Next Generation Prosperity 2020 - PEI BioAlliance...Incubator under the Canadian Accelerator and Incubator Program (CAIP) • $14 million Centres of Excellence for Commercialization

Next Generation Prosperity Strategy for Prince Edward Island Bioscience Cluster Development

2020

TABLE OF CONTENTS

Introduction ................................................................................................................4

Current State Assessment ...........................................................................................5

Vision and Mission ......................................................................................................9

Cluster Development Principles ................................................................................11

2020 Targets ..............................................................................................................12

Key Competencies and Market Focus ........................................................................13

Critical Building Blocks .............................................................................................14

Strategic Priorities.....................................................................................................15

1: Invest in State-of-the-Art Facilities and Services ..............................................15

2: Attract More High Quality Business Opportunities ..........................................16

3: Incubate and Accelerate Commercial Success....................................................17

4: Grow our Talent Pool .........................................................................................18

5: Strengthen Collaboration Between Cluster Businesses

and Academic and Research Organizations .......................................................19

6: Increase Local, National, and Global Recognition .............................................20

Role of the PEI BioAlliance Inc ..................................................................................21

Concluding Comments ..............................................................................................22

Appendix ...................................................................................................................23

I N T RO D U C T I O NN E X T G EN ER AT I O N

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The Prince Edward Island BioAlliance is the private sector-led not-for-profit organization that is responsible for developing and coordinating the strategy for the growth of the Prince Edward Island Bioscience Cluster. Since 2005, the BioAlliance has facilitated the work of businesses, academic and research institutions, and federal and provincial government agencies in establishing the bioscience sector as a key pillar in the economic foundation of the province and Atlantic Canada.

Building from plans developed in 2005, 2008, and 2012, the collaborative model of the BioAlliance has enabled a unique shared vision, an alignment on priorities and strategy, and allocation of resources, that has delivered results. BioAlliance partners from business, research, academia, and governments, as well as all Islanders, have shared in the positive impact of the growth of bioscience-based businesses, jobs, and export revenues.

In the Fall of 2015, Board members and key stakeholders examined the current state of the Cluster and set out a plan for the next stage of growth and development. Much has been accomplished since the previous strategy was developed and launched in 2012. Prosperity through growth of the sector is our goal, but growth also creates demands on infrastructure, human resources and capital that must be addressed in order to continue to expand the benefits. The challenge is to ensure that the plans to achieve those ends obtain maximum impact with the optimum use of the public and private investments that will support those plans.

This 2020 Strategic Plan is intended to guide Cluster partner priorities and direction for the next three to five years.

INTRODUCTION

5

C U R R EN T S TAT E A S S E S S M EN TN E X T G EN ER AT I O N

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CURRENT STATE ASSESSMENT

The BioAlliance Board has defined success for the Cluster over the past decade in terms of three key metrics:

• Private sector revenue growth• Private sector job creation• Investment in research and development

The figures on page 6 provide trend-over-time evidence of the success of the Cluster. The number of bioscience companies has increased over the last planning cycle (2010-15) from 30 to 44. These figures do not include a number of companies (7) that have exited the Cluster due to business failure or closing down PEI operations during that period.

The private sector revenue target set for 2015 has been exceeded with an impressive 150% increase to over $218 million. In the same period total jobs increased from 750 to 1400, with 80% of the increase being in the private sector. Over the last five years of available Stats Can data (2008-13), investment in R&D increased by 16% from $64 million to $74 million, with a spike to $82 million in 2012. Private sector investment in R&D has been the fastest growing component.

Other important metrics that have been tracked in recent years through company surveys include follow-on capital and capital expenditures. Follow-on capital is the addition of private sector capital to a company’s asset base in the form of equity investment, loans, or convertible debentures. It is an important indication of the perceived quality of a company’s business plan and its ability to provide a return on that invested capital. Cluster companies attracted an impressive $15 - $22 million per year in follow-on investment in the past five years with capital expenditures estimated to average over $30 million per year. These are very healthy signs of Cluster company quality and of their impact on the PEI economy.

