Governor Pat Quinn today announced that a new independent study has ranked Illinois at the top of the nation's biotechnology industry, and the state is at the core of the most vibrant bioscience hub in the United States. Today's announcement is part of Governor Quinn's agenda to create jobs and drive Illinois' economy forward. Citing "The Economic Engine of Biotechnology in Illinois," a new report from iBIO conducted by Ernst & Young LLP, the announcement comes during the BIO Conference in Chicago.
"This report shows that Illinois is a national leader in biotechnology jobs and economic impact," Governor Quinn said. "Public and private investments have fueled our strong track record of innovation and success in biotechnology. As this report makes clear, Illinois and the Midwest are well positioned for ongoing growth."
The report demonstrates that Illinois stands out as a significant player in the biotechnology industry in three ways. First, Illinois is at the core of the most vibrant bioscience cluster in the United States; second, biotechnology is a critical component and driver of the state's economy; and third, the state of Illinois is committed to fueling this growth and advancing the biotechnology industry.
"The Economic Engine of Biotechnology in Illinois" shows the Midwest Super Cluster, which includes Illinois and the surrounding eight-state region, surpasses California and the East Coast in biotechnology-related employment, number of establishments and research and development expenditures. Its four key findings are:
- Within the Midwest Super Cluster there are more than 16,800 biotechnology establishments employing more than 377,900 people. By comparison, California has 7,500 biotechnology establishments that employ 230,000 people, and the East Coast cluster employs 253,000 among its approximately 7,100 biotechnology establishments.
- The overall economic output of Illinois' biotechnology industry is more than $98.6 billion with 81,000 direct jobs and more than 3,500 biotechnology companies in the state. In fact, Illinois residents employed by biotechnology companies earn up to 91 percent more than the average Illinois resident. The biotechnology industry in Illinois has demonstrated the strongest revenue growth in recent years among all of the states analyzed in this study, an average annual growth of 13.3 percent.
During the past decade, the top seven universities in Illinois have steadily increased their research and development expenditures, creating new opportunities for biotech startups. Expenditures have nearly doubled since 2001, growing from $727 million to more than $1.3 billion.
- The ability to secure early-stage funding is spurring innovation and growth among startup biotechnology companies in Illinois. Venture capital funding in Illinois has seen a 209 percent increase between 2009 and 2012.
Ernst & Young LLP conducted direct interviews with senior industry leaders throughout the Midwest region to create the report. Data was also gathered from reports by Battelle Memorial, information from the Bureau of Labor Statistics, the National Science Foundation, various university technology transfer offices, biotechnology organizations, publicly available data sources and reports, as well as proprietary databases. The nine-state Midwest Super Cluster includes Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Ohio and Wisconsin.
The full report may be viewed at ibio.org/illinoisbiotechreport.
"Ernst & Young is committed to helping the Midwest become one of the top biotechnology communities in the world," Ernst & Young's Midwest Health Sciences Leader Jo Ellen Helmer said. "To succeed, our region must continue to invest in the industry, and increase collaboration and partnerships, as well as facilitate ongoing research, recruit the talent needed to ensure growth and emphasize the ease and ability to secure early-stage funding."
iBIO, which commissioned the study, aims to make Illinois and the surrounding Midwest one of the world's top life sciences centers, a great place to do business and a great place to grow new technology ventures. iBIO advocates for sound public policy at the local, state and federal levels; improves our region's ability to create, attract and retain businesses; and orchestrates industry involvement to help restore America's leadership in math and science education. To find out more about iBIO, please visit ibio.org.
The national Biotechnology Industry Organization named Governor Quinn "2011 Governor of the Year" at their international conference in Washington, D.C. Additionally, Illinois is home to several multinational bioscience companies, including Abbott, Baxter, Takeda, Astellas, Valent BioSciences, Tate & Lyle, Hospira and Lundbeck. According to iBio, Illinois is home to more than 440 corporate R&D facilities and more than 200 academic, government, and nonprofit research institutions.