
investments in the province over the past four years.

    Disponible en français

                          www.ontario.ca/innovation

    Backgrounder
    ------------------------------------------------------------------------

                  SUPPORT FOR THE MCGUINTY GOVERNMENT'S NEW
                     BIOPHARMACEUTICAL INVESTMENT PROGRAM
    

    "We applaud this move to attract more innovation investment to Ontario.
The government's biopharmaceutical investment program is an important step in
giving this province a leg up in the global competition for knowledge industry
jobs and research. We look forward to continuing to work with the Government
of Ontario on this and other initiatives that can help make Ontario and Canada
a world leader in biopharmaceutical research and development."
    David Ricks, President and General Manager, Eli Lilly Canada Inc.

    "In 2006, global spending on life sciences research and development was
almost $100 billion. Ontario has some of the brightest minds and some of the
leading research institutions in the world. By working with the Government of
Ontario, we can leverage more investment that will create high-value jobs and
fuel research here at home."
    Paul Lévesque, President & CEO/Président et chef de la direction, Pfizer
    Canada Inc.

    "Ontario's new biopharmaceutical investment program is right on the mark.
Pharmaceutical investment and business expertise are essential to sustaining
and nurturing Ontario's emerging biotechnology industry."
    Ilse Treurnicht, CEO, MaRS Discovery District

    "The government's investment program is good news for everyone involved
in the research community in Ontario. We look forward to new R&D partnerships
between research hospitals like SickKids and pharmaceutical companies that
will bring benefits in the form of new therapies and services for our
patients."
    Dr. Freda Miller, Senior Scientist, The Hospital for Sick Children.

    "Canadian biotechnology companies often sell their technologies at early
stages. Investments such as this one by the McGuinty Government should assist
companies in attracting the necessary venture capital to take their
technologies right through to commercialization in Ontario, which will keep
the jobs in Ontario."
    Graeme McRae, President & CEO, Bioniche Life Sciences Inc.

    "The CEOs of Rx&D's member companies are ambassadors for Ontario and
Canada in the intense global competition to attract research investment and
high-value jobs. Our partnership with the Ontario government will help bolster
their case."
    Dawn Graham, President, Merck Frosst Canada.

    "The creation of this new biopharmaceutical investment program is
recognition by the Ontario government that innovation is the engine of our
modern economy."
    Philip Blake, President & CEO, Bayer Inc.

    Disponible en français

    
                          www.ontario.ca/innovation
    





For further information:

For further information: Perry Blocher, Ministry of Research and
Innovation, (416) 326-7717; Sandra Watts, Minister's Office, (416) 314-7067

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ONTARIO MINISTRY OF RESEARCH AND INNOVATION

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