John Crown (Independent)

I ask the Leader to consider the holding of a formal debate in this House, with appropriate ministerial presence, on the critical importance, future and threat to the biopharmaceutical manufacturing sector in this country, which is an extraordinarily important part of our economy that gives us a set of international comparators which are in the superlative range in terms of where we are in league tables. Some €49 billion worth of chemicals and pharmaceuticals were exported from Ireland in 2010, which accounts for 55% of all merchandise exports. It is estimated that in 2011 that figure will be 58%. Some €1 billion in corporation tax was generated by this sector, which accounts for one quarter of all corporation tax in 2010, a figure which approximates to 70% to 80% of the stamp duty take at the height of the real estate bubble.

The problem that arises in the pharmaceutical sector is that while drugs have patent copyright life cycles of approximately 20 years, they are not commercially available during the initial years but in various phases of clinical trials. As such, the commercial phase during which the drugs can be sold is typically between ten and 15 years. A problem arises in that seven of the top ten drugs in the world, which are made in Ireland, will be coming off or have come off patency between 2010 and 2014. It is estimated that sales of these drugs worldwide will decrease as a result, from €27 billion to €13 billion. Obviously, not all of that loss will be directly felt at manufacturing level as there are various stages to the value adding process. However, this will present a major revenue problem and, more important, a threat to employment in one of the largest sectors in this country.

We need a little forward planning in this regard. We need to put in place a strategy along two lines. We need to consider further tax incentives to retain manufacture of some of these drugs if they go off patent and become generic in this country and to incentivise companies - there are new drugs coming on stream all the time - to continue the trend of developing new manufacturing plants for new drugs here.

I wonder if the drugs were made here and if the skills and established trade relationships were here, if it would be possible, as drugs come off patent and go the route of generics, for us to reinvigorate our native generic drug sector. If we have the people-----