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Evaluation reveals the impact of public research funding on biotechnology and strategies for the future in Finland

December 10, 2002

Finland has made an admirable start in biotechnology.

The evaluation published today in Helsinki reveals the impact of public research funding on biotechnology and related life sciences in Finland. An independent evaluation panel has evaluated the current status of the Finnish biotechnology innovation system, and proposes improvements as appropriate.

According to the evaluation panel, the national effort in biotechnology has made impressive progress. Finland has a very real chance to become one of the most successful small countries in the world in biotechnology, just as it is a model in the ICT sector. Co-operation is one of the great strengths of the Finnish effort.

The evaluation was conducted by a panel of six independent high-level international experts. The panel was chaired by Professor Fotis C. Kafatos, Director-General of the European Molecular Biology Laboratory, Heidelberg. The evaluation combined an external assessment by the international evaluation panel with an internal self-assessment exercise in the form of a questionnaire. A total of 43 organisations including funding organisations, ministries, universities, biocentres, research institutes and companies were interviewed during the panel's two visits to Finland in June and September, 2002. The panel visited five local innovation environments across Finland.

The panel considers that given the long-term horizon of biotechnology, this sector should be developed as a long-term investment. The important innovative instruments that are already in place (e.g. graduate schools, biocentres, civic alliances to promote regional innovation environments) should be preserved and strengthened further.

The progress in the research sphere has been particularly impressive, relative to 15 years ago. The earmarked programme of the Ministry of Education has been a pioneering initiative which has had a major impact on the status and quality of biotechnology research in Finland, both directly and by stimulating investments from other sources.

Panel recommends peer reviews and mechanisms for technology transfer

Expert reviewing is considered important in both fundamental and applied research. The panel strongly recommends that independent peer reviews should be introduced where they are missing.
The biotechnology innovation system shows two obvious gaps: well-developed mechanisms for technology transfer (TT) and support for comprehensive research infrastructures. The translation process has captured the interest of Finnish scientists and is benefiting from investments at several levels; however, to enhance success some significant improvements are needed. The gap in TT is said to be related to the low level of patenting in biotechnology, which is becoming increasingly important. Sophisticated instrumentation infrastructure is vital for biotechnology activities ranging from basic to industrial research and development. Thus, sharing support should be encouraged between the academic and commercial sectors.

The panel also raises a question of lost opportunities for socially beneficial innovation through biotechnology in Finland. Applied biotechnology research in the agriculture, forestry and environment sectors should be further strengthened.

Biotechnology as a pilot basis for testing some of the recommendations

The panel sets out a number of recommendations directed to the academic sector (fundamental research and training), research & development, and industry. Some of the panel's recommendations have implications beyond the biotechnology system. The panel hopes that such reforms could be introduced at least on pilot basis in the biotechnology sector, which is both well defined and sufficiently large for testing. A tenure-track system is strongly recommended in the universities, as well as increased internationalisation for the entire biotechnology system from postdoctoral recruiting to venture capital investing. Internationalisation is needed to sharpen performance with a more demanding frame of reference, to close gaps in expertise, and to address future demographic problems.

The evaluation has been commissioned to serve as a basis for drafting Finland's next national biotechnology development programme 2004-2006. It was undertaken as a joint exercise of the Ministry of Education, Ministry of Trade and Industry, Ministry of Agriculture and Forestry, Ministry of Social Affairs and Health, Ministry of Environment, Academy of Finland, National Technology Agency TEKES, Finnish National Fund for Research and Development SITRA and the Finnish Bioindustries.

Suomen Akatemia (Academy of Finland)