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Biotechnology sector in the Czech Republic

Biotechnology sector in the Czech Republic

Publish date: 2014-08-01

Concerning central Europe, the Czech Republic is one of the leading countries in biotechnology development with strong research institutes, attractive business environment and proper government and European Union support. It confirms that nations from this part of Europe are becoming equal partners for the Western representatives.

Tags: biotechnology , czech republic

The Czech Republic is a country with quite long biotechnology tradition. The 1970s and 1980s were years of recession caused mainly by isolation from modern developed communities. However, after this time the country started its way to become one of the leading players on Biotechnology market in the Central Europe. Nowadays, the strongest emphasis is put on the development of human and veterinary pharmaceuticals, diagnostics, fermentation technologies , environment protection and animal and plant genetic engineering. Due to high-level research facilities encompassing several well-known universities such as Charles University in Prague, University of South Bohemia in Ceske Budejovice or University of Veterinary and Pharmaceutical Sciences in Brno, the country is strong in areas like molecular biology and genetics. Apart from academic institutions, there are more than 300 biotechnology research institutes and workplaces.

The other important factors that drive biotechnology sector are progressive patent protections and economic encouragements, which attract potential investors form the whole world. As the conditions are advantageous, they usually choose the country for launching manufacturing facilities or for contract R&D and manufacturing.

One cannot forget about the essential role of cluster initiatives in biotechnology development that have existed in the country for more than 10 years. Due to the cluster support, it was possible to create and strengthen links between business activities and science areas. The best-known are e.g. CEITEC Cluster focusing on bioinformatics or MedChemBio Cluster that carries out extensive work in the area of drug development and cancer and infectious disease treatment methods. A number of technology parks and business incubators have also contributed to the facilitation of cooperation and interactions between advanced-technology companies and research centers .

The structure of Czech biotechnology market is similar to those existing in Western countries and involves mainly small and medium companies with not more than 20 employees. It is worth to mention that in 2009, the Czech pharmaceutical market was the third largest in the region with yearly growth estimated to approximately 9.6%. A lot of companies is engaged in the field of microbial and cellular biotechnology, and human and veterinary diagnostics and pharmaceuticals. The country has also well-developed industrial biotechnology and agricultural sector, together with Slovakia being the only European nation cultivating MON 810 genetically modified maize.

The Czech Republic with Hungary, Poland and Estonia have been the precursors of biotechnology sector development in the region of Central Europe. These countries are becoming more and more competitive for many Western European nations. It appears that the Czech Republic, with its neighbors, is slowly but consequently move closer to the biotechnology development level that can be essentially appealing for international investors.


Maciej Smolarz



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