Taiwan’s biotechnology industry is set for an NT$60 billion (US$1.86 billion) boost under a new plan being mulled by the government.
The “Diamond Action Plan for Biotechnology Takeoff” will be financed through venture capital funds, the Cabinet’s National Development Fund and private investors. It aims to raise at least NT$5 billion in capital during initial stages, with 40 percent provided by the NDF.
According to the NDF, capital can be raised over a period of three years, and more than 50 percent of this can be invested in businesses that promote Taiwan’s biotech sector. The measure is expected to spur interest from the private sector.
The Cabinet first moved to set up the support scheme last year, but suspended efforts due to insufficient interest from private investors. The NDF said it now welcomes investment proposals that satisfy regulatory requirements.
Sources familiar with the matter said three firms have submitted applications to the NDF for funding under the plan. Another company, created by Taiwan Cement Corp., the Ruentex Group and Microbio Co. Ltd. will also apply, they added. Six more firms are mulling similar moves.
A biotechnology investment review team under the NDF will meet July 2 to review the three applications. The results will be forwarded to the NDF for final approval. (SFC-JSM)