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Australasian Biotechnology (backfiles)
AusBiotech
ISSN: 1036-7128
Vol. 7, Num. 4, 1997
Australasian Biotechnology,
Volume 7 Number 4, July/August 1997, pp. 194-215

FROM THE PRESIDENT

ABA charting a fresh course


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The ABA is undergoing change. At this stage the change has yet to bear fruit because it is still at the planning stage, but change will occur. While the Association has traditionally put most of its efforts into catering for the scientific, academic and educational constituency through the journal, scientific meetings and the web site, the representation of industry has not been strong, mainly because to achieve such representation requires a full time executive director. However, the Association has been caught in a `Catch 22' situation because it has not had sufficient funds to employ such a person. The ABA directors have recently taken steps to break this deadlock by employing two groups of highly respected consultants to prepare a strategic plan that will not only look at the possible roles for the future, but chart a financial course that will allow the implementation of the plan.

After a highly competitive tender review process the directors are now pleased to announce the names of the two consulting groups that will be working together in an integrated and complementary manner. The first group, Aoris Nova, is represented by the principal, Dr. Kelvin Hopper, while the second group, Foursight, consists of Dr. Graham Mitchell, Sir Gustav Nossal, Dr. John Stocker and Dr. David Pennington. The ABA is pleased and proud that these individuals consider the task that we are undertaking of sufficient priority to warrant their commitment.

The objectives of this undertaking are as follows:

    - to identify the stakeholders of biotechnology in Australia

    - to identify the key issues affecting companies involved in the commercialisation of biotechnology in Australia

    - to identify and evaluate the perceived value of the services currently offered by the ABA

    - to identify the services offered by other bioscience industry organisations, such as BIA in the UK and BIO in the USA

    - to identify the needs of bioscience companies in Australia that could be provided by the ABA, including:-

      - the range of services they would find useful
      - the subscription they would be prepared to pay for the provision of such services

    - to identify other opportunities for differentiating the ABA from related professional societies and trade organisations.

Views and information will be obtained from corporate members through face-to-face interviews, focus groups and forums. All other members will be invited to submit recommendations based on a questionnaire. Special approaches will also be made to stakeholders who are not currently members of the Association.

I therefore urge all members to support this effort to the greatest extent possible by making your views and opinions known as this consulting process gets underway during September and October (the final report is due in November). Please put aside the small amount of time required to talk with Kelvin when he contacts you, as this is vital to us truly representing the needs of our members in the future. As you have read in this column in previous editions, I believe that the commercialisation of biotechnology in Australia is at a critical stage and the ABA must emerge stronger and more capable of representing and assisting industry in the commercialisation process.

Graeme Woodrow, ABA President

NEWS

Successful Australian Biotechnology Exhibit at BIO '97, Houston, June 1997

Austrade San Francisco launched the Australian biotechnology industry's first exhibit at Bio '97, the largest international biotechnology meeting with more than 300 exhibitors and 3,200 attendees from over 30 countries. Australia's leading biotechnology, pharmaceutical, healthcare and veterinary companies participated in the exhibit, including Agen Biomedical, Anutech, Biotech Australia, BresaGen, CRC for Biopharmaceutical Research, CRC for Vaccine Technology, CSL, Faulding's CMAX, Peptech, and JRH Biosciences (a US subsidiary of CSL).

Austrade San Francisco provided turn-key services for the group of 25 Australian business development managers and researchers involved with the custom display, which featured professional graphics, individual company booths, wine-tasting and a highly visible, central location. Austrade coordinated all of the marketing and promotional activities, including invitations to the Australian Biotechnology Association's workshop "Australia - A Vast Land of Opportunities for BioProspectors and BioInvestors". The exhibit attracted strong interest with more than 300 business enquiries, including short-term joint venture opportunities and long-term investment.

Invitation to Australian Exhibitors for BIO '98, New York, 14-18 June 1998

The successful outcome for BIO `97 has confirmed plans for an enlarged Australian Biotechnology pavilion at Bio '98 in New York City, 14-18 June. Bio '98 will create new export, R&D and clinical trial opportunities for Australian companies with internationally competitive products, technologies and services. The New York location will also ensure record attendance from US venture capital firms and biopharmaceutical companies from the North-Eastern US, as well as from Europe. The Austrade exhibit at BIO '97 was over-subscribed, and Australian companies and organisations with an interest in exhibiting are invited on a first-come, first-served basis.

For more information about exhibiting at Bio '98 please contact: Carolyn Gray, Trade Specialist (Life Sciences), Australian Trade Commission, One Bush St, Suite 700, San Francisco, CA 94104, USA, Fax: +1 415 986-2775; Email: carolyn.gray@austrade.gov.au

Chief Scientist's Report on Management and Policy of National R&D

A 79 page report by Australia's Chief Scientist, Dr John Stocker, entitled "Priority Matters" was submitted to the Minister for Science and Technology on 17 June. The aim of the report was to identify gaps and overlaps in science and technology, and ways to identify national science and technology priorities.

In his conclusions, Dr Stocker states: "The people of Australia have benefited greatly from government policies which have directed appropriate science and technology effort towards major national outcomes. The formation of the Council for Scientific and Industrial Research (CSIR) in the late 1920s as a body charged with building the capability to apply scientific research to crucial and often unique problems facing Australians is a great example. Early successes in agriculture, mining, manufactures and communications established the Commonwealth Scientific and Industrial Research Organisation (CSIRO) in the esteem of the nation.

Similarly, the Australian Research Council (ARC) and the National Health and Medical Research Council (NH&MRC) and the Rural Industry R&D Corporations have, at various times, directed funding resources behind projects and people perceived to have the potential to make a special contribution. Since 1990, the Cooperative Research Centres (CRC) Program has added further incentives to bring researchers and research users together for mutual benefit.

But as issues of science and technology become more a part of decision making in all aspects of government, so the pressure has grown to make appropriate skills and knowledge available locally. This has led to a highly decentralised, pluralistic system in which less than half of Commonwealth support for science and technology is now provided to the Commonwealth's own major research agencies and direct funding programs.

I believe that such pluralism in arrangements is demanded by the pervasive influence of science and technology which is changing the way we do everything. It is essential that access both to new knowledge and the methods to apply it, are connected by the shortest pathways to its users.

But while a pluralistic system is necessary and desirable, I believe that there are matters which must be considered regularly at the highest level of government. These include the health of the science system, attracting new start/champions to science and technology and identifying areas of opportunity and threat which from time to time justify a concerted national effort."

The summary of his recommendations follow:

Cross-Portfolio Advisory Arrangements

The Prime Minister's Science and Engineering Council (PMSEC) should take a strategic overview of the key issues in Australian science and technology, and should identify actions to address these issues.

PMSEC should consider national science and technology priorities, with Ministerial members, representatives of peak bodies, and other members interacting to define the roles and needs for science and technology in meeting national objectives.

The Australian Science, Technology and Engineering Council (ASTEC) should become a standing committee of PMSEC, with the tasks of preparing `key issues' papers and presentations for PMSEC, and undertaking the consultation, information gathering and analysis necessary to provide PMSEC with information and advice on national science and technology priorities. ASTEC should be made up of the non-Ministerial members of PMSEC, and should be chaired by the Chief Scientist. ASTEC should remain a statutory body.

The Coordination Committee on Science and Technology (CCST) should address the major issues of cross-portfolio coordination of Commonwealth science and technology activity, and should provide a Commonwealth administration perspective on national science and technology priority setting. CCST should be chaired by the Chief Scientist.

A Cabinet Committee should be given responsibility for science and technology matters, and should address issues such as follow-up action to PMSEC consideration of key issues, national priorities for science and technology, and major ad hoc cross-portfolio science and technology issues brought to its attention by the Minister for Science and Technology.

Within - Portfolio Advice and Coordination

Each department with significant science and technology responsibilities should establish a position of chief science adviser, or assign the duties of such an adviser to an appropriate existing position in the department.

Each portfolio should ensure that it has a high-level coordination and consultation mechanism, which regularly brings together the key portfolio science and technology players, to:

    - develop and refine their science and technology strategic planning systems and activities;

    - ensure that science and technology make their full contribution to achieving portfolio goals, and are properly supported by portfolio resources; and

    - discuss issues of mutual interest.

