Biotechnology Use and Development Survey

The number of innovative biotechnology firms grew to 532 in 2005 from 490 in 2003, an increase of 9%, according to new preliminary data from the Biotechnology Use and Development Survey. This was lower than the 31% increase between 2001 and 2003 (from 375 to 490 firms). Between 1997 and 2005, when there were 282 firms, the compound annual growth rate was 8%.

An innovative biotechnology firm is a firm that uses biotechnology for the purpose of developing new products or processes.

Combined, these 532 companies generated revenues of $4.2 billion in 2005, up 9% from 2003. Their spending on research and development (R&D) also increased 15% to $1.7 billion.

Large biotech companies, those with at least 150 employees, represented only 10% of the 532 biotech firms in 2005, but accounted for 68% of biotech revenues. Three-quarters of all companies were small firms, that is, they had fewer than 50 employees.

By contrast, biotechnology related R&D was more equally distributed between the three sizes of firms.

More than 75% of the innovative biotechnology firms were in three provinces: Quebec, Ontario and British Columbia. These provinces continue to comprise the bulk of Canadian biotechnology activity, accounting for more than 90% of biotechnology revenues in 2005.

Ontario firms led the way in biotechnology revenues, R&D expenditures and employment, whereas those in Quebec accounted for the largest share of biotechnology firms.

Biotechnology related to human health remained the most significant biotechnology sector in terms of number of firms, employment, R&D and revenues.

The number of employees with biotechnology responsibilities increased to over 13,400 from about 11,900 in 2003.

Definitions, data sources and methods: survey number 4226.

Preliminary data from the 2005 Biotechnology Use and Development Survey are now available.

To request data tables or to enquire about the concepts, methods or data quality of this release, contact Charlene Lonmo (613-951-6617; charlene.lonmo@statcan.gc.ca) or Antoine Rose (613-951-5582; antoine.rose@statcan.gc.ca), Science, Innovation and Electronic Information Division.

Table(s).