Kensington

Summerside

New Glasgow

Victoria

Milton

CornwallCharlottetown

Summerville

Belle River

Fortune BridgeSouris

Montague


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6

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

1600

1400

1200

1000

800

600

400

200

0

452

705 750786 750

906990

1027 1067

1270

1410

Private Sector Companies Public Sector Organizations

PEI BIOCLUSTER EMPLOYMENT GROWTH

2003 2008 20102006 2012 2013 2014 est.2015

250

200

150

100

50

0

PEI BIOCLUSTER PRIVATE SECTOR REVENUE

4562

79

95

124145

173

215

MIL

LIO

NS

$

2001

100

90

80

70

60

50

40

30

20

10

0

PEI BIOCLUSTER R&D EXPENDITURES

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

MIL

LIO

NS

$

FOLLOW-ON CAPITAL INVESTMENT

25

20

15

10

5

0

MIL

LIO

NS

$

Revenue

2010 2014201320122011

13.6

18.6

22.6

20 20.1

24.3

2015

7


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The figure below shows that employment is focused in several larger companies, with 58% of the companies in the Cluster having 5 employees or less. About half of the companies in the Cluster are pre-revenue, and five companies have over $5 million in gross sales.

Through the planning process, a number of strengths of the PEI Cluster were identified. Many are the result of the strong partnership that is the foundation of the Cluster. These include:

• Connected, collaborative ecosystem and culture • BioAlliance as catalytic leader, maintaining focus and direction• Stalwart support of governments with funding, public policy innovation, access,

and timely decisions • Core support services to help facilitate timely access to markets (incl. mentoring

and incubation)• Access to technical expertise and infrastructure including National Research

Council, UPEI/Atlantic Veterinary College, Holland College and BioFoodTech • Linkages with post-secondary education system to support workforce

development and ability to adapt educational programs to industry needs • Ability to attract high quality people and access human resources • Networking and professional development• Provincial government strategy to invest in Bioscience, Aerospace and IT• Business attraction because of low operating costs relative to larger centers,

access to technical expertise, tax incentives and SRED, complete supply chain opportunities and quality of life

2004 2008 20092007 2011 2012 2013 2014 2015

40

35

30

25

20

15

10

5

0

PEI BIOCLUSTER COMPANY GROWTH

16

2527

3033

3638

4043

Pre-revenue

25

20

15

10

5

0

PRIVATE COMPANIES BY REVENUE

# O

F C

OM

PAN

IES

Revenue

<$500K $500K-5M >$20M$5-20M

23

12

3 2 3


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Major achievements at a Cluster level, beyond key metrics, were noted, including:

• Continued growth and economic achievement, as demonstrated in the 2014 Economic Impact Assessment (see Appendix A)

• Established credibility and recognition as a strategic economic opportunity for the province

• $3.6 million funding award and establishment of Emergence Bioscience Business Incubator under the Canadian Accelerator and Incubator Program (CAIP)

• $14 million Centres of Excellence for Commercialization and Research (CECR) funding award to establish Natural Products Canada national accelerator, led by PEI BioAlliance partners. This was the first of its kind in the Maritime provinces.

The planning process also revealed several weaknesses of the Cluster that should be the focus of plans and strategies for the next evolution of the Cluster:

• Relatively small Cluster and lack of critical mass • Limited access to capital related to public funding (diminishing government

funding, lengthy application processes) and access to private funds • Difficulty in attraction and retention of some specialized skilled/high quality

people (incl. regulatory, QC/QA, marketing and sales)• A need for more Canada Research Chairs in bioscience and natural product

chemistry, fish health, and animal health• Need for increased physical infrastructure (incubator labs, cost effective wet labs,

equipment found in larger centres) • Lack of awareness of PEI as a bioscience centre and lack of international

recognition• Need for greater linkages between academic research and private sector to ensure

talent and skills opportunity stay in PEI• Limited integration, engagement, feeder system from university (e.g., spin outs) • Resource concerns (incl. succession planning, stretched resources, availability of

services) • Remote location/transportation issues/logistic costs• Lack of awareness within PEI public of importance of bioscience cluster

V IS I O N A N D M IS S I O NN E X T G EN ER AT I O N

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The Prince Edward Island Bioscience Cluster will be the location of choice for companies engaged in the research, development, and commercialization of bioactives-based human and animal health and nutrition products.

VISION

Next Generation Prosperity: To create wealth and career opportunities in Prince Edward Island through an outstanding bio-business ecosystem networked to the world.

MISSION

V IS I O N A N D M IS S I O NN E X T G EN ER AT I O N

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2015 was the 10-year anniversary of the BioAlliance. Board members engaged in a foresight exercise to imagine what the PEI BioCluster would need to look like in another 10 years, by 2025, in order to achieve our vision. They imagined what significant global and societal changes have taken place that will influence our Cluster businesses and research organizations, and what actions should be taken in order to support the next ten years of growth.

