Funding for Biotechnology Funding for Biotechnology in Africain Africa

Diran MakindeDiran MakindeNEPAD: West Africa Biosciences NetworkNEPAD: West Africa Biosciences Network

Dakar, SenegalDakar, SenegalOxford Conference on Innovation and Technology Oxford Conference on Innovation and Technology

Transfer for Global Health. University of Oxford, UK. Transfer for Global Health. University of Oxford, UK. 9-13 September 20079-13 September 2007

IntroductionIntroduction

Inequalities in health and food Inequalities in health and food security keep widening between security keep widening between developed and developing countries, developed and developing countries, esp. SSA e.g. infant mortality rate, TB esp. SSA e.g. infant mortality rate, TB prevalence, food production rate less prevalence, food production rate less than population growth rate.than population growth rate.

Safe development & application of Safe development & application of biotech to address these face a biotech to address these face a number of challengesnumber of challenges

Biotechnology in AfricaBiotechnology in Africa

ChallengesChallenges Inadequate resources to develop and safely apply Inadequate resources to develop and safely apply

biotechnology (human, infrastructure, and funding)biotechnology (human, infrastructure, and funding) Inadequate policies and legal frameworks Inadequate policies and legal frameworks

(biosafety, IPR, Strategies)(biosafety, IPR, Strategies)Addressing the ChallengesAddressing the Challenges Skills/expertise; Institutions; and ContextSkills/expertise; Institutions; and Context NEPAD Biosciences Initiative: 4 regional hubs and a NEPAD Biosciences Initiative: 4 regional hubs and a

growing no of nodes to mobilise Africa’s scarce growing no of nodes to mobilise Africa’s scarce S&T infrastructure, expertise, financial resources S&T infrastructure, expertise, financial resources and international funding for research and to and international funding for research and to generate innovations in agric, health, etcgenerate innovations in agric, health, etc

Support each Network to prepare IP Protection Support each Network to prepare IP Protection GuidelinesGuidelines

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NEPAD Biosciences Initiative

NEPAD Biosciences Initiative

NABNet, Cairo, Egypt

WABNet. Dakar, Senegal

BecANET. Nairobi, Kenya

SANBio. Pretoria, South Africa

Factors determining the Factors determining the future of biotech in future of biotech in

AfricaAfrica

Proactive policyProactive policyAfrica deciding for AfricaAfrica deciding for Africa

Biosafety legislation and institutionsBiosafety legislation and institutionsAbility to assess the technology for ourselvesAbility to assess the technology for ourselves

Scientific capacity buildingScientific capacity buildingAbility to appropriate and adapt biotechnologyAbility to appropriate and adapt biotechnology

IPR regimesIPR regimesProtect and encourage private investmentProtect and encourage private investment

Public awareness and acceptancePublic awareness and acceptanceCredible competent communicationCredible competent communication

Biosafety Status in sub-Saharan AfricaBiosafety Status in sub-Saharan Africa

Figure 1. The Bio-Safety Need in Sub-Saharan Africa is 89% unmet

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Functional NBFs Interim NBFs NBF is ‘work-in-progress’ No NBFs

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8/05/018/05/01 Monsanto Company ConfidentialMonsanto Company Confidential

AgendaNoneGuidelineEnforced

Status: January 2004

Overview of biosafety Overview of biosafety regulation in Africaregulation in Africa

Pilot studiesMauritania, Morocco, Tunisia

UNEP/ GEF projectsSenegal, Mali, Guinea-Conakry, Siera Leone, Mali, Togo, Benin, Niger, Algeria, Congo, Botswana, Rwanda, Ethiopia, Tanzania, Mozambique, Madagascar

Mauritius

Biotech in Africa: Key Role PlayersBiotech in Africa: Key Role Players

AU-NEPAD BiosciencesAU-NEPAD Biosciences FARAFARA REC- REC- ECOWAS, EAC, SADCECOWAS, EAC, SADC

SROs- SROs- CORAF/WECARD, ASARECACORAF/WECARD, ASARECA,,

InstitutionsInstitutions- - Universities, NARIs, CGIAR CentresUniversities, NARIs, CGIAR Centres

Intergovernmental- Intergovernmental- AAB (Algeria), ABPD, AAB (Algeria), ABPD, USAID/PBS, AATF, World Bank,USAID/PBS, AATF, World Bank,

NGOsNGOs- ABSF, AfricaBio, ISAAA, A-Harvest and - ABSF, AfricaBio, ISAAA, A-Harvest and many others in each country.many others in each country.

