Wednesday, April 27, 2005

Malaysia Going After The Pearl Of Biotech Industry


KUALA LUMPUR, April 26 (Bernama) -- Being in the mega biodiversity league with 12 other nations has not made Malaysia's achievement in biotechnology something to crow about.
While countries with advance biotechnology have long been in the high end of the industry and conquered the world with the extraction of herbs for better value, Malaysia is satisfied playing on the low side of the field.
Most of the biotech activities in the country still centre on turning the herbs into powder form and sold in capsule or blended into juice.
Chief Executive Officer of Tropical Botanics Malaysia Sdn Bhd, Dr Rajen M. is very philosophical in describing current state of Malaysia's biotechnology status.
He likens the scenario in the country to that of "a sea shell on the shore."
"We are excited by the sea shell with different colours. The real pearls are in the ocean. One pearl there could be worth more than all the sea shells -- that is herbal extraction," he said.
Tropical Botanics, a joint venture between Malaysian Herbal Corporation (MHC) -- the investment outfit of the Malaysian Industry Government Grouping for High Technology (MIGHT), is Malaysia's first multi-herb extraction firm.
MardiTech, the investment subsidiary of the Malaysian Agricultural Research and Development Institute (Mardi) and Mayban Ventures, the venture capital arm of Maybank, also have a stake in the company.

WORLD HERBAL INDUSTRY
Dr Rajen said herbal extraction is the technology that Malaysia should undertake if it wanted to leapfrog into the world herbal industry worth US$50 billion.
He said there are many herbs that are unique to Malaysia which is the fourth largest producer after China, India and Indonesia.
Uniquely too, Malaysia is the only place in the world where herbs used by the Chinese, Indian and Malay, like "pegaga" (centella asiatica) and "kacip fatimah" (labisia pothoina) have been "cooked" for the last 500 years.
Associate Professor of Molecular Medicine, Dr Mohamed Saifulaman Mohamed Said, of the Institute of Medical Biotechnology, Universiti Teknologi MARA (UiTM), said Malaysia's other unique attribute was that its biodiversity was not only in the flora and fauna but also in the people.
Malaysia is the only place in the world where three races -- the Malays, Chinese and Indians -- live in one place, he said.
In doing research on a certain drug, for instance, in China, the medicine works for the Chinese but if the product is tested on other races, there might be some adverse reaction.
"So, by coming to Malaysia, you can do testing on the Malays who represent the Malay stock, the Chinese for those from mainland China, and so also the Indian," he said.
Dr Saifulaman said herb extraction through biotechnology was the only choice if Malaysia wants to compete with a country like China.
The local herbal industry is said to be worth between RM4 billion and RM5 billion a year.
The sector is expected to contribute about five percent to the Gross National Product by 2020.

BIOTECH BANDWAGON
The fact is, Malaysia's push to get onto the biotechnology bandwagon is not a recent effort.
Over time, it evolved and to become the latest national project and new engine of growth for the country.
The government is looking into various ways to accelerate the development of biotechnology like formulating specific laws and creating a new agency to manage the industry.
Many universities in the country had been or are putting their academic infrastructure in place to meet the challenges of the biotech development.
Besides, various physical infrastructure like the BioValley are being put in place as a hub of biotech companies and research institutions to carry out their activities.
The project, similar to the country's Multimedia Super Corridor (MSC), may provide incentives currently offered by the United States, Europe, China, India and Singapore.
Science, Technology and Innovation Minister Datuk Seri Dr Jamaludin Jarjis said the perks might include tax incentives and pioneer status.
Details of the incentives will be announced by Prime Minister Datuk Seri Abdullah Ahmad Badawi when he unveils the country's biotechnology policy this Thursday.
The task of providing infrastructure for the industry was well complemented by the private sector which has full faith in the potential of the industry.
One private sector project is @enstek, an integrated township in Negeri Sembilan, being developed by TH-NSTC Sdn Bhd.
TH-NSTC is a joint venture between TH Properties Sdn Bhd, a wholly-owned subsidiary of Lembaga Tabung Haji and the Negeri Sembilan State Development Corporation.

HOTBED FOR BIOTECH
The entire township, covering an area of more than 2,000 hectares, will be the industrial and technological hub which will function as a hotbed for high technology -- non-pollutant industries encompassing biotechnology, information technology, advance manufacturing technology and other related technology.
Chief Executive Officer of TH Properties, Syed Mohamed Syed Ibrahim, explained the reason behind the company's drive in choosing the biotech sector as its industry partner.
"...simply because we feel that this industry has the potential to contribute significantly to the economic growth of the country," he said.
Three companies -- Tropical Botanics, Felda Agricultural Services Sdn Bhd and Stevian Biotechnology Corporation Sdn Bhd. -- are already in the techpark.
Tropical Botanics would be operating Malaysia's first multi-herb extraction plant there while Felda Agricultural, which is involved in tissue culture and cloning, would be opening a RM25-million biotech laboratory in April next year.
Stevian Biotechnology Corporation is involved in research and development, and manufacturing natural sweeteners with functional, sensorial as well a health and nutritional properties.
It's plant at @enstek will be the largest "saccharides sweetener-centric" operating outside Japan.
Besides these companies, Syed Mohamed said the techpark also had strategic collaboration with biotechnology partners in the likes of MHC and Chemical Engineering Pilot Plant (CEPP) of UiTM.
CEPP would set up the largest research and development (R&D) centre in @enstek specialising in the extraction and chemical processes of herbal products.
Syed Mohamed said TH Properties is talking to five big investors including two companies from Singapore and Germany which are keen to participate.
He refused to reveal the name of the investors, saying that the deals would be concluded "in a couple of months."
With all the facilities on the line, Malaysia should be poised to enjoy the pearl of biotechnology from the ocean of the country's resources.

No comments: