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Ontario's Regional Economic Development and Innovation Newsletter

Issue #41                                                                         June 17, 2002

  Studies & Publications: Announcements | Editor's Pick | Innovation Policy | Regions & Clusters
Events
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  This newsletter is published by ONRIS at the Centre for International Studies, University of Toronto, and jointly sponsored by the Ministry of Enterprise, Opportunity & Innovation. The views and ideas expressed in this newsletter do not necessarily reflect the views and policies of the Ontario Government.

Next issue: July 15, 2002

ANNOUNCEMENTS                                                                    [Table of Contents]


Speech by Lord Sainsbury, Minister for Science and Innovation now available.

Lord Sainsbury’s successful talk, Science and Innovation, presented at the University of Toronto on June 10, 2002, is now available on the Britain in Canada website.  His talk included discussion of what the UK Government is doing to strengthen its science and engineering base and to encourage innovation and the transfer of knowledge from the universities.  Also discussed was the Government’s efforts to create a regulatory framework that, without stifling innovation, inspires confidence in the new products that science can deliver and in how risks are assessed and managed.

Allan Rock urges partnership with municipalities as Key to Canada's Innovation Strategy

Industry Minister Allan Rock, in speaking at the Federation of Canadian Municipalities' 65th Annual Conference and Municipal Expo, called upon municipal representatives to partner with the Government of Canada to advance Canada's Innovation Strategy. "Canada's Innovation Strategy requires a national effort," said Minister Rock. "If we are going to improve our competitive position, we need our municipalities and all sectors of our economy to remove barriers to innovation and push Canada toward a common goal of being one of the most innovative countries in the world."

Fastest growing states in west and northeast regions of US

The US states with the fastest growing economies in 2000 were located in the west and northeast regions of the nation, according to the Bureau of Economic Analysis. "Four of the western states with fast growth -- Idaho, Oregon, California and Arizona -- had robust growth in high-tech manufacturing, and Colorado had strong growth in business services and communications," says BEA. Alaska and Louisiana were the only states in which gross state product declined in 2000.

EDITOR'S PICK                                                                          [Table of Contents]


This year’s BIO 2002: International Biotechnology Convention & Exhibition, held in Toronto on June 9th–12th, has generated several important biotechnology reports as well as announcements of major funding programs by both the federal and provincial governments.  This issue’s Editor’s Pick is a compilation of the most notable.

Biotechnology Funding Announcements

Ontario launches $51 million strategy to become global leader in biotech research

Ontario's Premier, Ernie Eves, together with Minister of Enterprise, Opportunity and Innovation, Jim Flaherty, announced a $51 million Biotechnology Strategy that promises to prepare Ontario for a surge of growth in biotech and related industries.  The strategy brings together research and commercialization interests in excess of $10 billion over 10 years and aims to create up to 75,000 new full-time jobs. Strategy highlights include: $20 million for the MARS (medical and related sciences) Discovery District; $30 million to create the Cluster Innovation Program to maximize biotechnology investment and create up to 30,000 jobs; a proposed exemption from the 14.3 cents/liter provincial fuel tax for renewable biodiesel fuels; and an immediate review of potential tax incentives, including improving access to venture capital.

The Business Development Bank of Canada to invest $200 million in biotechnology

Industry Minister Allan Rock announced that the Business Development Bank of Canada (BDC) will target $200 million of venture capital investments in the biotechnology sector over the next five years. This investment is a significant step in Canada's Innovation Strategy, which aims to double the amount invested in Canadian research and development by 2010. Minister Rock made the announcement as he delivered the keynote speech at the opening luncheon of BIO 2002, the largest biotechnology conference and trade show in the world.

Related Reports

Signs of Life: The Growth of Biotechnology Centers in the U.S.

J. Cortright and H. Mayer, The Brookings Institute

This report provides an analysis of biotechnology activity in the 51 largest U.S. metropolitan areas and finds that the industry is heavily concentrated in nine regions. According to the authors, these nine areas excel because they possess both strong research and the ability to convert that research into commercial activity - two key ingredients necessary for biotech growth. The availability of continuing private-sector investment in product development is a critical factor to the industry whose firms typically operate at a loss with large amounts of R&D spending for several years in advance of earning any sales revenue. The report, with its comparison of the 51 metro areas, is useful in helping inform regions that are seeking to capture a share of the nation's biotechnology growth.