CSIRO, ANSTO and AIMS should prepare a single joint strategic plan, aimed at ensuring consistency and complementarity of research directions. The joint plan should be prepared in consultation with, and made widely available to, the diverse stakeholders of the three agencies.

Defining National Priorities for Science and Technology

The Government should articulate a preferred vision for Australia's development toward national goals in the spheres of economic and industry development, quality of the environment, and social well-being.

The science and technology advisory bodies restructured as proposed in this report should be charged with defining and implementing national science and technology priorities.

National level priority identification for science and technology should be undertaken by PMSEC, supported by ASTEC and the CCST, with the Chief Scientist taking the leading executive role. As an initial task, ASTEC should develop the priority identification framework and methods further, and propose an approach to PMSEC for consideration.

This national-level identification of priorities should concentrate on the structural level. Thematic priorities (related to disciplines or socio-economic objectives) should only be included when there is a very strong case that the objective or field of science concerned needs special attention.

An early step in identifying national science and technology priorities should be the gathering, analysis and publication of statistical and other information which presents Commonwealth allocation of resources (for both funding and performance of science and technology) against agreed structural and thematic priorities for science and technology. This work should then be repeated at regular intervals as part of a national science and technology priorities cycle.

Gaps and Overlaps

Overlaps in science and technology effort need to be recognised as a necessary and desirable part of the science and technology system. Duplication of effort is best addressed through communication among working scientists, negotiation between researchers, funders and reviewers, and improved coordination mechanisms within the across portfolios.

The draft Marine Science and Technology Plan should be considered by PMSEC, before its formal submission to Government. The Government should consider how the resources to be made available through the National Heritage Trust should be used to ensure that Australia has a properly supported and well coordinated national marine science and technology effort.

Australia's research effort in support of the environment should be evaluated against the major environmental problems facing us as a nation, leading to a set of national priorities for environmental research. This work should be undertaken or commissioned by the Chief Science Adviser in the Department of the Environment, Sport and Territories, and should be conducted in close consultation with stakeholders including primary industries interests, the States, and higher education. The issues which emerge from this work should be discussed at PMSEC.

The overall scheme of Government assistance to industry for innovation should move towards:

    - greater simplicity;

    - lower compliance costs;

    - a higher effective rate of incentive to invest in research and development than currently applies through the 125% industrial R&D tax concession;

    - a broader coverage of innovative activity, based on a better understanding of the innovation process; and

    - leaving the choice of project to industry.

ASTEC should undertake a study of the advantages and disadvantages to science, technology, engineering and innovation resulting from competition policy reforms.

Joint Commonwealth-State Ministerial Councils and their Standing Committees of officials should consider the roles of science and technology in their areas of responsibility, and make recommendations on better cooperation and rationalisation. States should be recognised as stakeholders in the national science and technology priority identification process, and should be involved in it.

The CRC Committee should amend the CRC Program guidelines to ensure that the legitimate place for `public good' centres is made explicit.

The CCST should report to government on Australia's international science and technology programs, including proposals for:

    - better interchange of information;

    - better definition of the roles of each international science and technology program; and

    - rationalisations and amalgamations among the various programs, including the possibility of outsourcing the running of some government programs.

The scientific and technological Academics, the Institution of Engineers, and the Federation of Australian Scientific and Technological Societies should consult with industry and other users of science and technology on issues of a national science and technology data base, and provide advice to government on:

    - whether such a data base would be valuable, and;

    - if so, what steps should be taken to develop and maintain it.

Site Remediation to Clean-up DDT and Arsenic

A world-first technology to remove both DDT and arsenic from contaminated soil is in the final stages of development, Mr Charles Laycock, Executive Chairman of the Victorian-based company, Geo2 Ltd revealed recently. Mr Laycock said Geo2 was currently working with the NSW Department of Agriculture on a project to investigate methods of removing the two contaminants from soil at former cattle tick dip sites in northern NSW.

"This technology, once proven in the field, will be of major scientific significance to all agricultural countries throughout the world which have used DDT and arsenic in any form of pest control," Mr Laycock said. "It involves a one-step leaching process through which DDT is destroyed by a chemical reaction and the arsenic is solubilised and recovered."

DDT was one of Australia's most widely used agrochemicals before it was banned in the early 1960s. It was cheaper and more effective than other insecticides against nearly all insects. It was used to control pests on crops as well as disease carrying pests. Arsenic was an ingredient in many pesticides and after lead, is today considered the world's second most common heavy metal pollutant.

Up until 1962, DDT and arsenic were used in tick treatment programs throughout Australia. After use, the chemicals were buried on site or sprayed onto the land to evaporate. These chemicals are highly persistent and high residues remain at the sites.^1 Today, there are over 1500 former cattle tick dip sites in NSW that are contaminated with both DDT and arsenic.

Mr Laycock described Geo2 as an environmental research company committed to developing leading-edge technologies that clean and protect the earth's precious waterways, soil and air. Its technologies are socially responsible, ecologically sound and radically cost effective, he said.

In particular Geo2 is making a strategic contribution in the fast developing Asia Pacific region. Its major projects include soil remediation (arsenic/DDT and lead/chrome technologies), the development of a major water bottling plant near Shanghai, China and a world-first technology to remediate the 100,000 billion litres of acidic waters at the Berkeley Pit in Montana, USA.

Mr Laycock said Geo2's collaborative research project with NSW Agriculture initially focused on the use of bio-remediation methodology for the removal of DDT and chemical leaching for the removal of arsenic. "At first we believed that separate processes would be required to remove organic and inorganic contaminants," Mr Laycock said. "However when the results from the bio-remediation exercise were found to be unsatisfactory for the removal of DDT, Geo2 began the development of a chemical leaching process capable of removing both arsenic and DDT. Through this, DDT is destroyed by a chemical reaction and the arsenic is solubilised and recovered."

^1NSW State of the Environment Report 1993, NSW EPA

British Biotech Initiative

A revitalised Biotechnology Industry Association (BIA) in Britain has linked up with the UK Department of Trade and Industry (DTI) with two initiatives called: "Biotechnology Means Business" and "Awareness for Market Potential Programme".

The BMB initiative is a $A35 million package from DTI aimed at enhancing UK competitiveness through biotechnology. The BMB initiative raises awareness levels within user industries so as to simulate their uptake of biotechnology, and so bridges the gap between users and suppliers. The AMP Programme, on the other hand, focuses on supply companies, and provides added impetus for the entry of suppliers into the market place by informing suppliers about new market opportunities. It is also creating an economic database to monitor and forecast trends.

These initiatives contrast with the disbandment in Australia of the Australian government's Biotechnology Branch in the Department of Industry, Science and Tourism late last year.

Kubota Corp. to Evaluate BioResearch Ireland's Bionematicide

BioResearch Ireland, (BRI) has signed an evaluation agreement with the Japanese agricultural giant, Kubota Corporation. The deal allows Kubota to evaluate a process developed by BRI for biologically controlling potato cyst nematodes which are one of the major pests of potatoes worldwide. The process involves the use of natural products which cause premature hatching of nematode cysts before the crop is sown. Kubota will evaluate the technology under Japanese crop conditions using pot and field trials. The research was conducted at BRI's Food Biotechnology Centre in University College Cork, under the direction of Dr Peter Jones.

BRI was formed in 1988 and is a contract research organisation which commercialises biotechnology research from its 5 university-based centres in Ireland. As well as being a key contact for information on Irish biotechnology, BRI also performs R&D for industrial clients and invests in technologies for eventual licensing/product development, (through its 300+ staff). BRI products are sold in all major international markets. The R&D infrastructure which BRI has established has assisted start-up companies and attracted bio-industry to Ireland.

Kubota Corporation was formed in 1890 and is one of Japan's top producers of machinery. The company has a diverse range of interests from farm equipment to environmental control products. Kubota is already marketing an insect biological control product which was jointly developed with the US company Mycogen Corp.

1998 Australia Prize

The next Australia Prize will be awarded for excellence in the field of Molecular Genetics. The Australia Prize, which was instituted by the Federal Government in 1989, consists of an award of $A300,000 and an inscribed medal. It is awarded each year in a different field of science (including natural and technological sciences, engineering and mathematics).

The choice of Molecular Genetics for the 1998 Australia Prize recognises the significant importance to the advances in medicine, agriculture and the study of evolution.

