Bioeconomy and Opportunities in the Bio-based Industry of Malaysia. Dr. Abdul Manaf Mohamad Radzi

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1 Bioeconomy and Opportunities in the Bio-based Industry of Malaysia Dr. Abdul Manaf Mohamad Radzi

2 Malaysia s Strategic Advantages in Bioeconomy Government with strong interest in the Bioeconomy sector Abundance biodiversity with wide opportunities Ecosystem and clusters development Research and development facilities to provide support Industry partners available as collaboration partners Educated workforce

3 Bioeconomy A Compelling Sector to Drive Nation s Growth Economic activities based on processes using biological sources to generate sustainable economic, social and environmental development The Vision Malaysia s bioeconomy to be a significant contributor to the nation s economy by 2020 and beyond Bioeconomy has the potential to: Make the country more competitive internationally Creation of value added jobs Enhance food security and healthcare Create greener economy as the country shifts towards a low-carbon economy Increase Nation s income by exploiting our bio-resources to high value products using bio-based technology

4 Bioeconomy as a Global Focus for Growth Malaysia joins emerging trend of countries establishing Bioeconomy Roadmaps: CANADA Bio-Economy Report - The Province of British Columbia GERMANY Policy Strategy for Bioeconomy EUROPEAN UNION The Bioeconomy to 2030: Designing a Policy Agenda UNITED STATES National Bioeconomy Blueprint MALAYSIA Bioeconomy Transformation Programme (BTP) SOUTH AFRICA The Bioeconomy Strategy Malaysia is the 2 nd in Asia and 1 st in Southeast Asia to announce a Bioeconomy Initiative

5 Economic Contribution of Bioeconomy Malaysia Bioeconomy GDP in absolute terms is less compared to developed economies even though percentage contribution is high Malaysia GDP 2010 Other major Bioeconomies Wholesale & Retail (13.3%) Others (53%) Canada EU Financial Services (6.0%) Oil & Gas Extraction & Refining (14.3%) US$70 b 6.4% US$431 b 2.5% Bioeconomy: US$34 b 13.4% USA Germany US$1125 b US$130 b (8.5%) 8.5% (4.3%) 4.3% Transition toward higher value downstream activities will improve this value going forward

6 Malaysia Recognises Biotechnology as a Strategic Industry to Drive Growth National Biotechnology Policy (NBP) A comprehensive roadmap that foster a conducive ecosystem to accelerate the growth of biotech industry Bioeconomy Transformation Programme (BTP) A platform for the private sector to channel and maximise commercial opportunities from bio-based technologies Phase 1 Phase 2 Phase CAPACITY BUILDING SCIENCE TO BUSINESS GLOBAL BUSINESS Bio-Accelerator Programmes catalyse growth of Bioeconomy going forward Bioeconomy Community Development Programme Technology Development and Innovation Bio-Entrepreneurship BioNexus Go Global

7 Synergy between Stakeholders The Key Enablers of the Malaysian Bioeconomy SCOPE Governance & Strategic Oversight Implementation & Facilitation Support Commercialisation & Market Access Government Ministries State Governments Implementing Agencies PPPs Universities Research Institutes Venture Capital PPPs Industrial Partners Entrepreneurs Banks/Financial Institutions BIOECONOMY KEY ENABLERS KEY ROLES Public policy & advocacy for the bio-based sector Facilitate & coordinate integration of the implementation plans Support & regulate key programmes Generate knowledge & develop new innovative technologies, processes & products Programme implementation Infrastructure development Provide incentives & industry support Funding & Financing Scale-up, industrialisation & commercialisation Job creation

8 Areas of Interests Crop BioPharma Biochemicals Aquaculture Natural Products Livestock Vaccines Medical Devices Diagnostics Biocatalyst Bioremediation Biofuel Biomaterial

9 Bio-based Focus Areas To Further Drive the Bioeconomy Agenda Bio-based fragrances Functional foods Bio-cosmeceuticals, wellness and pharma nutrition Aquaculture High tech livestock breeding Crop biotechnology Stem cells therapy Personalised medicine Biopharmaceuticals Vaccines Medical devices and diagnostics Contract manufacturing Contract research Bio-based chemicals Bioplastics Biodegradable packaging Biodegradable and compostable materials Biogas Biofuel Filter Criteria Future Trends Malaysia s Competitiveness Industry Innovation Economic Significance Bio-cosmeceuticals, Wellness & Pharma Nutrition Cellular Therapy and Stem Cells Bio-based Chemicals

