[THE INVESTOR] Korea’s largest biopharmaceutical business association announced on Jan. 17 that it aims to boost the local industry in 2019 and make it a global powerhouse.

“This year, we must use all our capabilities to establish a foundation to become a global pharma powerhouse.” Korea Pharmaceutical and Bio-Pharma Manufacturers Association Chairman Won Hee-mok said during a New Year’s press conference in Seoul. 

Korea Pharmaceutical and Bio-Pharma Manufacturers Association Chairman Won Hee-mok

“We expect that various regulation changes will be introduced in 2019, which can be confusing and tough. To overcome this, the pharma industry must respond progressively to the changes.”

According to the association’s analysis, Korea has the potential to develop new drugs that can post 1 trillion won (US$891.02 billion) in sales globally before 2025.

“We also expect a Korean pharma giant, which posts around 10 trillion won in sales annually, to appear before 2030. And in 2035, the drug exports volume is anticipated to reach 100 trillion won,” he said.

The association especially emphasized that this year it will launch its artificial intelligence center, which was established by a task force team last year, to help Korean firms accelerate new drug development processes.

Won also urged President Moon Jae-in to nominate the pharma industry as a future growth engine and sought the government’s active support.

“The government’s budget allocated to research and development in the pharma industry accounts for only 8 percent. This is low compared to other countries like US and Japan, which have allotted 37 percent and 19 percent, respectively,” he said.

He also added that Korea should benchmark countries like Switzerland and Belgium, which have limited natural resources and population, but have successfully boosted the pharma industry.

By Song Seung-hyun (ssh@heraldcorp.com)