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LIFE SCIENCES in HUNGARY OPENING DOORS for YOUR INVESTMENT Life Sciences in Hungary 5 LIFE SCIENCES IN HUNGARY OPENING DOORS FOR YOUR INVESTMENT Life Sciences in Hungary 5 Published by the Hungarian Investment LIFE SCIENCES CONTENT Promotion Agency, HIPA All rights reserved © HIPA, 2017 www.hipa.hu 6 ABOUT HUNGARY 12 LIFE SCIENCES IN HUNGARY 22 LABOUR FORCE 26 INNOVATION HUNGARIAN INVESTMENT 32 PROMOTION AGENCY (HIPA) Life Sciences in Hungary 7 ABOUT HUNGARY MAIN FIGURES CURRENCY INFLATION FORM OF GDP (PPS) GOVERMENT FORINT € 194,248 0.4% PARLIAMENTARY (HUF) MILLION (2016, HCSO*) REPUBLIC (2015, HCSO) AREA TIME ZONE 93,022 km2 GMT + 1 HOUR UNEMPLOYMENT RATE 5.1 % (2016, HCSO) HUNGARY OTHER MAJOR CITIES POPULATION CAPITAL BUDAPEST Debrecen (203,059) Szeged (162,621) 9,830,485 1,759,407 (2016, HCSO) (as of January 2016) Miskolc (158,101) Pécs (145,347) Győr (129,568) 70% 62% CLIMATE RISK OF NATURAL TEMPERATE DISASTERS 51% (similar to the rest of VERY LOW the coninental zone) 40% 39% 30% Inward FDI stock in 2015 MEMBERSHIP IN INTERNATIONAL (percentage of GDP) ORGANISATIONS EU, UN, OECD, WTO, NATO, IMF, EC EU member: since 2004 HUNGARY CZECH SLOVAKIA ROMANIA POLAND SLOVENIA Source: wiiw FDI (Source: *HCSO REPUBLIC Database, 2016 = Hungarian Central Staisical Oice) Life Sciences in Hungary 9 ABOUT HUNGARY ...has modiied its taxaion and incenive BUSINESS ENVIRONMENT system related to R&D aciviies to make Hungary the innovaion hub of CEE. ...further improved the ...was the irst to pracice-based dual implement a Digital IN ORDER TO educaion system built Naion Development on industry needs. Program in the CEE IMPROVE THE region. BUSINESS CLIMATE THE HUNGARIAN GOVERNMENT... …has created the most compeiive CIT in the EU with 9 % lat rate. INVESTMENTS IN FOCUS INVESTMENTS ...has signed more than 70 strategic partnership agreements giving companies fast access to the Government. ...is commited to ...has introduced its further reduce taxes unique economic ...has introduced a new on employment. development plan incenive scheme based on Industry 4.0 supporing tech- requirements. intensive investments. Life Sciences in Hungary 11 EXPLORE THE COUNTRYSIDE ABOUT HUNGARY Hungary’s diverse countryside ofers a wide QUALITY OF LIFE BUDAPEST range of outdoor aciviies: 11,000 kilometres IS THE of hiking routes; more than 2,500 kilometres of 2. cycle paths; 22 golf courses; ten naional parks; BEST CITY and many protected nature reserves for those ON EARTH in love with fresh air. The protected Puszta- (Condé Nast Traveler, region, the Great Plain, the romanic Danube 2015) Bend with its historic sites, and prety baroque towns, such as Eger, atract visitors all over the year. Lake Balaton, the largest fresh water lake in Central Europe, is a perfect holiday resort. ARIA HOTEL BUDAPEST #1 HOTEL IN THE WORLD BY TRIPADVISOR 2017 Travelers' Choice Award EXPATS LIKE HUNGARY Budapest is a city full of surprises and wonders, with its lively centre, prety parks, majesic river, tall church spires, and lavish spas. One of the most exciing ciies in the world, Budapest is full of secrets, hidden spots to explore, and old favourites to revisit. This is the city where being bored is not an opion. INTERNATIONAL SCHOOLS According to TripAdvisor, Budapest is ofer- Expatriates looking to sick with the curricula ing the best price-value raio in the world. of their home countries can choose from According to Condé Nast Traveler readers, a range of private internaional schools for their Budapest is the second best city on earth. children. There are also many English, German or French public and private pre-schools for children aged from three to six. The school year starts in September and ends in June, and school buses are usually available at private schools. There are many opportuniies to study in a foreign language at universiies too. Life Sciences in Hungary 13 LIFE SCIENCES IN HUNGARY TOP 5 CITIES IN LIFE SCIENCES: 1. Budapest, Hungary STRONG POSITION 2. Skopje, Macedonia 3. Istanbul, Turkey 4. Moscow, Russia 5/a Athens, Greece 5/b Warsaw, Poland NR. 1 IN LIFE SCIENCES The Conway group – a company providing TATABÁNYA comprehensive corporate investment con- AMONG THE suling – has released a publicaion itled TOP 10 “The World’s Most Compeiive Ciies EUROPEAN CITIES 2015”. It evaluated the most compeiive big FOR LIFE SCIENCES ciies in terms of investment having a popu- (according to fDi Magazine) laion above 500,000 people. 