10 Supporting Key Stakeholders Industry clusters in Malaysia currently provide a platform for supporting Bioeconomy stakeholders in AgBiotech, BioMedical and BioIndustrial Northern Corridor Economic Region, East Coast Economic Region, Iskandar Malaysia, Sarawak Corridor of Renewable Energy, Sabah Development Corridor Bio-XCell Malaysia, Kertih Biopolymer Park, Kulim-Hi-Tech Park, POIC Lahad Datu & Sandakan, Tanjung Manis Halal Hub Economic Corridors & Industry Clusters 20 Public Universities 77+ Private Universities 16,000 annual graduates in applied and pure sciences Institutions Of Higher Learning High-end Research Facilities And Infrastructures 53 BioNexus partners facilities nationwide 253 BioNexus Status Companies 141 BioNexus companies in AgBiotech 70 BioNexus companies in BioMedical 42 BioNexus companies in BioIndustrial

11 Cluster Development in Key Economic Corridors AGBIOTECH CLUSTERS BIOINDUSTRIAL CLUSTERS BIOMEDICAL CLUSTERS Northern Region Penang Science Park (Aquaculture) Agro BioXcell Cameron Highlands Centre for Biotechnology & Herbal Products High Impact Agriculture Centre -Kundasang Sarawak -Agarwood Industry Northern Region Biomaterials Cluster East Coast Region Kertih Biopolymer Park Oil and Lipid Cluster Biogas Cluster Southern Region Johor BioXCell Northern Region Medical Devices Cluster Central Region BioMedical Clusters Southern Biopharma Cluster Sabah: Drug Development & Drug Discovery Cluster 6 Collection, Processing and Collection Centre in Pengkalan Kubor Tok Bali Integrated Fisheries Park Lojing Noah s Valley Lojing Green Valley Eco Park Sabah POIC Sarawak Corridor of Renewable Energy 16 Sarawak Drug Development & Drug Discovery Cluster

12 Major Global Players Recognise the Market Potential Secured major investments demonstrate a shift toward these highervalue markets World s first bio-methionine plant and Asia's first thiochemical platform Production of high value chemicals from low value, non food based renewable feedstock Integrated Aquaculture (Shrimp and Tilapia) Project in Sarawak (Hatchery- Grow-out-Processing and Downstream) Integrated Biorefinery Project First intraocular lens manufacturing facility in Malaysia Biopharmaceutical Manufacturing and Development Facility

13 Projecting Malaysia s Bioeconomy Growth Transition toward higher value downstream activities using bio-based technology can increase total Bioeconomy potential (15% growth): GDP Contribution Total Bioeconomy potential US$47 b US$57 billion US$34 b Stimulated introduction of biobased technology into other sectors US$27 billion US$16 b US$22 b Expected activities enhanced by bio-based technology Year

14 International Linkages as a Growth Strategy for the Nation The growth of Malaysia s Bioeconomy can be augmented through international collaboration and cooperation: Business Networking Collaboration EU Bioeconomy Observatory Bio-Entrepreneurship Programme Technology Roadmap Development Collaboration Annual Bioeconomy International Advisory Panel (BIOIAP) Meeting

15 Promoting Malaysia Europe Partnership in Bioeconomy Potential areas of collaboration: Business partnering and expansion opportunities Human capital development and entrepreneurial support Multi-disciplinary collaborative Innovative funding opportunities Sharing of information, tools and resources

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17 Thank You

18 Bioeconomy in Malaysia Malaysia seeks to enhance the economic potential of its bio-based resources Bio-based Resources Bio-based Technology National Biotechnology Policy Bioeconomy Transformation Programme Market access strategy Synergy between local & international stakeholders Industrial linkages Enhanced Economic Value of Bioeconomy to drive investment into Bioeconomy as an economically attractive and environmentally sustainable approach to bring bio-based industries to greater heights for the Nation