Beyond Borders: The Global Biotechnology Report 2002

Ernst and Young

This first global report, released by Industry Minister Allan Rock at Bio 2002, expands upon Ernest and Young’s U.S. and European focused reports to include an analysis of Canada, and Asia/Pacific countries, and some of the world’s developing markets, surveying a total of 25 countries. The report finds that the U.S. biotech industry has retained its global leadership position with 55% of the world’s publicly traded biotech companies and 72% of global revenues and more than 70 % of global R&D expenditures. With more than 400 biotech companies operating in 2001, Canada ranks second in the world after the U.S. in the number of firms. For more highlights and comparisons of Canada with the US, Europe and Asia Pacific, please see U.S. highlights and Global highlights, courtesy of PR Newswire and, Industry Canada’s summary of the Canadian highlights.

Follow the Leaders: Canadian Innovation in Biotechnology

Follow the Leaders tells the stories of some of Canada's most innovative and successful scientists and business leaders. It profiles 21 researchers and firms from across Canada, each of whom has played a key role in expanding the boundaries of human knowledge and strengthening Canada's biotechnology sector.

INNOVATION & RELATED POLICY                                             [Table of Contents]


Dynamising National Innovation Systems

OECD

This publication synthesizes the results of a seven-year OECD project on national innovation systems (NIS) and demonstrates how the NIS approach can be implemented in designing and implementing more efficient technology and innovation policies. In addition to improving the overall configuration of the NIS, the authors suggest that the implementation of the NIS framework can be seen as a learning process that can lead to a reshaping of the policy making system itself.  Governments should use the NIS approach to learn about the intended and unintended consequences of their policies and base implementation on political and feasibility and consensus building.

The importance of new firms in Canadian manufacturing, 1989 to 1997

Statistics Canada

The dynamic process that brings new firms into an industry and forces old firms out dramatically reshapes Canada's industrial landscape, according to a new report that examines competitive restructuring in the manufacturing sector. Each year new firms account for some 15% and 20% of all firms in Canada, but because of their smaller size, represent only between 2% and 4% of total employment. Five years on, the new companies that originally represented 15% to 20% of the total accounted for only 5% to 6%.

The Advanced Technology Program: Reform with a Purpose

Office of the Secretary, U.S. Department of Commerce

This report outlines a series of reforms for the US Advanced Technology Program (ATP), a program that has been funding early-stage, high-risk research since 1990. Prompting the need for reform has been how the change in the role of the university which, though increasingly recognized as a source of innovative activity leading to commercial ventures, is not allowed under current law to lead ATP joint ventures or to hold intellectual property rights from ATP-funded research. 

Options for improving government assistance for firm-based R&D

This report presents an “ideal case” suite of government assistance programs for firm-based investment in R&D in New Zealand that takes into account their purpose in the innovation system and linkages with government initiatives. The report aims to provide an ideal case scenario for the government’s role in technology assistance; to identify new opportunities that can be advanced now and for the future; to  link the opportunities to previous, current and proposed initiatives across government; and  provide an information base of case studies, academic reports, international experience and business consultation to assess the viability of the opportunities.

REGIONAL INNOVATION & CLUSTERS                                      [Table of Contents]


The 2002 State New Economy Index: Benchmarking Economic Transformation in the States

R. D. Atkinson, PPI

This year’s State New Economy Index points to increasing evidence that New Economy factors such as high productivity rates, better inventory management and more flexible labor markets, and a greater share of jobs in the service sector, were indeed responsible for the shortest economic slowdown in memory. Using 21 economic indicators to measure the restructuring of the 50 state economies, the index assesses the states' progress as they adapt to the new economic order, and provides a frame of reference for an outline of a state-level public policy framework aimed at boosting the U.S. incomes.

EVENTS                                                                                        [Table of Contents]


The KANSAI´2002 Conference – Integrating Regional and Global Initiatives in the Learning Society

Kansai (Japan), 12-15 August, 2002

This 6th International Conference on Technology Policy and Innovation will focus on economic, political, technological, ethical, and social transformations associated with the emerging global issue of knowledge for development. Participants are encouraged to present original research and to share best practices. Conference topics will include: emerging issues in science and technology government policy, the management of knowledge socioeconomic development, the geography of innovation shared prosperity and sustainability, and the tools, methods and institutions regional and global systems of knowledge creation.