Prince Edward Island Cluster in 2025

• A leading sector for export sales from Prince Edward Island • Existing three anchor companies investing and experiencing double digit growth • Six more 100+ employee companies• Strategic infrastructure in place around the Cluster; BioAccelerator operating

at capacity and financially self-sustaining; BioCommons operating at/or near capacity

• Four Tier 1 Canada Research Chairs (CRC)’s/Industrial Research Chairs in bioscience (natural products, fish health, animal health, bioprocessing)

• Strong alignment of UPEI AVC, Science, Business and Engineering Faculties with BioCluster business community

• Expanded education and research programs and strategic infrastructure at Holland College and UPEI enabled by Cluster growth

• Success in attracting and retaining high quality people in business and research• Increased local entrepreneurship in bioscience-based businesses• Prince Edward Island recognized as a leading Bioscience Cluster nationally and

globally: natural product chemistry; animal health; fish health; pharmaceutical manufacturing; diagnostics; fermentation systems; extraction/purification systems; regulatory; business incubation and product commercialization

• Emergence recognized as best-in-class bioscience business incubator/accelerator • Natural Products Canada established as a self-sustaining national

accelerator recognized as a Canadian and international model of technology commercialization

• Improved access to capital for early stage companies (angel funds backed with matching government investment)

• Atlantic Canada-wide initiatives to achieve critical mass/utilize expertise• Alignment/collaborations with larger centres (including other Canadian, UK,

Germany, USA, Asia)• VetHealth Global and NeuroConX established as ‘must attend’ international

conferences

C L US T ER D E V ELO P M EN T P R I N C I P L E SN E X T G EN ER AT I O N

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• Growth of the PEI Cluster will be measured by the growth in business revenues, the number of profitable companies, the increase in private sector employment, and the growth of our academic and research institutions

• The success of the PEI Bioscience Cluster increases the successes and the opportunities for all Cluster partners

• A substantial increase in relevant public sector science and research capacity is understood to be an important enabling condition in attracting private sector investment to the PEI Cluster

• Access to capital, including our ability to attract private sector investment is critical to sustainable growth of the Cluster

• Growth of the PEI Cluster will be driven by four components: -Growth of existing companies -New business attraction -New entrepreneurs -Technology transfer from academia and research organizations

• High quality infrastructure, including commercialization support services, is a competitive advantage that will attract companies to PEI

• Ready access to key decision-makers is a key strength of the PEI Cluster • Access to skilled human resources in the technical, scientific, process

engineering, and management areas is an essential attribute of successful Cluster growth

• Quality-of-life factors are a valuable asset in promoting Prince Edward Island at the personal and business level

CLUSTER DEVELOPMENT PRINCIPLES

2020 TA RG E T SN E X T G EN ER AT I O N

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One of the most important roles of the BioAlliance Board is to establish goals for the organization at a Cluster level and develop the strategic plan to achieve these goals. For 2020, the Board set the following challenging targets that define success for the next five years:

• Private sector revenue doubles to $400 million per year • Bio-Sector employment exceeds 2000 persons• R&D expenditures increase to $100 million per year, led by the private sector• Expanded internationally competitive private sector (as measured by export

sales, international market breadth, product range)• Private sector capital investment of $150 million over the five year period• Follow on private investment of $100 million over five years • Increased recognition as a leading international centre for bioactives-based

health product development

2020 TARGETS

K E Y CO M P E T EN CI E S A N D M A R K E T F O C USN E X T G EN ER AT I O N

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Over the past decade, the PEI Cluster has established a number of key competencies that are central to the growth and development of existing companies and vital to the attraction of new businesses, investment, and human resources. Consistent with the very concept of an economic cluster, these competencies reside within a multiplicity of partners, including private sector companies and service providers, academic organizations, scientific research organizations, and government partners:

• Natural Product Chemistry• Active Pharmaceutical Ingredient Manufacturing• Fermentation/Extraction/Purification Systems • Fish Health Product Development and Manufacturing (Nutrition and Vaccines)• Animal Health Product Development (Nutrition, Health Protection)• Functional Ingredient-based Food Product Development/Manufacturing• Regulatory Strategy• Bioscience Business Incubation/Product Commercialization

Another strength of the PEI BioCluster’s strategy has been a focus on a limited number of large and growing target markets where our competencies and technologies provide the foundation for our businesses to be internationally competitive. These target markets include:

• Cosmetic Ingredients/Personal Health Care/Natural Health Products• Functional Food Ingredients • Pharmaceutical active ingredients• Diagnostics • Fish Health • Animal Health • Contract Services

The planning process reconfirmed the importance of the technology platforms and competencies listed above. Stakeholders also confirmed the validity of the emphasis on the target markets from the standpoint of consumer trends, demographics, and market response to date.

