Bioeconomy and Opportunities in the Bio-based Industry of Malaysia

Dr. Abdul Manaf Mohamad Radzi

Malaysia’s Strategic Advantages in Bioeconomy

Government with strong interest in the Bioeconomy sectorGovernment with strong interest in the Bioeconomy sector

Abundance biodiversity with wide opportunitiesAbundance biodiversity with wide opportunities

Ecosystem and clusters developmentEcosystem and clusters development

Research and development facilities to provide supportResearch and development facilities to provide support

Industry partners available as collaboration partnersIndustry partners available as collaboration partners

Educated workforceEducated workforce

BioeconomyA 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

Bioeconomy as a Global Focus for Growth

Malaysia joins emerging trend of countries establishing Bioeconomy Roadmaps:

UNITED STATESNational BioeconomyBlueprint

GERMANYPolicy Strategyfor Bioeconomy

CANADABio-Economy Report -The Province of British Columbia

EUROPEAN UNIONThe Bioeconomy to 2030: Designing a Policy Agenda

SOUTH AFRICAThe BioeconomyStrategy

MALAYSIA

Bioeconomy Transformation

Programme (BTP)

Malaysia is the 2nd in Asia and 1st in Southeast Asia to announce a Bioeconomy Initiative

Economic Contribution of Bioeconomy

Oil & Gas Extraction & Refining (14.3%)

Financial Services (6.0%)

Wholesale & Retail (13.3%)

Malaysia GDP 2010

Others (53%)

Bioeconomy:

US$34 b

Canada

US$70 b

6.4%

USA

US$1125 b

(8.5%)

EU

US$431 b

Germany

US$130 b

(4.3%)

Malaysia Bioeconomy GDP in absolute terms is less compared todeveloped economies even though percentage contribution is high

Transition toward higher value downstream activities will improvethis value going forward

13.4%

Other major Bioeconomies

2.5%

8.5% 4.3%

Malaysia Recognises Biotechnology as a Strategic Industry to Drive Growth

Technology Developmentand Innovation

Bioeconomy CommunityDevelopment Programme

BioNexus Go GlobalBio-Entrepreneurship

Bio-Accelerator Programmes catalyse growth of Bioeconomy going forward

Bioeconomy Transformation Programme (BTP)

A platform for the private sector to channel and maximisecommercial opportunities from bio-based technologies

National Biotechnology Policy (NBP)

A comprehensive roadmap that foster a conduciveecosystem to accelerate the growth of biotechindustry

2011 - 2015

SCIENCE TO

BUSINESS

Phase 2Phase 1 Phase 3

2005 - 2010

CAPACITY

BUILDING

2016 - 2020

GLOBAL

BUSINESS

Synergy between Stakeholders The Key Enablers of the Malaysian Bioeconomy

Government Ministries

State Governments

Implementing Agencies

PPPs Universities

Venture Capital

PPPs

Industrial Partners

Entrepreneurs

� 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

Banks/Financial Institutions

SCOPE

BIOECONOMY KEY

ENABLERS

KEY ROLES

Research Institutes

Governance & Strategic Oversight

Implementation & Facilitation Support

Commercialisation & Market Access

Areas of Interests

Crop

Aquaculture

Natural Products

Livestock

Vaccines

Diagnostics

Medical Devices

Biochemicals

Biofuel

Biocatalyst

Bioremediation

Biomaterial

BioPharma

Bio-based Focus AreasTo 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 Therapyand Stem Cells

Bio-based Chemicals

Supporting Key Stakeholders

Economic Corridors &Industry Clusters

Institutions Of Higher Learning

BioNexus Status Companies

BioNexus Status Companies253253

BioNexus Status Companies253

High-end Research Facilities And Infrastructures

20 Public Universities 77+ Private Universities 16,000 annual graduates in applied and pure sciences

53 BioNexus partners facilities nationwide

141 BioNexus companies in AgBiotech70 BioNexus companies in BioMedical 42 BioNexus companies in 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

Industry clusters in Malaysia currently provide a platform for supportingBioeconomy stakeholders in AgBiotech, BioMedical and BioIndustrial

Cluster Development in Key Economic Corridors

BIOMEDICAL CLUSTERS

Northern Region Medical Devices Cluster

Central Region BioMedical Clusters

Southern Biopharma Cluster

Sabah: Drug Development

& Drug Discovery Cluster

Sarawak Drug Development & Drug

Discovery Cluster

BIOINDUSTRIAL CLUSTERS

Northern Region Biomaterials Cluster

East Coast Region

Kertih Biopolymer Park

Oil and Lipid Cluster

Biogas Cluster

Southern Region

Johor BioXCell

Sabah POIC

Sarawak Corridor of Renewable Energy

AGBIOTECH CLUSTERS

7

8

9

11

High Impact Agriculture Centre - Kundasang

Agro BioXcell – Cameron Highlands

Centre for Biotechnology & Herbal Products

Northern Region – Penang Science Park (Aquaculture)

Sarawak - Agarwood Industry

4

5

3

2

1

78

9

11

4

5

3

2

1

12

13

14

15

16

16

15

14

13

126666

Collection, Processing and Collection Centre in

Pengkalan Kubor

Tok Bali Integrated Fisheries Park

Lojing Noah’s Valley

Lojing Green Valley Eco Park

6666

10

10

Major Global Players Recognise the Market Potential

Secured major investments demonstrate a shift toward these higher-value markets

Production of high value chemicals from low value,

non – food based renewable feedstock

World’s first bio-methionine plant and Asia's first

thiochemical platform

Integrated Biorefinery Project

Biopharmaceutical Manufacturing and

Development Facility

First intraocular lens manufacturing facility in

Malaysia

Integrated Aquaculture (Shrimp and Tilapia) Project

in Sarawak (Hatchery-Grow-out-Processing and

Downstream)

Projecting Malaysia’s Bioeconomy Growth

US$34 b

2010

Total Bioeconomy potential

Expected activities

enhanced by bio-based

technology

2030

GDP Contribution

Year

US$22 b

2020

US$27

US$47 b

US$16 b

US$57billion

billion

Transition toward higher value downstream activities using bio-based technology can increase total Bioeconomy potential (15% growth):

Stimulated introduction of bio-

based technology into other sectors

International Linkages as a Growth Strategy for the Nation

The growth of Malaysia’s Bioeconomy can be augmented throughinternational collaboration and cooperation:

Bio-Entrepreneurship Programme

Technology Roadmap Development Collaboration

EU Bioeconomy ObservatoryBusiness Networking Collaboration

Annual Bioeconomy International Advisory Panel

(BIOIAP) Meeting

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

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

Promoting Malaysia – Europe Partnership in Bioeconomy

Thank You

Bio-based Resources Enhanced

Economic Value of

BioeconomySynergy between

local & international stakeholdersBioeconomy

Transformation Programme

Malaysia seeks to enhance the economic potential of its bio-basedresources…

Bio-based Technology

Industrial linkages

… to drive investment into Bioeconomy as an economically attractiveand environmentally sustainable approach to bring bio-basedindustries to greater heights for the Nation

Market access strategyNational

Biotechnology Policy

Bioeconomy in Malaysia