Molecular genetics in medicine has helped in the identification of the genetic basis of many diseases. This has led to the development of effective treatments and it has also allowed medical researchers to investigate basic biological mechanisms.

CRC for Aquaculture - Research Programs Update

The Cooperative Research Centre (CRC) for Aquaculture has just reached the end of its third year of operation. Its six research programs, which cover health, nutrition, reproduction, genetics, environment and product technology, are aimed at providing the technological basis for a sustainable aquaculture industry. Sustainable, because it is internationally competitive and environmentally acceptable, and maintains high health standards. In addition, the first four of the twenty three PhD students so far supported by the CRC have completed their theses.

Advances made in the six research programs are outlined below:

    (1) The development of fast, sensitive and selective diagnostics for early warning of disease, (tools which are crucial for maintaining Australia's high level of aqua- culture health), will soon be entering the commercialisation phase.

    (2) New small strains of rotifers have been provided to State fish hatcheries and collaborators working on fish propagation. These are expected to facilitate the raising of small marine fish larvae. Artificial feeds for prawns, abalone and tuna have been advanced at several levels - nutritional needs, ingredient costs, feed acceptability and growth performance.

    (3) Exciting progress has been made with several native Australian fish species that are difficult to propagate, partly through manipulation of reproductive physiology and partly through improved handling and feeding of larvae. These species include golden snapper, snapper and striped trumpeter.

    (4) The groundwork is being laid for domestication and genetic improvement of prawns and oysters, with new techniques being applied to the reproductive physiology of prawns and the genetic assessment and selection of oysters.

    (5) A basic understanding of aquaculture pond management is being constructed and is already proving useful in addressing environmental impact issues. Outstanding results have been achieved in the prevention of marine fouling using environmentally benign materials.

    (6) Product technology has been closely linked with other programs to ensure that changes to feed and other husbandry practices are such as to enhance product quality and marketability, and some significant improvements are emerging in fish harvesting methods.

The CRC has recently developed a new strategic research plan for the next three years, following a period of close consultation with industry. The new plan will see a concentration of resources on fewer projects. Developing sustainable technologies for the sectors of Australian aquaculture considered most promising over the next few years is being emphasised. Many of the projects build on research successes of the CRC's first three years. A significant effort of a longer-term nature will also be required, both in supporting the emergence of new species and in developing fields such as fish vaccine technology and the genetic improvement of aquaculture species.

Further information: Dr Peter Montague, Director, CRC for Aquaculture (Tel: (02) 9514 1385; Fax: (02) 9514 1491; Email: p.montague@uts.edu.au)

Reproduced from Marinet News, June 1997.

Human Artificial Chromosomes - A Step towards Gene Therapy

A research team headed by Professor Andy Choo, of the Murdoch Institute for Research into Birth Defects in Melbourne, has defined the key ingredient for an artificial human chromosome. The article announcing this breakthrough was published in Nature Genetics, the foremost human genetics journal world-wide. Each of us has over 100,000 different genes. These genes are carried on 23 pairs of chromosomes. One of each pair is inherited from our mother, and the other from our father. "A chromosome can be thought of as a vehicle which carries genes," said Professor Choo, "and the genes can be thought of as the workers that go about getting the jobs done inside the cell. The gene-vehicle, or chromosome, needs an engine to move around in the cell, and we have discovered a very small and efficient form of this engine. This should allow us to pull the chromosome apart and re-assemble it in a much simpler way in the laboratory."

The key element of the chromosome that Professor Choo and his colleagues have studied is called the centromere. It ensures that when a cell divides, the genetic instructions are equally divided between the two daughter cells. The hope is that this small centromere, or chromosome engine, can allow us to make a small human artificial chromosome which can carry just one gene which we can put back into cells in a child who suffers from an inherited disease. "For instance, we could use this to provide the gene for blood clotting for haemophilia, or the cystic fibrosis or ataxia gene, to affected children and young adults. This would not only save them, and their families, a great deal of suffering, but also be a much more effective and inexpensive form of treatment," said Professor Choo.

The Director of the Murdoch Institute, Professor Bob Williamson, emphasised that these studies are carried out in a way which made certain that changes could not be passed on to future generations. "We would never use genetic engineering techniques to change a person's inheritance," he said. "That would be unethical. What we hope to do is to provide better treatment for those who have been unfortunate enough to be born with cystic fibrosis, ataxia or similar life-threatening disorders. This gives hope for the future to the many families in Australia affected by these serious diseases."

Professor Choo stated that his experiments could explain why some parents had a child with Down Syndrome. "These children can get an extra chromo- some if the centromere does not work properly during the formation of the egg cell. Our simple artificial chromosome model should enable us to design experiments to determine why. Previous centromeres have been up to 100 times more complicated," he said. The research was supported by the AustralianNational Health and Medical Research Council, and by AMRAD, the Australian research-based pharmaceutical company which is the commercialising partner for any applications that may arise from Professor Choo's research. The Murdoch Institute is one of AMRAD's eleven member research institutes.

Profiles

The Murdoch Institute for Research into Birth Defects is one of the major biomedical institutes in Australia, and is one of only five which receives block grant funding from the NH&MRC. It is situated in The Royal Children's Hospital, and is affiliated to the University of Melbourne. The Institute is devoted to the research of genetic diseases and of birth defects, with a current major focus on the development of safe and effective ways to treat life-threatening genetic disorders using gene therapy. The basic research of the Institute finds practical application through its clinical group, the Victorian Clinical Genetics. The service provides a range of diagnostic and counselling services for patients and their families with genetic disorders for the whole of Victoria.

Professor Bob Williamson, Director of The Murdoch Institute for Research into Birth Defects, joined the Murdoch Institute as Director during 1995, after spending 19 years as Professor of Biochemistry and Molecular Genetics at St Mary's/Imperial College London. He has worked extensively on gene isolation for thalassaemia, cystic fibrosis, ataxia and Alzheimer's disease, and conducted the first gene therapy trial using lipids to introduce a normal copy of the cystic fibrosis gene into the airways of young adults with the disease. He is Professor of Medical Genetics at the University of Melbourne and Executive Director of the Victorian Clinical Genetics Service, and hopes to see new developments in therapy coming from the research of Professor Choo and others at the Murdoch Institute and elsewhere in Australia.

Associate Professor Andy Choo, Principal Research Fellow of The National Health and Medical Research Council of Australia, heads an active research team at the Murdoch Institute and has been with the Institute since its inception. His current work focuses on the development of human artificial chromosomes as an effective vehicle for the transfer of therapeutic genes into genetic patients in a new form of treatment known as gene therapy. His laboratory has recently successfully defined the key component necessary for making the artificial chromosomes. Professor Choo completed his PhD in the Departments of Genetics and Paediatrics at the University of Melbourne in 1979. Traveling with a prestigious Fellowship awarded by NH&MRC, he undertook his postdoctoral training at the University of Oxford, followed by the University of San Francisco, before returning to the Murdoch Institute in 1983 to head his own laboratory.

For further information, please contact: John Grace, Managing Director, AMRAD Corporation Limited, Swan Street Richmond, 3121, Victoria, Australia
Tel: 03 9208 4000 Fax: 03 9208 4350; Associate Professor Andy Choo
and Professor Bob Williamson (03) 9345-5045

Industry Research and Development Board Grants Announced

$43m in Second Round R&D START Large Grants Announced

The Industry Research and Development Board recently announced 16 successful recipients under the second round of the R&D Start Large Grants program. Sixteen projects have been offered a total of $43 million. Four of these are relevant to biotechnology and details are given below.

Eighty-eight applications for funding were received by the IR&D Board for this round, of which 45 were new projects, not previously submitted to the Board. The Acting Chairman of the IR&D Board, Dr Terry Cutler, said that the total funding under the R&D Start Large Grants program has now reached $131m for 39 projects.

Of this round's 88 applicants 44 were ex-syndicates, with six being successful in their applications. Dr Cutler said the Board is concentrating on supporting smaller companies, and particularly emphasising support for commercialisation. There are three funding rounds for R&D Start Large Grants each year, and round three closes on 6 August 1997.