KEY COMPETENCIES AND MARKET FOCUS

C RI T I C A L B U I L D I N G B LO C K SN E X T G EN ER AT I O N

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The strategic planning process also confirmed what were considered the critical building blocks for a successful and enabling innovation ecosystem in the bioscience sector:

• Access to public and private capital • State of the art (affordable and appropriate) lab, office and manufacturing

facilities • Access to skilled human resources (train, attract, network, connect)• Environment to support the growth of existing companies • Environment to support attraction of new companies • Environment to support technology transfer, licensing and spin-outs• Relevant and accessible research capacity • Favourable incentives and tax treatment • Availability of support service providers (e.g., legal, financial, CRO)

CRITICAL BUILDING BLOCKS

S T R AT EG I C P R I O R I T I E SN E X T G EN ER AT I O N

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The planning process identified six strategic priorities that should be the focus of our investments of time, financial resources, and dedicated effort at a Cluster level over the next five-year period. These include:

1 Invest in State-of-the Art Facilities and Services 2 Attract More High Quality Business Opportunities3 Incubate and Accelerate Commercial Success 4 Grow Our Talent Pool5 Strengthen Cluster Business-Academic and Research Agency Collaboration 6 Increase Local, National and Global Recognition

The following sections provide details of the actions required under each strategic priority to reach our targets, address our critical issues, and achieve our vision.

I N V E S T I N S TAT E-O F-T H E A R T FAC I L I T I E S A N D S E RV I C E S Ensure access to state-of-the art lab, office and manufacturing facilities and technical services in PEI that are affordable and meet the needs of new and existing companies 1. Execute a Bioscience Strategic Infrastructure Plan (BSIP) to establish the key

facilities and associated services:a. BioAccelerator: refine and execute the current draft business plan in 2016,

partnering with federal and provincial funding sources, targeting completion late-2017

b. Support the relocation of National Research Council facilities to the BioAccelerator

c. Finalize the business plan and assign operating and financial responsibility for Duffy Research Centre to the PEI BioAlliance

d. Expand Canada’s Smartest Kitchen’s Technology Access Centre and further integrate with BioFoodTech to maximize the impact of existing infrastructure

2. Improve access to existing facilities and infrastructure to enhance Cluster growth:

a. Support the UPEI School of Sustainable Design Engineering in hiring qualified faculty in bioprocess engineering that will draw the interest and engagement of Cluster private sector companies

b. Grow industry partnerships with the Holland College Bioscience Technology Program to maximize use of current technology and space

c. Increase industry-academic collaborations, working with Synapse Inc. to improve access to UPEI and AVC expertise and facilities

3. Prepare a regional inventory of public and private sector specialized facilities, technologies, equipment and services relevant to the bioscience sector in Atlantic Canada

STRATEGIC PRIORITIES

1


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AT T R AC T M O R E H I G H Q UA L I T Y B U S I N E S S O P P O R T U N I T I E S Enhance prospecting tools and resources to facilitate increased attraction of unique technologies with potential for commercial success, to the PEI Bioscience Cluster

1. Capitalize on the success of the Natural Products Canada CECR proposal to establish Prince Edward Island as the leading centre for natural product development and commercialization in North America

2. Utilize the Emergence Incubator to attract and screen relevant quality business opportunities with a view to their establishing a presence in PEI

3. Utilize the unique and coordinated approach for prospecting new opportunities through the Venture Development Coordinating Committee (made up of representatives of provincial and federal governments, scientific research organizations, and technology transfer offices, chaired by the PEI BioAlliance); add Natural Product Canada Business Development to the team.

4. Empower all Cluster partners to identify and refer new business leads to the VDCC. Provide consistent messaging and tools to support partner efforts in contributing to growing the Cluster during their independent travel across the country and around the world

5. Explore opportunities to attract suppliers/contract service providers based on the needs of existing bioscience companies located in PEI

6. Build on the growing success and brand of VetHealth Global and NeuroConX as a means of attracting business and investment opportunities to the PEI Cluster; identify existing or new means to bring attention to opportunities in fish health and natural health products.