NEPAD Biosciences InitiativeNEPAD Biosciences Initiative

Flagship R&D ProgrammesFlagship R&D Programmes::Biodiversity, Biotechnology & Biodiversity, Biotechnology &

Indigenous KnowledgeIndigenous KnowledgeEnergy, Water & DesertificationEnergy, Water & DesertificationMaterial Sciences, Manufacturing, Material Sciences, Manufacturing,

Laser & Post-harvest TechnologiesLaser & Post-harvest TechnologiesMathematical SciencesMathematical SciencesInformation, Communication & Space Information, Communication & Space

Science Technologies.Science Technologies.

NEPAD: Policy ProcessesNEPAD: Policy Processes

African Science, Technology and African Science, Technology and Innovation Indicators Initiative- to monitor Innovation Indicators Initiative- to monitor Africa’s scientific and technological Africa’s scientific and technological development; useful in formulating, development; useful in formulating, adjusting and implementing STI policies.adjusting and implementing STI policies.

High level Panel on Modern Biotechnology- High level Panel on Modern Biotechnology- to facilitate open & informed regional to facilitate open & informed regional multi-stakeholder dialogue associated with multi-stakeholder dialogue associated with /raised by rapid development of modern /raised by rapid development of modern biotechnology.biotechnology.

Priority AreasPriority Areas

Food security; nutrition, healthcare, & Food security; nutrition, healthcare, & environmental sustainabilityenvironmental sustainability

Centre Focus:Centre Focus:

BecANet: Animal biotech (Central BecANet: Animal biotech (Central Africa- Forest technology)Africa- Forest technology)

SANBio: Health biotechSANBio: Health biotech

WABNet: Crop biotechWABNet: Crop biotech

NABNet: Bio-pharmaceuticalsNABNet: Bio-pharmaceuticals

Biotech FundingBiotech Funding South Africa ScenarioSouth Africa Scenario - GDP US$ 11,400- GDP US$ 11,400 -Formal R&D Expenditure 0.87%-Formal R&D Expenditure 0.87% -Companies contribution1.8% sales revenue-Companies contribution1.8% sales revenue -Knowledge economy: key ingredient innovation- capacity to -Knowledge economy: key ingredient innovation- capacity to

innovate internally and absorb external innovation with impact innovate internally and absorb external innovation with impact on the economy and societyon the economy and society

Developed new mechanisms for public funding of R&DDeveloped new mechanisms for public funding of R&D-Technology and Human Resources for Industry Programme (THRIP)-Technology and Human Resources for Industry Programme (THRIP)-’Technology push’: 3 BRICs of $240 million/year-’Technology push’: 3 BRICs of $240 million/year-HSRC’s Centre for Science Technology & Innovation Indicators in -HSRC’s Centre for Science Technology & Innovation Indicators in

collaboration with NRF, NACI, & CHE to provide strategic collaboration with NRF, NACI, & CHE to provide strategic intelligence and analysis to support policy.intelligence and analysis to support policy.