GeneType Pty Ltd

Genetype Haplotyping Project

The project aims to develop genetic testing procedures that are quicker and more accurate than conventional methods. Successful outcomes could lead to greater survival of transplant recipients, the early diagnosis and tailored treatment of viral or genetic diseases, better DNA forensic testing and improved identity testing. If successful the manufacture of the test kits in Australia will result in employment and significant export income.

Contact: Mr Ian Smith, ph: 03 9417 5711

Starpharma Limited

Development of Novel Dendrimer Compounds as Pharmaceuticals

Many viral diseases such as HIV, Herpes, and a number of respiratory infections have no adequate treatment. The project aims to develop technology involving Dendrimers, a family of novel synthetic compounds, as drugs to treat these and other major diseases. The core technology in this fight against these diseases has been developed at the Biomolecular Research Institute in Victoria. The project will focus on the modification and formulation of the compounds to improve bioavailability, undertake further testing, and other studies to obtain registration for clinical trials.

Contact: Dr John Raff, CEO, ph: 03 9662 7124

Cervax Pty Ltd

Cervical Cancer Therapeutic

This project aims to utilise novel vaccine technologies to treat cervical cancer in the following contexts:

    - to prevent tumour recurrence in women treated by conventional means for invasive cervical cancer; and

    - as a primary treatment for cervical intraepithelial neoplasia stage three (CIN3).

If successful in preventing tumour recurrence, the product will reduce treatment and hospitalisation costs, as well as improve the quality of life of cervical cancer patients.

Contact: Professor Ian Gust, R&D Director, CSL, ph: 03 9389 1604

BresaGen Ltd

Novel Biotherapeutic for Breast Cancer Treatment

The project involves the application of core recombinant protein technology to the production of a potential novel therapeutic for breast cancer. The end point for this project is completion of Phase I/II human clinical trials proving product safety with some efficacy data. A successful outcome to the trials would result in Phase III trials and commercialisation of the protein therapeutic with local manufacture, spear-heading the development of the Australian Biotechnology Industry with its attendant `spillovers' including employment for scientifically trained personnel and export sales.

Contact: Dr Meera Verma, General Manager Protein Pharmaceuticals, Ph: 08 8234 2660

Americans Say Yes! to Food Biotechnology, Current FDA Labeling Policy

A new national survey of 1,004 U.S. adults released in March 1997 found high awareness of food biotechnology, strong support for its benefits, and endorsement for the current labeling requirements of the Food and Drug Administration (FDA).

Nearly 8 out of 10 (79%) Americans are aware of biotechnology, with more than half (54%) saying biotechnology has already provided benefits to them and 3 out of 4 consumers (78%) predicting they will benefit from biotechnology in the next five years. Nearly half of the respondents realized foods produced through biotechnology were already in supermarkets. (Staples such as corn, potatoes and soybeans are among the foods enhanced through plant biotechnology.)

When asked about current FDA requirements that mandate labeling of foods produced through biotechnology only when there is a substantial change in a food's composition, nutritional value or allergenicity, more than three-quarters (78%) of consumers indicated they support the FDA policy. When presented with the position of some critics of the FDA policy, who believe all food biotechnology products should be labeled, nearly 6 in 10 (57%) of Americans still maintained their support of the current labeling policy.

The survey, commissioned by the International Food Information Council (IFIC), was conducted March 21-24, 1997 by the Wirthlin Group. "These results clearly underscore the willingness of U.S. consumers to accept biotechnology as part of their lives," stated Sylvia Rowe, president of IFIC. "American consumers recognize the value of food biotechnology, because they appreciate environmental benefits such as protecting crops from insect damage while reducing pesticide use. They also like the potential for fresher, more healthful and better tasting fruits and vegetables made possible through biotechnology."

Rowe concluded, "Food biotechnology is absolutely critical to ensuring an adequate food supply for a rising global population today and tomorrow. We must strengthen our partnerships between communicators and scientists to ensure that consumers all over the world understand the benefits of, and can make informed choices about, foods produced using biotechnology."

Accompanying the release of the new U.S. consumer data was a summary of international consumer opinions by North Carolina State University professor and noted consumer opinion expert Dr. Thomas Hoban and a scientific update by internationally recognized plant biologist, Dr. Roger Beachy of the Scripps Research Institute in La Jolla, California.

Hoban summarized a number of consumer studies in the March 1997 issue of Nature Biotechnology and stated, "Food biotechnology is a relatively minor issue in the U.S. One of the key drivers of consumer acceptance in the U.S. has been consistent and proactive educational efforts that have been underway for a number of years." In Europe, where consumer acceptance is lower than in the U.S., Hoban predicts, "given proper efforts to educate the public, agricultural biotechnology should become as accepted by European consumers as it has by Americans."

Dr. Beachy outlined how biotechnology will be used to combat plant disease and ensure stable crop supplies in industrialized countries like the U.S., as well as developing nations. According to Beachy, "Most plants are naturally protected from most diseases, but biotechnology helps provide protection to those plants susceptible to devastating diseases and insects."

Beachy's efforts include working to improve food security for developing nations through enhanced rice and cassava production while increasing yields globally. "We have a choice when it comes to feeding tomorrow's world," challenged Beachy. "We can use up more land planting crops with marginal output, or we can use tools such as biotechnology to increase our yields and minimize the need for additional land for crop production."

The full survey results for the Wirthlin study can be seen on IFIC's web site (http://ificinfo.health.or g/press/quest.htm)

CSIRO Boost for Chemical and Drug Industry

CSIRO has formed a new Division, Molecular Science, to meet the needs of the $20 billion chemicals and plastics industry and the $2.5 billion pharmaceutical industry.

This new research facility will be a centre of excellence for biological and chemical discovery, focussing on the chemicals and plastics and the pharmaceuticals and human health sectors of the Australian economy. Molecular Science has been created by the merger of two of CSIRO's most highly regarded divisions, Chemicals and Polymers and Biomolecular Engineering.

Chief of the new division, Dr Tom Spurling, says that the merger exploits a lot of existing synergies and emerging trends in science, bringing biology and chemistry much closer together.

"Our combination of skills in organic, protein and polymer chemistry, human biology, environmental sciences and process development enhances CSIRO's ability to address the research needs of a number of industry sectors, particularly in the pharmaceutical, chemicals and plastics areas. The merger provides a very broad research base for Australian industry," Dr Spurling said.

Molecular Science employs over 300 staff, including 240 research scientists, and has laboratories in Clayton and Parkville in Victoria, and at Riverside Corporate Park in Sydney.

New microbial databases on ANGIS

The following genome sequences are now available for searching as separate databases on ANGIS:

Organism                            Sequences 
------------------------------------------------------
Helicobacter pylori          1.7 Mb (Complete genome) 
Archaeoglobus fulgidus       2.2 Mb (Complete genome) 
Deinococcus radiodurans      3.3 Mb (260 contigs) 
Treponema pallidum           1.1 Mb (11 contigs) 
Enterococcus faecalis        0.4 Mb (828 sequences) 
Mycobacterium tuberculosis  13.4 Mb (51,875 sequences) 
Neisseria meningitidis       1.4 Mb (2,533 sequences) 
Plasmodium falciparum Chr2  11.1 Mb (21,807 sequences) 
Thermotoga maritima          1.1 Mb (12,593 sequences) 
Vibrio cholerae              3.1 Mb (5,523 sequences) 
-------------------------------------------------------

In addition, the genome and protein sequences from Methanobacterium thermoautotrophicum is also available. All these sequences are unannotated and are available for sequence similarity searching using BLAST and FastA in WebANGIS (SeqSearch) and 2D-ANGIS (Retrieval) as well as in parts of GCG in WebANGIS (WAG) and 2D-ANGIS (GCG) but not yet by keyword (QueryDB, IRX or lookup).

As with all sequence databases on ANGIS, further information can be obtained about these databases by selecting them from the database list in WebANGIS and clicking on the "About database" button.

ANGIS- The Australian National Genomic Information Service http://www.angis.su.oz.au
email: tim@angis.su.oz.au Phone Toll Free: 1 800 728 028; Fax: 61-2-9351 5694

Victoria Unveils Plan to Capitalise on the `Smart' State

The Premier, Mr Kennett released on 31 July the Victorian Government's plan to ensure the State remains at the forefront of science, engineering and technology as we enter the 21st century.

