SPEECH BY MR LEE YI SHYAN,MINISTER OF STATE FOR TRADE AND INDUSTRY, AT THE BADEN-WURTTEMBERG - SINGAPORE HEALTH CARE & BIOTECHNOLOGY SYMPOSIUM, 6 MAY 2008, 9.45 AM AT BIOPOLIS

Mr Ernst Pfister, Minister of Economic Affairs

of the State of Baden-Württemberg

Distinguished Guests,

Ladies and Gentlemen,

Good morning. To our guests from Baden-Wurttemberg, a warm welcome to Singapore. It gives me great pleasure to join you today at the Baden-Wurttemberg – Singapore Health Care & Biotechnology symposium.

The importance of R&D

Singapore has made science a priority in our economic development, and an engine for innovation and enterprise. Since 2000, we have embarked on plans to make Singapore a Knowledge-based Economy, and have made a commitment to invest in key R&D areas such as the biomedical sciences, physical sciences & engineering, and interactive & digital media. For Singapore to truly be a world-class R&D hub, we must also be well-connected to the international scientific community, and establish global networks for R&D. Partnerships with leading research hubs in the world, such as with the Baden-Wurttemberg region in Germany, are therefore important.

In the last 5 years, we have seen a quick ramp-up of R&D activities in Singapore. The National Survey of R&D, published in December 2007 by the Agency for Science, Technology & Research (A*STAR), showed that Singapore's total R&D expenditure has increased from S$3 billion in 2000 to S$5 billion in 2006 - an increase of 67%. Out of this, the private sector’s share of R&D has also increased, from 62% of total R&D expenditure in Singapore in 2000, to 67% in 2006. The Gross Expenditure on R&D (GERD) as a percentage of Singapore’s GDP now stands at 2.39%. These results are very encouraging, and with more dollars being invested in R&D in the coming years, we are on track to achieve our target of 3% of our GDP being spent on R&D by 2010.

The Biomedical Sciences industry

In the Biomedical Sciences, which Singapore has been developing as a strategic sector since 2000, I am glad to say that the industry has grown remarkably. In fact, the Biomedical Sciences manufacturing output has grown more than 3 times, from S$6.3 billion in 2000, to S$24 billion in 2007.

In the recent years, we have also attracted a number of pharmaceutical companies to establish R&D centers in Singapore such as Novartis’ Institute of Tropical Disease which focuses on research in TB, dengue and malaria, as well as Lilly’s Centre for Drug Discovery. We are also building up the base for the biotech industry in Singapore, with over 25 biotech companies with research activities.

Having established a critical mass of key basic research capabilities at Bio polis, Singapore has embarked on Phase 2 of our Biomedical Sciences initiative in 2006, together with the Ministry of Health. The key focus of Phase 2 is the strengthening of Translational and Clinical research (TCR) capabilities, that is intended to translate basic science discoveries and new technologies into better diagnostics, medicines and treatments to improve human health.

Our partnership

Baden-Wurttemberg has been a key economic partner for Singapore. Both our leadership recognize the many benefits that would result from deepening bilateral links, especially in research and education. Today’s Symposium on Healthcare and Biotechnology which focused on translational and clinical sciences is a good example.

Addressing challenges at the interface of engineering and biology is expected to be the next frontier of providing healthcare solutions to patients. Combining biotechnology & medical technology with engineering, for instance, is an area where Baden-Wurttemberg and Singapore can together capitalize on our strengths to develop new innovations. In Singapore, the opening of Fusion polis in October, just 600 meters away from Bio polis, offers tremendous opportunities to converge different scientific disciplines and allow new ideas for multi-disciplinary research to take place. This close proximity will catalyze more interactions among the scientific community.

I also would like to commend the Singapore-German Chamber of Commerce & Industry for its role in enhancing our bilateral relations with Baden-Wurttemberg. Indeed, the involvement of industry in such initiatives is key towards bringing research and commercial interests together.

Lastly, I would like to thank the organizers for putting together what will undoubtedly be a very enlightening and informative symposium. I encourage all of you to use the opportunity to find out more about the strengths of the universities, institutions, and companies from both sides, and to explore potential research opportunities and collaborations. I wish you a fruitful time ahead.

Thank you.