From Industry to Advanced Services - Perspectives of European Metropolitan Regions

Dortmund, 27-31 August, 2002

This year’s Congress of the European Regional Science Association focuses on broadly on regional economic issues. Themed sessions include regional competitiveness, innovation and new technologies, regional and urban planning, sectoral changes and new markets, demographic trends and regional policy.

Cities And Regions In The 21st Century

Newcastle upon Tyne, 17-18 September 2002

To mark their 25th year, the Centre for Urban and Regional Development Studies (CURDS) has organized this conference to critically examine current debates in urban and regional development studies and the prospects for cities and regions over the next quarter century. Issues to be discussed include: the way in which cities and regions shape - and are shaped by - the activities and experiences of their citizens; territorial differentiation of life chances and access to services within, and between, cities and regions; the application of theories of clusters, innovation systems and knowledge-based development to the understanding of regional dynamics and their translation into policy and the revived interest in cities as motors of their regional economies.

Europe's Regions Shaping the Future - the Role of Foresight

Brussels, 24 - 25 September, 2002

Involving various Commission Services, European organizations, and policy makers and experts from Member States and Candidate Countries, the conference aims at contributing to the networking of regional decision-makers, as well as foresight practitioners, promoters and stakeholders throughout Europe's regions. The first day is dedicated to inserting regional Foresight in a broader context and presenting concrete results already achieved in this field in different European regions. The second day will actively engage both promoters and sponsors of regional foresight and, practitioners and stakeholders to develop ideas for new activities to harness the potential of Foresight to contribute to the Lisbon goals.

Seventh International S&T Indicators Conference

Karlsruhe, 25-28 September 2002

This conference, organized by The Fraunhofer ISI and the University of Karlsruhe, will look at whether appropriate indicators can clarify the debate on knowledge societies and the broad, radical conversion of modes of knowledge production that are claimed to accompany the shift. The main themes to be addressed include: trends and challenges in the development of novel, advanced S&T Indicators; validity and adequacy of S&T indicators; indicators reflecting modes of knowledge production; combination and integration of quantitative and qualitative approaches; and S&T Indicators for the assessment of policy effects.

International Conference on Quality and Innovation

Waterloo, 22-23 October, 2002

Sponsored in part by the University of Waterloo and the American the Society for Quality, this conference brings together academic researchers, government and business leaders, and professionals to discuss and promote ideas in the areas of quality and innovation.  Topics include innovation management, leadership for innovation, quality management and continuous improvement, quality culture and business ethics, creativity and e-business.  Deadline for paper submittals is June 28, 2002.

CITO's Knowledge Network Conference - Where People in Technology Converge

Ottawa, 24 October, 2002

This conference aims to further CITO’s mandate of facilitating partnerships and knowledge exchange between industry and academic members. The conference is a forum for over 200 of Ontario's leading researchers and innovators to identify significant emerging technologies and explore the issues, opportunities and challenges they present to both the research and business communities. Among the highlights of this year's conference: interactive research strategy sessions, research presentations by current and upcoming innovators in communications, information technology and digital media and commercialization workshops. Dinner keynote speaker will be Bill Lishman.

Knowledge And Economic And Social Change: New Challenges To Innovation Studies

Manchester, 7-9 April, 2003

The purpose of this conference is to bring together the innovation studies community to focus on the current developments in the global economy, in technologies, and in political systems that are continuing to pose new challenges to analysis. Topics include: the increasing importance of the role of knowledge in the operation of the global economy; and the qualitative change in the conditions under which knowledge is exploited to create wealth, to improve the quality of life, and to move towards a sustainable ecosystem, economy and society. The conference is organized by Advances in the Economic and Social Analysis of Technology and the Institute of Innovation Research.

WILL YOU BE ONE OF OUR REGIONAL REPORTERS?               [Table of Contents]


Yes, you! In an effort to improve our coverage of Ontario's regional economies in this newsletter, we are looking for a few people who are 'plugged in' to the latest local economic development and innovation happenings in their regions. All we ask is that you send us a short message once a month highlighting recent news and research initiatives from your region - please forward items that you would like to share with newsletter recipients, as well as other items of interest, to: onris.progris@utoronto.ca.

SUBSCRIPTIONS & COMMENTS                                               [Table of Contents]


Please forward this newsletter to anyone you think will find it of value. We look forward to collaborating with you on this initiative. If you would like to comment on the content, subscribe or unsubscribe, please contact us as onris.progris@utoronto.ca.
 
This newsletter is prepared by Tijs Creutzberg.
Project manager is David A. Wolfe.