In this article we aim to present a quick and easy to digest run-down of the main trends and developments in a highlighted sector of the process manufacturing industries in one of our covered regions. For more information on the areas we cover, click here.
Ireland Pharmaceutical & Biotech Investment Remains Buoyant in 2015
Capital expenditure investment in the pharmaceutical and biotech industries in Ireland remains very active. Major players such as BMS, Alexion, Regeneron, Pfizer, BioMarin are all actively looking at major biotech investment programmes over the next 5 years. This puts Ireland very much in line with global investment trends; where overall there is a a large amount of interest in biopharmaceutical investment and development.
A challenge facing the Irish pharmaceutical and biotech industries is the labour market having sufficient skills and knowledge in the face of large levels of potential investment. Concerns over a potential skills shortage over the next 5 years, in both scientific level production and engineering fields, have led to schemes by the IDA and various Universities to address the potential shortage.
Furthermore, projected investment activity is often being assessed with a focus on also ensuring the correct skill and expertise is in place to deliver the correct standards necessary.
Some major organisations such as Fluor and Abec are becoming increasingly active in the Irish market, arguably due to the perceived skills gap in process design & engineering presenting a major opportunity for their future growth. Therefore, such organisations are looking at reinvesting on the ground or new investment schemes in a concerted way.
Some uncertainty has emerged due to tighter regulation in the US on tax inversion. As a result, there has been some discussion within the industry about whether such legislation may have a knock on effect on inward investment to Ireland from US multinationals.
Pharmaceutical Sector Project Bulletin Coverage – Ireland
At Protel, we are currently tracking 131 active pharmaceutical projects with a combined potential investment value of just over €3.5bn in Ireland.
Major project highlights currently being tracked by Protel (data taken from our MyProtel project search engine):
• Merck Sharp & Dohme – Clonmel – New product introduction – €50m
• Pfizer – Grangecastle – Biotech investment for new product – €50m
• Biomarin – Cork – Additional biotech production & fill/finish capabilities – £100m
• Vistacon – Limerick – Contact lens production expansion – €100m
• West Pharma – Waterford – New medical device production facility – €100m
• Bristol Myers Squibb – Dublin – New biopharma production facility – €600m
The following graph shows cumulative sanctioned capex investment by company in Ireland (pharmaceutical, chemical, labs) – 2013-2014 (click below to view full size):
To gain information on specific projects or gain more insight into this sector, including all the contact details you need to start your sales process at the right time, get in touch.