Biotech companies’ R&D investment grows by 16% in 2022 to reach €1,038 million
In 2021, the impact on GDP of biotech companies amounted to €11,183 million, or 1% of GDP
This Tuesday, AseBio presented its AseBio Report 2022, Deep tech para transformar el mundo (Deep tech to transform the world). This edition of the report comes at a time when biotechnology is leading far-reaching innovations that are transforming the world. It is one of the deep tech industries with the greatest potential as it is one of the most science-intensive sectors and has a direct impact on both people's quality of life and the sustainability of the planet.
The biotech sector generates economic growth
The AseBio 2022 Report provides a detailed overview of the economic impact of the biotech sector on GDP and employment. In 2021, the impact of biotech companies on GDP amounted to €11,183 million, which represents 1% of GDP. In 2021, biotech companies increased their turnover by almost 8%, to over €13,000 million (1.1% of total GDP).
We also note that in 2021 the impact on tax revenue of biotech companies as a whole amounted to €4,521 million, representing 0.4% of GDP.
Biotech companies have 118,000 employees, representing 0.65% of total national employment. The productivity per employee of biotech companies is three times higher than the national average, and the salary per employee is almost double the national average.
Private investment levels stabilise
After two years of unprecedented growth due to the pandemic, the investment attracted by Spanish biotech stabilised in 2022 at €142 million, 24 million of which were accounted for by a capital increase by offsetting credits.
The report reveals that the volume of investment raised in capital increases with the participation of international investors is again close to €100 million. In addition, instruments such as crowdfunding have strengthened to almost €9 million with a record number of transactions.
"In 2020 we witnessed the great leap in Spanish biotech, where private investment increased by 50%. In 2021 we made another leap with a 20% increase. And now we are seeing investment fall compared to the previous two years to €142 million," argues Ion Arocena, CEO of AseBio.
"However, this figure is still well above pre-covid figures. This edition of the report is, in a way, that of a return to normal after an exceptional period in all respects," he adds.
Investment in R&D increases
Biotech companies invested €1,038 million in R&D (growth of 16%), representing more than 6% of total national investment. In this regard, we note that biotech companies account for more than 60% of R&D investment. Sixty-four percent of R&D investment by biotech companies is financed with their own funds and only 10% comes from public aid
Science-intensive sector with a high researcher recruitment rate
Biotechnology maintains its position as the industrial sector with the highest percentage of researchers out of the total number of employees, standing at 14.62%. The work carried out by these researchers makes Spain the ninth-placed country in terms of scientific production in biotechnology.
The AseBio 2022 Report reflects the increase in interest in biotechnology studies, especially among women. In 2021-2022, the latest period for which data are available, there were already more than 8,900 biotechnology students in master's and bachelor's degrees, 62% of them women. Furthermore, it continues to be one of the university degrees with the highest cut-off marks.
Women continue to represent 53% of the sector. In this regard, the report reveals some interesting figures such as the fact that women represent 28.4% of the management teams of biotech companies, and that 58% of the staff dedicated to R&D activities in these companies are women.
Increase in the number of biotech companies and partnerships
The number of biotech companies in Spain has continued to grow for yet another year. Two decades ago, the sector had around 50 companies considered strictly biotech. This figure has now risen to 898, after a growth of 4.2% in 2021, and with an average of 48 new companies set up per year over the last decade.
In terms of distribution across the country, Catalonia is the leading region in terms of number of companies with 24.5%, followed by Madrid (17%) and Andalusia (14%).
Human health is the main area of activity of biotech companies accounting for over 50% of them, followed by food (39%) and, further back, by those involved in activities related to agriculture and forestry production (15.4%).
In 2022, partnerships grew by 35% to 295, of which 189 are with public entities and foundations, which is 35% more than in 2021. Of these, 31% are with international entities. Partnership is in the DNA of the biotech sector as a driver of R&D, argues Elisa Díaz Martínez, Public Affairs and Policy Head at Merck: "The future will be about research, science and talent. In this future, Merck will continue to work with all sector actors to develop innovations that improve the lives of future generations and are committed to the sustainability of the planet".
Six biotech companies have participated in the presentation of the AseBio Report and explained how they are developing far-reaching innovations by means of the microbiome, advanced therapies, RNA, CRISPR and the insect industry.
This report gives us a picture of how biotechnology has become a deep tech that is transforming the world. Biotechnology is crucial in the search for disruptive and effective solutions, thanks to its great capacity for innovation and its cross-cutting nature and, without a doubt, it should be a cornerstone due to its proven scientific potential and to its being a driver of economic growth and social welfare, which, as we have seen this year, are becoming firmly established", concludes Ana Polanco, president of AseBio.