Industry Analysis & Industry Trends
Biotechnology is becoming an increasingly important part of product development in a variety of industries. While genetically modified products remain controversial, attitudes are expected to begin to change, with the increasing acceptance of the process within agricultural industries and across other sectors.
Biotechnology companies are often spin-offs of research started in higher education, public and not-for-profit research organisations. While a large amount of biotech research and development is funded by selling company stock or from interest income, research in the industry is largely funded by government and non-profit organisations. Nonetheless, the private sector is increasing its contribution... purchase to read more
Industry Report - Industry Investment Chapter
The industry relies primarily on skilled labour for its R&D and product development. Labour costs account for just under one quarter of industry revenue. This high level of labour costs is due to the need for highly qualified employees in the industry.
The industry also uses vast amounts of capital. The scientific instruments and equipment used at the R&D stage are often highly specialised and expensive. According to the Australian Science, Technology and Engineering Council (ASTEC), about 95% of equipment used in basic research is imported. For every dollar spent on the use and replacement of plant and equipment, $2.60 is spent on labour. This is indicative of an industry with a high level of capital intensity... purchase to read more