Creating our Future, the Victorian Government's Science, Engineering and Technology Statement is the first time a survey of all of the State's assets in these three key fields have been brought together under one major document, and details how we need to build on them in partnership with the community.

A key initiative of the Statement is the creation of a Science, Engineering and Technology Taskforce, to be co-chaired by the Premier and former CSIRO Chairperson, Professor Adrienne Clarke. The Taskforce will give the scientific, engineering and research community direct access to the highest levels of Government and reflects the importance of these enterprises for the future of Victoria.

"The Taskforce's first major brief will be to review Victoria's public sector activities in science, engineering and technology and recommend financial priorities and future policy directions in these areas." The Premier said the Government had already begun to give scientists and engineers a stronger voice at the highest level of Government by appointing Professor Adrienne Clarke as Lieutenant Governor.

In addition, the Government had appointed Professor Margaret Britz as the State's first Principal Adviser for Science and Engineering to help create a closer working relationship with the science and engineering communities.

To recognise exceptional achievement in science, engineering and technology, the Victoria Prize will also be established, and six new Victoria Fellowships awarded annually to young engineers and scientists.

"Building our knowledge base is an issue of vital importance to all Victorians and of equal importance is that according to current trends we will not produce enough scientists and engineers to keep pace with the growth of the knowledge economy."

Minister for Industry, Science and Technology, Mark Birrell said excellence in science, engineering and technology underpinned Victoria's economy. "Enterprises based on these disciplines contribute an estimated $33 billion or 30 percent of gross State product to the Victorian economy each year."

Science, Engineering and Technology Task Force

The Hon Jeff Kennett MLA (co-chairman), Premier of Victoria

The Hon Mark Birrell MP (deputy chairman), Minister for Industry, Science and Technology

Prof Adrienne Clarke AO (co-chairman), Lieutenant Governor of Victoria, Director, Plant Cell Biology Research Centre, University of Melbourne

Dr Colin Adam, Deputy CEO of the CSIRO

Mr Colin Armit, Managing Director of Glaxo Wellcome Australia

Prof David Beanland, Vice Chancellor, RMIT

Dr Edwina Cornish, Managing Director of Florigene Pty Ltd

Prof Suzanne Cory, Director, Walter & Eliza Hall Institute

Prof Peter Darvall, Deputy Vice Chancellor (Research and Development), Monash University

Mr Peter Dempsey, Managing Director, Building and Construction, Baulderstone Hornibrook Pty Ltd

Mr Kim Edwards, Managing Director, Transurban City Link Ltd

Prof John Funder, Director of the Baker Medical Research Institute at Monash University

Mr John Grace, Managing Director, AMRAD Corp. Ltd

Prof Frank Larkins, Deputy Vice Chancellor (Research) and Professor of Chemistry, University of Melbourne

Mr Peter Laver, Corporate General Manager, External Affairs, BHP, Chancellor, Victoria University of Technology

Dr Kurt Liedtke, Chairman, Robert Bosch (Australia) Pty Ltd

Dr Graham Mitchell AO, Principal, Foursight Associates Pty Ltd

Dr Bill Schofield, Director, Aeronautical and Maritime Laboratory, Defence Science and Technology Organisation

Dr Jack Wynhoven, Chairman, Connell Wagner Engineers

COMPANY NEWS

ForBio Biologist Meets Watson & Crick

Brisbane biologist, Dr Aidyn Mouradov, has won a place at a prestigious US genetic engineering training camp. The month- long training takes place at the New York laboratory of Dr J.D. Watson of Watson & Crick fame.

In 1954, Watson and Crick unravelled the structure of life's blueprint, DNA, and in 1962 the pair were awarded the Nobel Prize for science. Each year only fifteen of the world's leading molecular biologists are accepted into the training camp.

Dr Mouradov has an international reputation for his frontier research in the area of plant biotechnology. He is employed at ForBio Research in Brisbane as Senior Principal Research Scientist. He is the inventor of several patents related to developing sterility in plants, an important first step in gaining acceptance of genetically engineered trees and crops. Before returning to Australia in July, Dr Mouradov will visit Dr Francis Crick the other half of the Watson & Crick duo. Dr Crick heads the Salk Institute laboratories in San Diego. The Salk Institute is home to five Nobel Prize winners. ForBio Research, through Dr Mouradov, will be collaborating with the Salk Institute on research during the coming two years.

Dr Till Medinger Joins Peptech's Board

Peptech is pleased to announce the appointment of Dr Till Medinger as a non-executive director. Dr Medinger is currently Senior Vice President Corporate Strategy of ZENECA Group plc, a leading bioscience business engaged in the research, development and manufacture of prescription pharmaceuticals, agricultural and specialty chemical products and the supply of health-care services.

Dr Medinger is an executive with wide experience at a senior level in international territorial and marketing management, research and development, operations, strategic planning, licensing and government affairs. He is a member of the Board of the Association of the British Pharmaceutical Industry (President from 1994 to 1996). The ABPI is the industry association that has direct access to the UK Department of Health and has made major contributions to the pharmaceutical industry.

Chairman of the Centre for Medicines Research Policy Board and a member of the Executive Committee of the European Federation of Pharmaceutical Industry Associations are other positions held. Dr Medinger is also a member of the National Forum on NHS Research and Development, Pharmaceutical Manufacturers Council, and is a Finance Consultant to the Chemical Industries Association.

Dr Medinger is based in the UK and provides Peptech with considerable experience in international business.

Please Note Peptech's new name and address:

Peptech Limited (formerly Peptide Technology Limited) and Peptech Animal Health Pty Limited have moved to:
35-41 Waterloo Road (Locked Bag 2053) North Ryde NSW 2133 Tel: +61 (02) 9870 8788;
Fax: +61 (02) 9870 8786; Email: peptech@ozemail.com.au

Gist-brocades/Bio-Intermediair Inc.

The new production facility in Montreal, Canada, is scheduled to be operational by the third quarter of 1997. The Canadian crew already occupied their new offices in April 1997.

Please note new details:

Gist-Brocades/Bio-Intermediair Inc., 6000 Royalmount Avenue, Montreal, Quebec, Canada H4P2T1, Tel: (+1) 514 341 9940;
Fax: (+1) 514 341 1227;
Email: info@bioint.com

European address:

Gist-Brocades/Bio-Intermediair B.V., Zuiderweg 72/2, PO Box 454, 9700 AL Groningen,
Tel: +31(0)50 525 0405; Fax: +31(0)50 525 0609;
Email: info@eu.bioint.com

Bresagen Raises $A4 Million and Strong Backing from Rothschild

Biotechnology Investments Limited (BIL), a UK-listed investment company advised by the Rothschild Bioscience Unit (RBU), announced today that it has invested $2.5 million in BresaGen Limited, an Adelaide-based biopharmaceutical company. The Rothschild Bioscience Unit led the A$4 million investment round. The other investors in this round were: Luminis Pty Ltd, Hambro-Grantham Capital Ltd and Cambooya Pty Ltd, who each invested A$0.5 million.

Dr Geoff Brooke, Director of the RBU in Australia, said, "We believe that BresaGen has significant growth prospects and represents an excellent opportunity for investment in an Australian technology-based company."

BresaGen specialises in the development of human and veterinary therapeutic products. The company has recently been awarded a Federal Government START grant for A$2.6 million over three years to assist in the development of a novel therapeutic product for breast cancer. The technology, licensed from the Collaborative Research Centre for Biopharmaceutical Research, will go into Phase I/II human clinical trials this year. There are currently no effective treatments for breast cancer and this novel therapeutic approach addresses an unmet need with a substantial worldwide market.

BresaGen is also developing a human Granulocyte Macrophage Colony Stimulating Factor (GM-CSF) antagonist for the treatment of certain types of leukaemia (including the often fatal juvenile onset leukaemia) in collaboration with the Hanson Centre for Medical Research. BresaGen is about to launch its first veterinary product onto the equine market and has several other animal health projects in its development pipeline, including a canine growth hormone with potential applications in obesity and wound healing.

The Rothschild Bioscience Unit

Established in 1981, the Rothschild Bioscience Unit ("RBU") is one of the world's largest teams of investment advisers dedicated to bioscience. The RBU has a successful record of advising on investment in start-up and early-stage bioscience companies worldwide. The team comprises 20 professionals and has offices in London, Melbourne and Princeton. Three members of the RBU, based in Australia, are the foundation from which investment activity is being expanded throughout Asia and draw on the full capabilities of the RBU.

