China to Commit 11 Billion RMB ($1.5 Billion) to Drug Innovation
by Richard Daverman, PhD
ChinaBio Today
According to unofficial reports, the State Government of China will spend a huge 4 billion RMB ($548 million) over the next five years to stimulate development of innovative drugs in China. Another 7 billion RMB ($966 million) will be allocated in the following 10 years. These funds are in addition to existing programs.
The State Council, China’s cabinet, is said to have approved the initiative on December 28, 2007, but as yet, it has not made a formal announcement of the program.
Still to be figured out is which government ministry will be in charge or dispensing the funds: the Ministry of Science and Technology or the Ministry of Health. This turf war could cause some delay in beginning the process of awarding grants.
Money will be distributed both for discovering and developing drugs. One of the questions still up in the air is whether the new initiative will favor academic projects or actual companies, another turf war. Companies feel as though they have been slighted in favor of academics in previous government projects that sought to bolster innovation in biopharma.
The government will establish major disease categories before dispensing grants. Inside each category, funds will be allocated to three major groups: small-molecule drugs, large-molecule drugs and traditional Chinese medicine.
Hepeng Jia of Chemistry World broke the funding story. He attributed the actual funding numbers to Lu Xianping, President of Chipscreen Biosciences of Shenzhen, who was consulted in the process.
At present, most of the government’s support for biopharma research has come from the 863 Program. It spent 400 million RMB ($55 million) in 2007. The new initiative will be in addition to any money that comes from the 863 Program.
RELATED READING:
- Multinational Pharma Wants More from China’s Drug Rules
- ChinaBio® Forum Gives “Most Promising” Award to Two China Biotechs
ChinaBio Today is a regular contributor to BioHealth Investor
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ChinaBio Today
According to unofficial reports, the State Government of China will spend a huge 4 billion RMB ($548 million) over the next five years to stimulate development of innovative drugs in China. Another 7 billion RMB ($966 million) will be allocated in the following 10 years. These funds are in addition to existing programs.
The State Council, China’s cabinet, is said to have approved the initiative on December 28, 2007, but as yet, it has not made a formal announcement of the program.
Still to be figured out is which government ministry will be in charge or dispensing the funds: the Ministry of Science and Technology or the Ministry of Health. This turf war could cause some delay in beginning the process of awarding grants.
Money will be distributed both for discovering and developing drugs. One of the questions still up in the air is whether the new initiative will favor academic projects or actual companies, another turf war. Companies feel as though they have been slighted in favor of academics in previous government projects that sought to bolster innovation in biopharma.
The government will establish major disease categories before dispensing grants. Inside each category, funds will be allocated to three major groups: small-molecule drugs, large-molecule drugs and traditional Chinese medicine.
Hepeng Jia of Chemistry World broke the funding story. He attributed the actual funding numbers to Lu Xianping, President of Chipscreen Biosciences of Shenzhen, who was consulted in the process.
At present, most of the government’s support for biopharma research has come from the 863 Program. It spent 400 million RMB ($55 million) in 2007. The new initiative will be in addition to any money that comes from the 863 Program.
RELATED READING:
- Multinational Pharma Wants More from China’s Drug Rules
- ChinaBio® Forum Gives “Most Promising” Award to Two China Biotechs
ChinaBio Today is a regular contributor to BioHealth Investor
_______________
posted by Nico at
4:40 PM
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