7. Establish a regularly updated inventory of platform services and technology to support prospecting activities

8. Seize opportunities to showcase the Cluster ecosystem during BioPartnering missions and other international conferences. Enhance pre and post conference activity through use of social media and strategic follow-up and evaluation

2


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3 I N C U B AT E A N D ACC E L E R AT E CO M M E RC I A L S U CC E S S Build the reputation of the PEI Cluster as an outstanding location for companies to commercialize new products in areas of Cluster technical and commercial expertise

1. Work closely with start up and early stage companies to identify current and anticipated needs and create greater awareness of services and supports available. (e.g., outreach to companies, key contacts, lead mentors, roundtable discussions)

2. Grow the number of existing and prospective companies engaged with the Emergence Incubator and ensure the long-term sustainability of program

3. Increase access to private capital:a. Support companies in becoming investor ready through Emergence b. Enable Emergence to expand and utilize its private sector capital investment

network to provide companies access to capitalc. Prepare appropriate companies to access Natural Products Canada for further

investment, acceleration and growthd. Advocate for the implementation of a provincial Equity Tax Rebate program for

private sector investment in the technology sector, including biosciencee. Facilitate pitch readiness and work with partners from other technology sector

to establish a forum to connect businesses and investors4. Increase access to public capital:a. Encourage Innovation PEI to review impact of current program expendituresb. Work with ACOA to maximize impact of Atlantic Innovation Fund and other

programs by facilitating the development of high quality proposalsc. Increase Emergence funding by demonstrating demand and success5. Offer diverse and relevant opportunities for companies to network and connect

to customers and investors at home and abroad through conferences, IBDA BioPartnering, and bionetworking events

6. Work with Island Advance, Atlantic Venture Forum, and other like initiatives to increase investor awareness of investment opportunities in the bioscience sector.


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G ROW O U R TA L E N T P O O LSupport the attraction, retention, and development of skilled human resources to support Cluster growth and development

1. Develop and implement an updated Human Resources Strategy to support Cluster development that reflects the needs of companies and stakeholders

2. Gain a stronger understanding of company-specific HR needs (e.g., employment gaps, training) and identify support needed (e.g., programs to support smaller companies with talent attraction, and funding for post-doctoral fellowships and new graduates)

3. Develop a PEI BioAlliance “one pager” to support recruitment of key human resources

4. Profile and celebrate the quality of national and international talent currently within the PEI BioCluster

5. Invite international students to participate in networking and other events6. Partner with other organizations to support improvements in the K-12

education system, access to primary health care, and opportunities for spousal employment

7. Engage students and collaborate with K-12 and post-secondary institution programs to build awareness and interest in bioscience business and research career opportunities

4


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S T R E N G T H E N CO L L A B O R AT I O N B E T W E E N C L U S T E R B U S I N E S S E S A N D AC A D E M I C A N D R E S E A RC H O RG A N I Z AT I O N SFacilitate greater linkages and connections between post-secondary institutions and private sector to encourage greater idea generation and innovation

1. Work with UPEI (Synapse Inc) and Holland College to enhance academic- industry engagement and technology transfer, using NSERC and Springboard tools to build the relationships

2. Partner with and increase industry awareness and engagement with the UPEI School of Sustainable Design Engineering – BioProcess Engineering

3. Promote and encourage involvement in the proposed University of Prince Edward Island cooperative programs in chemistry and biology

4. Establish a series of NSERC-supported topic-specific workshops where private sector companies can present challenges and problem solve during open discussions with professors, researchers and faculty of post-secondary institutions

5. Provide navigation and mentoring support to people pursuing a graduate or post-graduate level of education and help establish linkages to industry in PEI (including volunteer opportunities)

6. Implement an outreach program to better inform specific faculty groups and their students at UPEI and Holland College regarding research commercialization and new business development opportunities

5


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I N C R E A S E L O C A L , N AT I O N A L , A N D G L O B A L R E CO G N I T I O N Continue to grow the Bioscience Cluster’s global networks and connections and establish a greater understanding of the sector’s contributions to the local economy

1. Establish the PEI Cluster as a national symbol of Canada’s innovation infrastructure and an example of economic diversification, export sales, and high paying job opportunities

2. Enhance public awareness and support for the Bioscience Cluster through brand positioning and an active communications strategy

3. Compete locally, nationally and internationally in competitive award/certification/recognition events at the individual business and Cluster level

4. Stay abreast of cluster developments nationally and internationally.

6

RO L E O F T H E P EI B I OA L L I A N C E I N C .N E X T G EN ER AT I O N

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The planning process also examined the areas of responsibility of PEI BioAlliance staff in facilitating Cluster development and asked industry stakeholders and Board members to rate the importance of each. This is important to ensure that the organization is focusing on activities seen as valuable to the overall Cluster development mission.