The RBU is multidisciplinary with experience in science, clinical research, finance and management. The team has demonstrated skills in assessing technology, management and market opportunities and a proven record of selecting companies capable of developing and commercialising innovative products. Its members understand technology risk and intellectual property, and are experienced in the commercial development of bioscience products, enabling them to provide comprehensive support to investee companies.

The RBU advises two bioscience investment companies: Biotechnology Investments Limited ("BIL") and International Biotechnology Trust PLC ("IBT"). Both of these funds are listed on the London stock exchange and invest internationally.

Established in 1981, BIL specialises in funding start-up or early stage companies and can provide seed capital to support biotechnology projects before commercialisation. BIL has a successful track record of investments, including companies such as Amgen Inc., Chiron Corp., Genentech Inc. and Genzyme Corp. It currently has approaching US $450 million under management in 80 companies, including three in Australia. Recognising the long time frame required for the development of bioscience products, BIL will typically invest for periods of five to seven years.

Rothschild established a second fund in 1994, the International Biotechnology Trust. IBT focuses on later stage bioscience companies which are approaching flotation, or have been recently floated and are likely to benefit from the advice and support that the fund manager can provide. IBT's policy is to make relatively large investments in a limited range of late-stage companies whose products are approaching market and to hold those investments for three to five years.

The successful track record of the RBU is demonstrated by the impressive performance of both BIL and IBT. Furthermore, the RBU also draws on the expertise of an international group of scientific advisers and consultants and uses, as a specific industrial consultant for the US market, Domain Associates, a US-based venture capital management firm. Rothschild Bioscience Unit has been active in Australasia for over three years and we believe that there are significant opportunities for enhancing the commercialisation of bioscience in the area and, most importantly, protecting and adding value to home-grown technology. RBU funds currently hold approximately 90 investments in the human health, animal health, agriculture, food technology and environment management industries.

Further information: Dr Shirley Lanning, Rothschild Bioscience Unit, (Tel: (03) 9245 4945).

Biota Extends Diabetes Agreement

Biota Holdings Limited (Australian Stock Exchange, BTA) announced that it will extend its diabetes agreement with the CSIRO for work in developing an orally active treatment for diabetes from three to four years. The decision to continue this project for an additional twelve months is based on the encouraging progress that has been made towards development of an oral replacement for injectable insulin.

"We are pleased that the diabetes project has met all objectives specified in the three-year programme and is now progressing to the next level," stated Dr Hugh Niall, Chief Executive Office of Biota Holdings Limited. "The ongoing success of this diabetes program is a product of Biota's commitment to commercially significant projects coupled with the expertise of the CSIRO's scientific group."

Under the direction of Dr Colin Ward, Programme Manager CSIRO Molecular Science and Dr Peter Colman, Director of the Biomolecular Research Institute in Melbourne, structure based design techniques are being applied to the development of an oral replacement for injectable insulin. A similar approach was used in the design of Biota's influenza therapy zanamivir, currently in Phase III clinical trials with Glaxo Wellcome.

Diabetes is a disease that is estimated to affect over 100 million people worldwide, with over 10 million sufferers in the US alone, where the disease causes about 300,000 deaths each year. It is an important cause of blindness and kidney failure in long-standing cases. "Diabetes is a serious illness affecting large numbers of people in the western world and a growing number in developing countries," stated a CSIRO spokesperson. "Biota and CSIRO believe that the approach being pursued offers the potential for providing a more convenient and effective treatment for diabetes than is currently available."

Biota is an Australian listed company (BTA), based in Melbourne and engaged in the funding and management of a research and development program focusing principally on the discovery of new human pharmaceuticals for the treatment of viral respiratory diseases and cancer.

Cortecs plc Created and to be Listed on London Stock Exchange

Since the listing of its shares on the London Stock Exchange in June 1994, Cortecs International Limited ("CIL") has become an important UK based biopharmaceutical company. Its capital base has increased substantially over that time by various capital raising exercises. The majority of the new capital raised has emanated from the UK and other European investors and most of the trading in CIL's shares has occurred on the London Stock Exchange rather than the Australian Stock Exchange ("ASE") where CIL has had its primary listing since 1986. Furthermore most of the Group's business is carried on in the UK where the vast majority of its employees are located.

The Directors therefore consider that, in order to maximise its opportunities as a UK based group, it is now appropriate for the Group to have as its parent company an English public company with a primary listing on the London Stock Exchange. Accordingly the Board has proposed to implement a Scheme of Arrangement ("the Scheme") whereby a newly formed English public company, Cortecs plc ("Cortecs"), will become the immediate holding company of CIL. This will involve each of the existing shareholders in CIL effectively exchanging their shares in CIL for shares in Cortecs.

The commencement of dealings in Cortecs plc Ordinary Shares on the London Stock Exchange is likely to be towards the end of September. Cortecs plc Ordinary Shares will also be traded on the ASX and Nasdaq. Summary details of the Scheme are set out in the Listing Particulars of Cortecs, posted recently.

Peptech Announces a Private Placement

The directors are pleased to announce the completion of a private placement at a significant premium over market rates (over 30%) to Leadenhall Australia Limited. The placement follows extensive research and investigation by Leadenhall and a report by their analyst Dr Michael Story, formerly Research Director for F.H. Faulding and Co Limited and Cortecs International Limited, UK.

The transaction involves Peptech placing 5,254,542 shares at 62c and the issuance of 6,568,177 options at 62c and $1.00 each, exercisable within five years.

The placement will provide additional funds to accelerate the development of three key projects; a peptide to treat nasal congestion recently licensed from the CRC in Sydney; a peptide to treat infections associated with Cystic Fibrosis (PTL 78419-B) and an implant for dog contraception offering an alternative to surgical spaying. These projects are at an important stage of development and the board believes the additional funds will provide greater momentum and improved development time lines.

A spokesman for Leadenhall said, "We are very excited about Peptech's product portfolio and the Company's growth prospects, particularly when comparing Peptech with other sector companies in Australia and the UK."

ABS Global - Asexual reproduction for cows?

On August 7th, ABS Global Inc., which is an American artificial insemination firm, announced new proprietary technology which had resulted in a healthy six month old bull calf named 'Gene'. The company also announced the formation of Infigen Inc. to commercialise applications of cattle cloning technologies in the fields of pharmaceuticals, nutriceuticals and xenotransplantation.

The Infigen technology is claimed by the company's Vice President, Dr Michael Bishop, to be a major advance over the existing techniques and those used to produce Dolly and other sheep clones in Scotland.

The process

Primordial stem cells are taken from a 30 day old calf foetus, growth factors are introduced, and permanent embryonic stem cells develop. The nucleus of unfertilized egg is removed, and then cloned stem cells are fused into the 'empty' eggs. 'Activation' is initiated with a special protein growth media. The cells multiply rapidly. Cloning is done by repeating the same procedure. The immature embryos which develop are transferred to recipient cows and gestated for 280 days. Information on Infigen Inc. and ABS Global can be found at the Web site http://www.infigen.com

CONFERENCE NEWS

The 14th Australasian Biotechnology Conference, Adelaide, April 19 - 23, 1997

Food and Health for the 21st Century

The Organisation of your Conference is moving along well with an exciting list of plenary speakers already confirmed:

Charles Arntzen and Amanda Walmsley (Boyce Thompson Institute) - Vaccine Expression;

Peter Colman (Biomolecular Research Institute) - Drug Design;

Robert Devlin (Fisheries & Oceans Canada) - Transgenic Fish;

Gus Nossal (University of Melbourne) - Vaccine Development;

Pam Russell (Prince Of Wales Hospital) - Gene Therapy;

Gary Sayler (University of Tennessee) - Bioremediation;

Ian Wilmut (Roslin Institute) - Reproductive Technologies; and

Qifa Zhang (Huazhong Agricultural University) - Rice Transgenesis.

In addition, a number of leading researchers from Australia and overseas are committed to present talks in the Scientific Streams in Agriculture, Vaccines, Therapeutics and Environmental Biotechnology. A Satellite Workshop will be held on Field Applications in Bioremediation on Friday April 24.

The finale for the Conference will be an Open Forum on Bioethics to debate and discuss the impact of Biotechnology on Society.

