Biotechnology Development

Biotechnology Development

Photo by UNDP Serbia, Momira Markovic

Biotechnology Development
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Health Care
Biotechnology and Pharmaceuticals
Business Model Description

Build and operate production plants and laboratories in the relevant areas, such as bio-manufacturing, bioeconomy (biotechnology plus biomanufacturing), clinical trials, personalised medicines (diagnostics and prognostics), artificial intelligence in medical development and health care, and secondary data usage for research and development (R&D) and similar. Biotechnology products can be produced from the areas such as regenerative medicine, cell and gene therapy, advanced healthcare through genome sequencing, rapid and precise development and manufacturing of medicine and vaccines. The business model is based on strong Government cooperation with private sector to create a world-class regulatory environment for development of knowledge-based industries. Serbia changed dozens of laws on various topics, including e-commerce, immigration, intellectual property protection, corporate law and introducing a new law on digital assets. Serbia also introduced a wide range of very generous tax incentives, including so called IP Box, accelerated R&D deduction, lower tax and social contributions for employing repatriates and foreigners, for people employed in R&D and for employing young people, as well as tax credit for investing in a startup, which the private sector can take advantage of.

Expected Impact

Support development of life-saving drugs and therapies and medical research advancements, as well as create job opportunities and economic growth.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
> 25% (in ROI)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
USD 100 million - USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 1 million - USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Good health and well-being (SDG 3) Industry, Innovation and Infrastructure (SDG 9)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Decent Work and Economic Growth (SDG 8) Reduced Inequalities (SDG 10)
Sector Sources
  • 1) Statistical Office of the Republic of Serbia. Age pyramid of the population, 2021. 2) E-klinika. More and more people suffering from lung cancer, Serbia is the first in Europe in terms of mortality, 2022. 3) National Assembly, 2010-2017, Law on Medicines, 2022. 4) EY Serbia. Possible directions to increase health efficiency system in the Republic of Serbia, 2016. 5) Peterhof Consulting stakeholder consultations at Peterhof office on 21st of February, 2023. 6) Legal information system of the Republic of Serbia. The strategy of public health in the Republic of Serbia 2018–2026, 2018. 7) EuroNews Serbia. Small farmers in big debt for health insurance, 2022. 8) Government. Strategy for the continous improvement of the quality of health care and patient safety, 2009. 9) PKS Partner, 2021. 10) Marina Antić Levnajić. Market overview and challenges for pharma industry in Serbia, 2021. 11) The World Bank. 2019. Out of pocket expenditure. 12) Ministry of Finance. 2021. Law on the Budget of the Republic of Serbia for 2021. 13) Statistical Office of the Republic of Serbia. 2021. GDP. 14) WHO. 2020. Health Budget. 15) Danas. Trampoline: Last year, 55,305 people died from diseases of the heart and blood vessels in Serbia, 2021. 16) Biz Portal. The capital of Serbia is becoming a hub for the development of artificial intelligence in health care, 2022. 17) Ministry of Finance. 2023. Law on the Budget of the Republic of Serbia for 2023.
IOA Sources
  • 21) Politika. Green economy and biomedicine are new sources of growth, 2021. 22) Government. Strategy for Social inclusion of Roma in Republic of Serbia 2022-2030. 2021. 23) Official site, 24) GVR. Market analysis report. 2020. 25) Oxford. Biotechnology and regulatory risk assessment, 2021. 26) Biotechnology Innovation Organization. 2020. 27) International Journal for Empirical Education and Research. Global competition and Biotechnology Industry. 2018. 28) OECD.The Bioeconomy to 2030: Designing a Policy Agenda, 2007. 29) Duane Dickson. Protection of intellectual property in biotechnology, 2015. 30) Btitte Bauchaut. 2022. Uncertainties and uncertain risks of emerging biotechnology applications. 31) Duane Dickson. Urbanization and the Bioeconomy. 2015. 32) Official site; 33) Official site; 34) RZS, 2022. 35) RZS, 2022. 36) SDG Tracker, 37) EY Serbia. Possible directions to increase health efficiency system in the Republic of Serbia, 2016. 38) Development strategy of the institute for molecular genetics and genetic engineering 2016-2026; 39) Ministry of Health. 2018. Rulebook on the guidelines of good practice in the distribution of medical devices. 40) National Assembly. Program od the Government of th Republic of Serbia of the candidate for Prime mininster Ana Brnabic, 2020. 41) Subhajit Pathak, Pratiksha Sarangi and Giridhara R. Jayandharan.Gene therapy for female infertility, 2022. 42) Iberdola, 43) National Academies of science, engineering and medicine. 2017. Understanding Risks Related to Future Biotechnology Products. 44) Statistical Office of the Republic of Serbia, Annual Buleltin, Survey of the work force in 2022, page 36. 45) Gradjanske.ICGEB grant, 2023. 46) Fund for innovation activity, 2022. 47) Tax credits and subsidies available to IT professionals, 2022. 48) Zuniclaw. Tax benefits for employees in R&D, 2023. 49) Paul Monaco. 2015. IP Risk in the Biotech Industry. 50) Sandra Batie. Biotechnology and the Environment:Issues and Linkages. 51) Online Peterhof Consulting stakeholder consultations at on 21st of February, 2023. 52) Government. Program of economic reforms from 2022 to 2024; 2021. 53) National Assembly. Law on Medicines. 2010-2017. 54) Government. Strategy of scientific and technological development of the Republic of Serbia for the period from 2021 to 2025; 2020. 55) Government. Strategy for the continous improvement of the quality of health care and patient safety, 2009. 56) Government Strategy for the development of Artificial Intelligence in Serbia for the Period 2022-2025.