Following is the prioritized activity list, with between 85% and 65% of respondents rating the activity as important or very important:

• Human resource strategy development and coordination• Business incubation/ mentorship/ specialist services• Cluster marketing and communications• Strategic plan development and coordination• New business development and prospecting• Facilitating access to capital• Cluster networking events• Advocacy on public policy• Facilitation of incoming and outgoing missions• Conference planning and execution

There were no recommendations for eliminating responsibilities of the BioAlliance.

ROLE OF THE PEI BIOALLIANCE INC.

CO N C L U DI N G CO M M EN T SN E X T G EN ER AT I O N

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The past five years has been a period of ‘coming of age’ for the BioAlliance. The Cluster has matured from an ‘interesting start up’ phase to become a credible and dynamic local, national, and international network of companies and research agencies, making an impressive mark on the economy of PEI and Atlantic Canada.

There is much more to do, but the evidence of impact has won steady and essential support from the provincial and federal governments as they see value and return on their investments. The strong momentum in growth and prosperity within the Cluster bodes well for positive results in the next five years, as we establish the Cluster as a Canadian centre of innovation and economic diversification.

The final word goes to one of our industry contributors to our strategic planning process who said it best:

CONCLUDING COMMENTS

“Continue to dream big and execute well; there is not much we cannot do collectively.”

A P P E N D I X

A P P EN DI XN E X T G EN ER AT I O N

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ECONOMIC IMPACT SUMMARY

Selected PEI industries by annual output (2012)$Million

Crop production

Seafood product preparation and packaging

Bioscience Cluster

Animal production

Fishing, hunting and trapping

Accommodation services

Arts, entertainment and recreation

Sources: PEI Bioscience Cluster private sector revenue supplied by the PEI BioAlliance.Other industry output derived from Statistics Canada CANSIM Table 381-0031.

$331.2

$214.6

$188.3

$158.5

$106.7

$92.0

$76.5


Selected PEI industries by employment (2012)Per 10,000 employed the overall workforce

Accomodation and food services

Wholesale trade

Bioscience Cluster – total effects*

Banking sector

Bioscience Cluster – direct

Arts, entertainment and recreation

Residential building construction

892

306

270

169

154

143

110


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Average annual employment income comparison (2012)

Public administration

Biosciences cluster*

Wholesale trade

Finance and insurance

Educational services

Banking services

Manufacturing

Professional, scientific & tech services

Construction

All industries

Administrative and support services

Retail trade

Accommodation and food services

$56,505

$54,150

$48,888

$48,236

$45,234

$44,645

$43,219

$43,215

$42,116

$38,589

$27,511

$25,820

$17,598

*Average annual employment income (direct and indirect) for the bioscience sector in 2012. Averageannual employment income for other sectors taken from Statistics Canada CANSIM Table 281-0027.


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PEI Bioscience Cluster taxes generated on PEI (2012)*

Personal income tax (PIT) $14.2 million

Harmonized sales tax (HST) $7.3 million

Property taxes (residential) $2.4 million

Indirect taxes** $5.6 million

Total taxes $29.5 million

Taxes as a percentage of GDP 21.1%

*Combined direct, indirect and induced effects. Derived using Statistics Canada’s I-O Tables at the M level (2009) and other Statistics Canada CANSIM tables relating to taxation and spending.

PEI BIOSCIENCE CLUSTER: IN CONTEXT

Percentage change in the total value of product exports (2004-2013)

147%

39%

Biosciences-relatedexports

Total exports (all industries)


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Point #3: The cluster is a research intensive industry% change in gross domestic expenditures on R&D (GERD) - 2004-2011

Newfoundland and Labrador

Prince Edward Island

New Brunswick

Saskatchewan

Manitoba

British Columbia

Nova Scotia

Alberta

Ontario

Quebec

+70%

+48%

+26%

+22%

+22%

+19%

+11%

+5%

+5%

+2%

Excluding the national capital region. Source: Statistics Canada CANSIM Table 358-0001.