In a departure from previous formats, the conference will include a five session Business Stream, providing a strong emphasis on commercial issues. It will be opened with a keynote address by internationally known financial analyst and commentator, Steve Burrill. Today's hot topics for biotech company survival will be presented in a practical, `how to' way with sessions on venture capital, industry indices, the analysts' view, intellectual property, technology transfer, valuation, timing, due diligence, and regulatory issues. The sessions will have participants from the Asia Pacific Region, North America and Europe giving the program an up to date global perspective. Rick Walter will lead a team from the Canadian Institute of Biotechnology with a report card full of valuable lessons and success stories from their country. Discussions are well advanced with the European Commission Delegation for a series of talks on EU biopartnering opportunities.

To date, the Conference sponsors are AMRAD Pharmacia Biotech, the Economic Development Authority of the South Australian Governmment, CSL, the Commonwealth Department of Industry Science and Tourism, and Faulding, and we invite further corporate support.

The Registration plus Call for Abstracts Booklet will be mailed out to all ABA members in early September. For further updates check out the Conference Website at http:/som.flinders.edu.au/FUSA/BiotechConf98.html

BIO SHARES

Covering Australian Biotechnology Stocks - compiled by M.J. Playne

The July 1997 issue of Shares magazine contained an article discussing many of the shares listed below, and provides a useful background to these companies.

---------------------------------------------------------------------------
Company                         2/12/96  14/2/97  15/4/97  18/6/97  22/7/97 
---------------------------------------------------------------------------
All Ordinaries Index              2389     2483     2366     2673    2653 

2042 Agen                         0.25     0.24     0.20     0.19    0.17 
5042 AMRAD                         -        -       1.97     2.20    2.28 
6112 BioDiscovery                  -        -        -        -      1.03 
2175 Biota                        3.24     3.42     4.20     4.67    4.52 
2139 Biotech International        0.13     0.12     0.10     0.13    0.17 
2144 Blackmores                    -        -        -       3.85    3.80 
2158 Burns Philp                  2.15     2.11     2.07     2.35    2.50 
2233 Circadian Technologies       1.20     1.35     1.04     1.10    1.00 
3608 Cochlear                     3.74     -        3.70     4.10    4.50 
2283 Cortecs International        3.60     4.98     4.76     4.60    4.08 
2288 CSL                          6.34     6.30     6.37     8.35    7.66 
2376 Fauldings                    8.67     -        7.60     7.40    8.00 
3664 ForBio                       3.10     2.75     3.50     3.25    3.24 
2476 Hyal Pharmaceutical          0.40     0.44     0.28     0.34    0.31 
2496 IDT                          0.52     0.51     0.55     0.49    0.46 
2508 Inovax                        -        -        -       0.92    1.13 
2602 Medical Innovations          0.60     0.60     0.42     0.52    0.43 
2677 Novogen (prev. Norvet)       2.18     1.72     1.25     1.85    1.71 
2746 Peptech Ltd                  0.58     0.56     0.50     0.45    0.44 
3882 Pharmaction                   -        -        -       0.17    0.17 
3644 Progen                        -        -      11.50    12.50   11.60
6160 Virax (prev. Rancoo)         0.25     0.65     0.75     0.30    0.40
---------------------------------------------------------------------------

Warning - This table is a guide only to stock movements. Persons should not use this information as the sole basis for business and financial decisions. Advice from financial advisors should be sought.

Suggestions from readers on how to improve information on Australian biotechnology stocks is welcome. Please send your ideas to Martin Playne at the ABA or telephone (03) 9252 6485 (b/h)

ASIAN NEWS

News from Malaysia

New and Improved Diagnostic Kits for Infectious Diseases

A collaborative effort between Malaysia's Institute for Medical Research (IMR) and the United States Army Research Unit (USAMRU) has resulted in the commercialisation of a test kit for rickettsial typhus, a common cause of febrile illness in many developing countries. Laboratory diagnosis of typhus has always been a problem due to the difficulty and hazards of isolating the organism and the lack of sensitivity and specificity of currently available serological tests. The new kit provides rapid diagnosis, is sensitive and specific and requires only a simple light microscope. The test kit comprises rickettsial antigens pre-dotted on teflon-coated slides which is used to detect antibodies to these antigens in the patients' serum. Three antigens from species which commonly cause rickettsial typhus, Rickettsia tsutsugamushi (which causes scrub typhus), Rickettsia typhi (endemic typhus) and a Thai strain (tick typhus), are used in the test kit.

In another development, research at the City University of Hong Kong, has developed a rapid detection test for Escherichia coli, a common and sometimes highly virulent enteropathogen, as exemplified by the E. coli O:157 outbreak in Japan in 1996 and 1997. The test only takes 2 hours and can identify six different species of bacterial pathogens, three E. coli species, two Salmonella species and a Vibrio species. The cost of the test is approximately the same as that of conventional tests which take two days to perform and can only identify a single pathogen.

Malaysia's pioneering biodiagnostics company, Malaysian Bio-Diagnostics Research (MBDr) continues to set the pace when it recently announced a new, improved version of the Typhidot kit for diagnosing typhoid fever (see Australasian Biotechnology 5, 137, 1995). Typhoid fever remains an important global health problem, exemplified by a major outbreak in Tajikistan in 1996-97 involving more than 50,000 cases. In collaboration with ICT Diagnostics of Australia, MBDr has used immuno-chromatographic technology to improve the format of the test and shorten the time required for performing the test from a few hours to a matter of minutes. Most importantly, the simple, convenient format makes the test ideal for field use in regions with minimal laboratory facilites. The kit is environmentally friendly and easily disposable with no liquid wash steps and the user is also protected from infection as the sample is contained within the test card. Using the same technology, MBDr is also marketing simple, one-step test kits to detect opiates, heroin, morphine and marijuana in urine specimens within five minutes.

(Excerpted from Malaysian Technology, January-March and April-June, 1997 issues and Asian Medical News, May, 1997 issue).

W.H.O. Continues Drive to Develop Better Vaccines

Among various strategies available to combat infectious diseases, prevention through immunization has been shown to be the most cost effective option. Therefore, the World Health Organization (W.H.O.), through its Vaccine Research & Development (VRD) section within the Global Programme for Vaccination (GPV), continues to promote research to develop better vaccines for the future. Funding of research in specified priority areas is an important activity of GPV/VRD with strong emphasis on research of practical value and thus of interest to industry. The VRD's research programme is managed by its Steering Committees which perform the role of peer-review, monitoring progress and also establishing links with vaccine manufacturers.

The Steering Committee for Diarrhoeal Diseases Vaccines (DDV) has a special interest in several major diarrhoeal diseases, most notably shigellosis and rotavirus diarrhoea. With reference to shigellosis there is particular interest to fund research in the following areas : clinical trials for candidate vaccines (live and subunit/non-living), definition of immunological correlates of protection, basic research to identify mucosal immune reponses to Shigella spp. and virulence properties that may cause adverse clinical reactions following vaccine administration. In relation to rotaviruses there is special interest in identifying immunological correlates of protection, boosting immunogenicity of candidate vaccines, development of subunit vaccine candidates, and vaccine evaluation studies in diverse geographical regions. The Committee has also identified other priority diseases, including diarrhoea caused by entorotoxigenic E. coli (ETEC), cholera and typhoid fever.

For further information contact the Committee's Secretary, Dr. B. Ivanoff, GPV/VRD, World Health Organization, via Appia, 1211 Geneva 27, Switzerland (Fax no. : 41 22 791 4860;
e-mail : ivanoffB@who.ch).

The Steering Committee for New Vaccination Approaches (NVA) has a unique role in promoting the development of novel approaches to vaccination on a trans-disease basis. The Committee has a broad objective to improve vaccine immunogenicity and simplify vaccine delivery by supporting research in specific areas, including clinical studies. The following priority areas have been identified :

    (a) new immunization approaches including mucosal immunisation (nucleic acid vaccines, correlates of protection following nucleic acid vaccination, adjuvants, nasal delivery) and neonatal & infant vaccinology;

    (b) new delivery systems (combination vaccines, prime-boost strategies);

    (c) therapeutic and immunomodulating vaccines, including vaccines against chronic infectious diseases (excluding HIV/AIDS).

