Market Information
Europe

Biotechnology: Czech Republic

May 2002

Milan Harustiak
Commercial Officer
Office of the Canadian Embassy, Bratislava, Slovakia
Mickiewiczova 6
125 33 Praha 6
Tel.: (011-421-2) 5244 2177
Fax: (011-421-2) 5249 9995
E-mail: harustiak@canemb.sk
Internet: http://www.dfait-maeci.gc.ca/prague 

Market Overview

In health sciences, several biotechnology companies are involved in production, with some major pharmaceutical companies having entered into different types of partnerships with foreign enterprises. Production in the field of diagnostics includes production of monoclonal antigens and diagnostic sets (for example VIDIA), chips for analysing nucleic acids (Institute of Hematology and Blood Transfusion) or biosensors for detecting pollutants in water (Institute of Microbiology, Czech Academy of Sciences).

The most important issue in the field of biotechnology agricultural applications is the use of products containing genetically modified organisms (GMOs). There is a law on the use of GMOs and products derived from GMOs, similar to measures already adopted by European Union countries, which tightly restrict the use of GMOs. Under Czech law, only government-registered users can introduce GMOs into the environment. The registry of users is administered by the Ministry of Environment, and each user is provided with a list of duties or responsibilities. GMOs, both imports and those destined for export, are required to bear a label clearly stating "genetically modified organism" or "this product contains a genetically modified organism" in both the Czech language and the language of the country of destination. As well, this information must appear in the accompanying documents of exports.

Various large foreign companies, as well as Czech institutes, are conducting field trials with special applications to sugar beets, corn, canola, wheat and potatoes in the Czech territory. All these activities have to be registered with a special committee of the Institute of Plant Molecular Biology in Ceske Budejovice, which provides an expert opinion on applications for environmental release and on the controlled use of genetically modified plants. The committee is also responsible for monitoring field trials and detecting transgenic material in plants from field trials.

Biotechnology environmental applications are mostly in the field of bioremediation of soil and polluted areas. Several companies are active in this field.

Opportunities

The market for biotechnology offers Canadian companies joint research and development opportunities. The Czech research base is sufficiently sound and, due to its cultural and technological heritage, which is reflected in high-quality educational institutions, the Czech Republic offers a highly trained and educated labour force. It would be worthwhile to examine possible cooperation in the field of agricultural biotechnology with the following: the Potato Research Institute at Havlickuv Brod, the Research Institute of Oilseed Crops, the Sugar Beet Institute, the Research Institute of Livestock Production at Uhrineves, as well as with the institutes focused on general biotechnology such as the Institute of Plant Molecular Biology at Ceske Budejovice, the Institute of Microbiology and the Institute of Molecular Genetics of the Academy of Sciences of the Czech Republic. As well, local producers need biotechnology equipment for their laboratories and testing centres, and there is a need for biotechnology medical products and equipment.

Market Access Considerations

The most important issue in the field of biotechnology agricultural applications is the use of products containing genetically modified organisms (GMOs). There is a law on the use of GMOs and products derived from GMOs, similar to measures already adopted by European Union countries, which tightly restrict the use of GMOs. Under Czech law, only government-registered users can introduce GMOs into the environment. The registry of users is administered by the Ministry of Environment, and each user is provided with a list of duties or responsibilities. GMOs, both imports and those destined for export, are required to bear a label clearly stating "genetically modified organism" or "this product contains a genetically modified organism" in both the Czech language and the language of the country of destination. As well, this information must appear in the accompanying documents of exports.

A local partner is absolutely essential to doing business in the Czech republic to provide vital insight into Czech business practices, market characteristics and strategies, and legal, financial and importation procedures. The type of partner required by a Canadian company will vary on a case-by-case basis, but, in general, manufactured goods require a local agent, representative or distributor, who is selected with similar criteria as in Canada. Canadian service companies and investors cannot function effectively without a local partner as their eyes and ears on the ground.

Major Competition

The most significant companies in the health sciences field are IVAX, LECIVA, ICN Czech Republic (former Research Institute of Antibiotics and Biopharmacy), Roztoky u Prahy and Lachema, Brno.

Major firms in the agricultural field are Monsanto, Novartis, AgrEvo, Pioneer Saaten, Aventis, the Czech Research Institute of Crop Production and the Institute of Experimental Botany of the Czech Republic. The leading companies in the environmental field are ENVISAN-GEM a.s. and BIOASAN spol. s r.o.

Other Useful Information Sources/Web Sites

Biotrend: http://www.biotrin.cz 

This non-profit organization was founded by the academic community for dissemination of information on modern . It contains an English version of the legislation on GMOs (No 153/2000Sb) and other useful leads to information on biotechnology issues.

Czech Commission of Plant Transgenosis: http://www.umbr.cas/cz/ktr (see list of field trials)

Institute of Hematology and Blood Transfusion: http://www.uhkt.cz  (Contact: Professor R. Brdicka)

Institute of Plant Molecular Biology: http://www.umbr.cas.cz 

Ministry of Environment/GMO: http://www.env.cz 

For detailed market reports about this sector, please visit http://www.infoexport.gc.ca