Source: OECD- Review of the South Africa’s Innovation Policy (2007)Source: OECD- Review of the South Africa’s Innovation Policy (2007)

Biotech FundingBiotech Funding Sub-Saharan Africa ScenarioSub-Saharan Africa Scenario- Gross expenditure on R&D less than 0.3% (some 0%)Gross expenditure on R&D less than 0.3% (some 0%)- International donors provide 75% of NARI’s budgetsInternational donors provide 75% of NARI’s budgets- Govts. contribution to NARIs inadequate, irregular and late and do Govts. contribution to NARIs inadequate, irregular and late and do

not take into account seasonal agric production cycles not take into account seasonal agric production cycles (Wakiibi and Youdouwei, (Wakiibi and Youdouwei,

2007)2007)- Bilateral Donors: EU, DFID, USAID, DANIDA, GTZ, SIDA, CIDA, etcBilateral Donors: EU, DFID, USAID, DANIDA, GTZ, SIDA, CIDA, etc- Foundations: Rockefeller Foundation, BMGF, Gatsby Trust Foundations: Rockefeller Foundation, BMGF, Gatsby Trust

Foundation, IFS, KirkHouse Trust (AATF for agric biotech research Foundation, IFS, KirkHouse Trust (AATF for agric biotech research and Training in Africa)and Training in Africa)

- World BankWorld Bank- Africa Development BankAfrica Development Bank- Others: IDRC, IFAD, MAE (France), CTA, etcOthers: IDRC, IFAD, MAE (France), CTA, etc

Political will versus Financial CommitmentsPolitical will versus Financial Commitments

Political will for biotech is in Africa but no fund to support Political will for biotech is in Africa but no fund to support the knowledge-based development.the knowledge-based development.

Funding is less than $250,000/year in most AU countries.Funding is less than $250,000/year in most AU countries. Out of a total $250 million spent each year in biotech Out of a total $250 million spent each year in biotech

R&D in the developing countries about 20% comes R&D in the developing countries about 20% comes directly through the Future Harvest Centres linked to the directly through the Future Harvest Centres linked to the CG Centres.CG Centres.

RSA - $300 million/annum for biotechRSA - $300 million/annum for biotech

Nigeria- $263 million/annum through NABDANigeria- $263 million/annum through NABDA

AMCOST developing legal instruments for African Science AMCOST developing legal instruments for African Science & Innovation Facility (ASIF) a distinct funding scheme for & Innovation Facility (ASIF) a distinct funding scheme for S&T in Africa in partnership with AU-NEPAD, ADB, and S&T in Africa in partnership with AU-NEPAD, ADB, and WB. WB.

Other sources/possible sources of fund for Other sources/possible sources of fund for

R&DR&D AU AU : Maputo Declaration 10% of Agric GDP to R&D: Maputo Declaration 10% of Agric GDP to R&D

AMCOSTAMCOST: 1% of GDP to S&T: 1% of GDP to S&T

Others:Others: Agro-industry-wide levies e. g. Kenya small Agro-industry-wide levies e. g. Kenya small

charge on tea, coffee and sugar.charge on tea, coffee and sugar. Gains from National Lotteries.Gains from National Lotteries. Restructuring and Redefining public expenditure Restructuring and Redefining public expenditure

to cater for S&T Research.to cater for S&T Research. Banking & financial reforms to promote Banking & financial reforms to promote

technological innovations.technological innovations. Capital markets through Venture Capitals.Capital markets through Venture Capitals.

ConclusionsConclusions With NEPAD, it is With NEPAD, it is ‘business unusual’‘business unusual’

Universities & NARIs in the AU need to be re-invented Universities & NARIs in the AU need to be re-invented for innovations and PPP; piecemeal change will not dofor innovations and PPP; piecemeal change will not do

AU leaders must significantly increase public AU leaders must significantly increase public investments in biotech R&D. Failure to do so will investments in biotech R&D. Failure to do so will impair the continents’ capacity to stay connected to impair the continents’ capacity to stay connected to global advances in biotech and to transfer, adapt and global advances in biotech and to transfer, adapt and exploit life sciences knowledge for the benefit of all exploit life sciences knowledge for the benefit of all citizens.citizens.

(AU-NEPAD Doc. Freedom to Innovate, 2007(AU-NEPAD Doc. Freedom to Innovate, 2007))