For further information contact the Committee's Secretary, Dr. M.-T. Aguado, GPV/VRD, World Health Organization, 1211 Geneva 27, Switzerland (Fax no. : 41 22 791 4860; e-mail: agauadom@who.ch).

Other GPV/VRD Steering Committees deal with Mycobacteria, Meningococcal & Pneumococcal Diseases, Measles, Dengue & Japanese Encephalitis, and Epidemiology and Field Research. General and specific information on the various Committee's activities and W.H.O. programmes in general can be easily accessed through the excellent WHO Web site (http://www.who.ch)

Tikki Pang, Malaysia

News from Indonesia

Indonesian Biotechnology Conference 1997

The Indonesian Biotechnology Conference 1997 (IBC'97) was conducted in Jakarta Convention Centre, Jakarta, Indonesia on 17-19 June, 1997. The conference was attended by 650 participants coming from 23 countries, and was officially opened by His Excellency the President of Indonesia, Mr. Soeharto, at the Presidential Palace on the morning of June 17.

The IBC '97 was organized in several sessions. The keynote speech was presented by Prof. B.J. Habibie (Indonesian Minister for Research and Technology), represented by Dr. Sofyan Tsauri, the chairman of Indonesian Institute of Sciences.

Speakers of the plenary lectures were as follows :

    - Development of Industrial Biotechnology in Indonesia (Prof. Oei Ban Liang, ITB, Indonesia)

    - Commercial Application of Biotechnology (Prof. Peter Gray, UNSW, Australia)

    - Human Genome Diversity as an Asset in Medical Biotechnology (Prof. Sangkot Marzuki, The Eijkman Centre for Molecular Biology, Indonesia)

    - The Impact of Biotechnology on Vaccine Development for Prevention of Infectious Diseases (Prof. Patrick Cleary, Univ. Minnesota, USA)

    - Biotechnology and Sustainable Agricultural Development (Dr. Aziz Darwis, IUC Biotechnology, Bogor Agricultural University, Indonesia)

    - Agricultural Biotechnologies Achievements, Promises and Challenges (Dr. Albert Sasson, UNESCO, France)

    - Integrating Biotechnology into Forest Biodiversity Utilization (Dr. Setiati D. Satrapraja, R&D Center for Biotechnology, Indonesian Institute of Sciences, Indonesia)

    - Technology Transfer of Agricultural Biotechnology (Dr. Murray McLaughlin, Deputy Minister for Food and Agriculture of Saskatchewan, Canada)

    - Impact of the Concepts and Technologies of Immunology in the Biotechnology Revolution (Dr. Graham Mitchell)

    - The Role of Molecular Biology in Genetic Manipulation (Prof. James A. Womack, University of A&M Texas, USA)

    - Adoption of Biotechnology: an Economic Necessity for the Forest Plantation Industry (Dr. Nigel Tirvey, Monfory Nusantara, Indonesia)

In addition to the plenary lectures, 116 contributing papers were also presented orally, while 81 papers were presented as poster papers. The IBC '97 was also accompanied by exposition from several biotechnology related companies operating in Indonesia.

Besides being sponsored by the Indonesian Biotechnology Consortium, the IBC '97 was also co-sponsored by Indonesian Forestry Community, GATRA, PT. INAGRO, PT. Mercurindo Citamurni and Monfory Nusantara.

More information regarding the proceedings may be obtained from Dr. Mahmud Thohari, Dr. Khaswar Syamsu, IUC Biotechnology, Bogor Agricultural University, Phone: 62 251 621257; Fax: 62 251 621724.

IAMA World Congress VII, Jakarta 1997

The 7th world congress of the Industrial Food and Agribusiness Management Association (IAMA) with the theme: "2020 A Global Vision for Agribusiness, Food and Fiber" was conducted in Jakarta on 24-26 June 1997. The Congress was officially opened by the Minister of Agriculture, Indonesia, His Excellency, Prof. Syarifudin Baharsyah. Indonesia is the first Asian country which has been entrusted to host the congress.

There are four scenarios to assist policy workers in their agribusiness planning, namely, the impact of biotechnology, an increase in the world trade liberalization, a trade liberalization backlash in the USA, Europe and Japan, and a reaction to global warming through the imposition of carbon taxes. The three day world congress was attended by more than 350 participants coming from 30 countries, of which 75% were overseas participants.

Speakers at the congress included Herman H.F. Wijffles (President IAMA and Chairman, Executive Board of Rabobank, The Netherlands); Dr. Beddu Amang (Chairman of BULOG, Indonesia); Prof. Emil Salim, former Indonesian Minister for Population and Environment of Indonesia, and the Nobel Peace Prize winner Norman E. Borlaug. The main sponsors of this congress were PT. Rabobank Duta Indonesia, PT. Japfa Cornfeed Indonesia, Sierad Group, Farmland Industries, Kansas City, Missouri, USA, Pioneer Hi-Breed International, Des Moines, Iowa, USA, Sriboga Raturaya and Sinar Mas Group.

For further information, please contact Tipuk Soetiotomo, IAMA Network Communications, Phone: 62 21 526 1018; Fax: 62 21 526 1019.

E. Gumbira Sa'id, Indonesia

ABA NEWS

The key issue currently being addressed by the ABA Board of Directors is the question of `What sort of organisation do we want the ABA to be'? While not wishing to reduce the ABA's academic and educational activities, the Director's feel there is a need to enhance the ABA's role as a voice for the biotechnology industry. To this end, the Directors decided at the Board meeting of 23 May to seek the services of a consultant to help create a business development plan.

Expressions of interest were sent to a number of consulting groups, both individuals and companies. The consultants were advised that `...... the Association wishes to assess the market needs of its members, and potential members, particularly the Corporate Members. This is to assist the Directors to define more clearly the future role of the Association to ensure its viability and growth and its ability to serve its members through differentiating the services provided from those provided by other societies and trade organisations ......' [In other words, the directors were seeking to define a viable niche for the ABA to fill]. It was envisaged that activities involved in this consulting exercise would include benchmarking against similar organisations (both local and overseas), stakeholder analysis, interviews with members and potential members, and questionnaires.

Expressions of interest were received from ten consulting groups or individuals. At its 28 July meeting, the Board interviewed four shortlisted consultants and decided to award the contract to two. Aoris Nova (principal Kelvin Hopper) was selected as the primary consultant and will undertake the majority of activities. Foursight (Graham Mitchell et al) was selected as a secondary consultant, playing an advisory/advocacy role at key stages in the process. The project will commence in early August, with a completion date of late November.

Members of the ABA will have the opportunity to provide their input into this exercise, either through interviews, focus groups or forums, or via a general questionnaire. An interim report on the project will be provided at the next Board meeting on 29 September (which is also the date of the AGM).

BIOTECHNOLOGY AND MEDICINE

An old view of medical biotechnology is that it is about using gene engineering to make therapeutic proteins in foreign cells efficiently and economically. Although this is an important part of the subject, the portfolio of papers we have assembled for this Special Feature show that this is far from whole story. DNA and RNA therapetics are also valuable in medicine, and deliberate gene engineering is now combined with random screening techniques in powerful ways during drug discovery programs. A whole field of biotechnology, in which macromolecule structures are analysed in silico has emerged in its own right.

In this feature we start with an overview of the more imaginative and interesting applications of phage display - screening techniques, written by workers from the Howard Florey Institute in Melbourne. The power of this technology is illustrated in the article by its use in designing novel mini-peptide hormones and to generate synthetic DNA binding proteins to bind at particular target sites in DNA.

Next, a paper from the Cooperative Research Centre for Tissue Growth and Repair in Adelaide reviews the problems involved in the rather gruesome subject of wound repair using biosynthetic tissue growth factors, and it describes a new approach for delivery of a mixture of growth factors for chronic wound repair. The following article reviews recent events in the application of ribozymes in gene therapy. Finally, we include a paper which is not strictly medical technology, but in it Tim Littlejohn from ANGIS, and Adrian Gibbs from ANU outline a general approach that will be increasingly used in medicine. They describe information technology based diagnostics, and indicate how gene databases combined with a World Wide Web browser "Network Computing" system can be applied to identification of new infectious disease agents.

David Tribe,
Special Feature Editor
Copyright 1997 Australian Biotechnology Association Ltd.

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