Point #6: The PEI cluster is emerging as an important player on the national stage

Biologists and related scientists per 10,000 in the labour market

12.7%

19.7%

Canada Prince Edward Island

Source: Statistics Canada 2011 National Household Survey.


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Per Capita Value of International Exports (2013)NAICS 32541 Pharmaceutical and Medicine Manufacturing

Manitoba

Ontario


Quebec

British Columbia

Nova Scotia

Alberta

Saskatchewan


New Brunswick

$329

$324

$251

$134

$19

$13

$10

$6

$2

$2

Source: Statistics Canada data as published by Industry Canada’s Trade Data Online.



Per Capita Value of International Exports (2013)NAICS 32519 - Other Basic Organic Chemical Manufacturing

Alberta


Quebec

Ontario

Manitoba

New Brunswick

Nova Scotia

British Columbia

Saskatchewan


$443

$142

$117

$67

$22

$16

$15

$14

$2

$0

Source: Statistics Canada data as published by Industry Canada’s Trade Data Online.


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PEI BIOSCIENCE CLUSTER: VALUE PROPOSITION

Competitive operating cost environment

Average operating cost premium by locating a biomedical R&Dfacility in the listed communities compared to Charlottetown

Boston

San Diego

Toronto

Raleigh

Vancouver

Montreal

Source: KPMG Competitive Alternatives 2014.

+43%

+40%

+26%

+24%

+23%

+20%

PEI BIOSCIENCE CLUSTER: VALUE PROPOSITION

The talent pipeline

Percentage of total university and college enrolments in physical,life sciences and related technologies programs (2012)

5.1%

9.8%

All Canadian universities and colleges


Source: Statistics Canada CANSIM Table 477-0029.

R E S E A R C H P A R T N E R S

National Research Council CanadaUniversity of Prince Edward IslandAtlantic Veterinary CollegeHolland College/Canada’s Smartest KitchenAgriculture & Agri-Food CanadaBio Food Tech

G O V E R N M E N T P A R T N E R S

Atlantic Canada Opportunities AgencyInnovation PEINational Research Council Industrial Research Assistance ProgramGlobal Affairs CanadaAgriculture & Agri-Food CanadaInnovation, Science and Economic Development Canada

BOA R D O F D I R EC TO R S

Russ Kerr Chair, NautilusRon Keefe Regis Duffy Bioscience FundBarry Stickings IndependentBrian McMillan Holland CollegeSteve Howatt Technology Crops InternationalDebbie Plouffe Center for Aquaculture TechnologiesJuergen Krause IndependentLincoln Tubbs ElancoAlaa Abd El Aziz UPEINeil Stewart Economic Development & TourismBob Chapman NRC

Observers Maria Rodriguez AAFCRon Atkinson City of CharlottetownPatrick Dorsey ACOA

P R I V A T E S E C T O R C O M P A N I E S

Advanced Extraction Systems Inc.Affinity Immuno Inc.Aqua Bounty Canada Inc.ARK BioMedical Canada Corp.Atlantec BioEnergy CorporationAtlantech® CompaniesAvivagen Animal HealthBioSpaBioVectra IncCana-add Inc.Canada’s Island GardenCentre for Aquaculture Technologies CanadaCNS-CRODelivra Inc.Diversified Metal Engineering (DME)ElancoGRW Laboratories Inc.Halibut PEIHandyman LabsHZPC CanadaIntervivoIsland Abbey Foods Ltd.Island Water TechnologiesMicroSintesisMurphy LaboratoriesNature’s Crops InternationalNautilus Biosciences Canada Inc.Neurodyn Inc.NeuroQuest Inc.OmniActive Health Technologies CanadaOrigins Xtractions Ltd. (OXL)Precise AIPhytoculturesPure PharmaceuticalsRegis Duffy Bioscience FundRetreviumRPS BiologiquesSekisui Diagnostics P.E.I.Sevita International Inc.SolarvestSomru BioSciencesTimeless Veterinary Systems Inc.VirotechnologiesViTRAK Systems Inc.


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Next Generation Prosperity 2020 - PEI BioAlliance...Incubator under the Canadian Accelerator and Incubator Program (CAIP) • $14 million Centres of Excellence for Commercialization