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The Biotechnology Centre of Excellence

In brief: The new Biotechnology Centre of Excellence has received much publicity of late, but what does it really tell us about new kinds of strategies and opportunities for research enterprises? Johanna Gibson discusses the issues.

Introduction – research clusters

Research programs based on integration between science and industry are proving increasingly attractive proposals for government funding. Current examples include the Co-operative Research Centres (or CRCs) and the recently announced NSW Biotechnology Incubator. Another example is the Monash Research Cluster for Biomedicine which incorporates the Centre for Stem Cells and Tissue Repair, with the term 'cluster' characterising a geographical congregation of similar commercial, research and economic interests in order to encourage collaboration and the proliferation of innovation.

As part of its Backing Australia's Ability initiative, the Commonwealth Government announced on 30 May 2002 that the Centre was the successful applicant for Australia's first Biotechnology Centre of Excellence. The grant associated with this award comprises $46.5 million in Commonwealth funding over five years, with a further $10 million contribution from the Victorian Government.

This article highlights the value of the Centre as a model for future collaborative research initiatives and discusses the Centre's approach in demonstrating its potential for commercialisation through an integrated research and commercialisation platform.

Centre for Stem Cells

Located at Monash University in Melbourne, the Centre for Stem Cells is a national centre incorporating research partners from several Australian universities, research organisations and biotechnology companies. The Centre will consolidate research groups across the fields of biomedicine, biotechnology, IVF technology, genomics, bioinformatics and nanotechnology.

New perspective for research programs – an integrated proposal

Professor Alan Trounson, Director of the Monash Institute of Reproduction and Development argued in a recent presentation to the BioMelbourne Network that the Centre signals a novel way of thinking about biotechnology research and the industry as a whole.

He suggested that research centres can no longer separate themselves from the social, political and commercial context of their work, but must instead realise a basis from which intellectual property and commercialisation potential can be achieved. They must engage in research within the context of public policy issues in such a way that medicine itself is transformed, in addition to the public perception and understanding of advances in these areas.

In formulating its proposal, the Centre avoided the traditional formula of developing a potential 'cure' within a finite period. Instead, the Centre's proposal to the Government set out a broad research and commercialisation platform upon which it could achieve further advances in transplantation and immunology. Further to this, the proposal did not separate research with adult stem cells from that of embryonic stem cells, but rather presented an integrated research and commercialisation platform.

IP and partnering strategies

Professor Trounson advocated building research upon this integrated platform to enable the Centre to develop its own intellectual property. This in turn should enable the Centre to participate fully in the commercialisation of its technology and give it the freedom to influence the platform upon which further research can be based. Importantly, this approach should help secure the Centre's financial independence and provide incentives for the researchers to deliver a more competitive and commercial research environment. Incentives that may be achieved through such intellectual property protection include royalty sharing principles and equity in spin-off or start-up companies.

For biotechnology companies, partnering often provides the most accessible source of capital. In this example, not only will the integrated focus on commercialisation ensure future research and innovation, but in addition will provide the Centre with the necessary infrastructure to support the emerging technologies.

Public policy context

Despite the benefits of collaborative models, concerns about an overemphasis on commercialisation have arisen, a suspicion that such an overemphasis could lead to research being driven by purely economic agendas.

It is well known that to achieve and maintain public funding, institutions must be in step with the community. In this example, the somewhat controversial nature of the work the Centre is proposing to undertake has emphasised the importance of considering the impact of public policy on the field of research. It has also highlighted the importance of balancing the expectations of science and industry with that of the greater community.

Future strategies

The Centre for Stem Cells and Tissue Repair, and the Centre of Excellence program as a whole, marks a significant change in perspective for funding initiatives and is likely to prove an important model for future collaborative research initiatives.

The National Health and Medical Research Council has acknowledged the importance of such multidisciplinary collaborative research projects in what it refers to as the 'research continuum'. It has also identified this critical need for wider input and comment from the Australian community beyond that of Government, scientists and research institutions.

To this end, the NHMRC's Strategic Research Development Committee has released Developing National Research Priorities: An Issues Paper for public comment. Public submissions will be received until 5pm on Monday, 11 November 2002.

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