German biotech sector proves resilient to global economic crisis

The German biotechnology sector has come through the global crisis virtually unscathed. That is the main message of a survey conducted in late 2009 by biotechnologie.de, an information portal established by the Federal Ministry for Education and Research. According to the study, there were 531 companies whose principal business is biotechnology in Germany last year, a considerable increase on 2008's figure of 501.

There were 17 start-ups last year, a marginal increase on the previous 12 months, and a mere five companies went bust. Bankruptcies often reached double-digits in previous years. These trends point to 'a stable industry...new ideas can clearly flourish, even in a difficult environment. And existing companies are well-established enough to withstand a global economic storm,' says the report.

Employment rose by 500 to 14,950, 500 more than 2008. Throw in those working for the biotechnology division of larger firms and the sector's overall staffing level eclipsed the 30,000 mark for the first time, reaching 31,600, a 5% increase on last year. Most German biotech firms are small: 45% have fewer than 10 employees on their books and 42% have between 10 and 50. Only 28 companies have more than 100.