4 5b 1 Budapest is displayed as one of the most dynamic hotspots of Central Europe, Budapest1 supported by the diversity of the city. 2 3 Budapest was the most atracive city of the Eastern European and Central Asian 5a region in the ield of the automoive industry, mechanical engineering, life sciences, metallurgy, power engineering, transportaion and logisics. In addiion, it shared irst place in the ield of infor- maion technology and communicaions and achieved second place in the ield of business and inancial services. Life Sciences in Hungary 15 Throughout the 20th century, Hungary was the most important LIFE SCIENCES IN HUNGARY supplier of medicine for Eastern Europe and remained at the BUILDING ON RICH TRADITIONS forefront of the region’s pharmaceutical industry. In the 1990s, international pharmas recognized its expert knowledge and potential and established export-oriented, high added value production in the country. A STRONG Building on its rich traditions, today the Hungarian phar- maceutical industry contributes to the health of people PHARMACEUTICAL in almost 80 countries around the world. INDUSTRY WITH A CENTURYOLD TRADITION Hungary’s modern pharmaceutical industry was estab- lished in 1901 by Gedeon Richter who began industrial- scale manufacturing in his Budapest pharmacy labora- tory. During the 1910s and 1920s, the foundations were laid down for one of Hungary’s most successful and glob- ally-renowned industrial sectors. Erik Bogsch Managing Director, Gedeon Richter Plc. "More than a century of experience in pharmaceuical manufacturing, globally acknowledged experise Ground-breaking contributions to life and coninuous innovaion, these are the values that sciences were made, such as the fi rst syn- characterize the Hungarian pharmaceuical industry. thesis and mass production of Vitamin C, For Gedeon Richter, an independent pharmaceuical led by Nobel laureate Hungarian scien- mulinaional based in Hungary, the solid operaing tist, Albert Szent-Györgyi. of its research and development acivity is a priority. The favorable economic environment make it possible for us to maintain a high engagement of Hungarian brainpower, a key to our successful internaional presence." Life Sciences in Hungary 17 LIFE SCIENCES IN HUNGARY REFERENCES TEVA GLAXOSMITHKLINE Global generics leader Teva Pharma- In 2002, UK-based mulinaional GSK ceuicals acquired the Hungarian phar- acquired a vaccine producion facility near maceuical company Biogal in 1995. Budapest making a strategic investment Today the plant in Debrecen (Eastern of over EUR 130 million. The plant produ- Hungary) is the company’s main centre ces anigens for paediatric combinaion of manufacturing for the region and vaccines. The facility employs 230 markets outside Europe. The company people. supplies products to 44 countries. Teva Group’s European generics R&D centre was inaugurated in 2009 in Debrecen. In Hungary, Teva operates three producion sites and a packaging plant, employing 3,000 people. GEDEON RICHTER The naion’s irst large-scale phar- maceuical producer, Richter was established in 1901 and remains the naional lagship manufacturer. The THOSE largest independent drug maker in SANOFI WHO HAVE CEE, the company operates a highly In 1991, France’s Sanoi acquired CHOSEN HUNGARY regarded R&D centre, employing ca. ownership of the tradiional Hungarian 1,000 people. Richter runs joint research pharmaceuical manufacturer, Chinoin. The programs with more than 30 leading French parent has three manufacturing university faculies and academic sites in Hungary and also a regional EGIS £SERVIER¤ research insitutes. The company is distribuion centre, from which products Established in 1912, Egis is one of the also acive in original research, which are shipped to 45 countries. Sanoi’s most prominent companies in the is mainly focused on diseases of the Hungarian acivity also includes drug history of Hungarian pharmaceuical central nervous system. development. The company’s headcount manufacturing. Now owned by in Hungary is around 2,000. France’s Servier, Egis is acive in the pharmaceuical value chain from manufacturing through R&D to markeing. The company coninues to Pierre Faury build on the skills, talents and creaivity General Manager, Sanoi Hungary of Hungarian scienists while focusing its R&D on cardiovascular diseases "With regards to innovaion in the pharma sector and disorders of the central nervous Hungary is an atracive place and is among the system. Servier employs a staf of top 10 countries in Europe in terms of the number 2,900 in Hungary. of conducted clinical trials, bringing 300 million Euros of investment to the country every year." Life Sciences in Hungary 19 Claire Roger LIFE SCIENCES IN HUNGARY General Manager, GlaxoSmithKline Ltd. SUCCESS STORIES "Highly educated professionals, an advantageous geographic seing and a supporive environment for investment have been the key drivers to make this development in Hungary." RECENT SUCCESS March, 2017 – On 13 March 2017 global pharma STORIES AND company GlaxoSmithKline announced a development project of its Hungarian producion site in Gödöllő in a value of EUR 57 DEVELOPMENTS March, 2016 – million, creaing 104 addiional jobs. As a result of On 10 March 2016, leading the investment project the Hungarian plant of GSK Hungarian pharma producer will manufacture Diphtheria and Tetanus Toxoids Gedeon Richter announced to expand for broader scale of applicaion while the overall its capaciies dedicated to biosimilar capacity of the plant is going to be increased as development and manufacturing in the well. In 2016 GSK also celebrated an important town of Debrecen via a capital expenditure milestone in Hungary as on 30 May the program worth EUR 48 million. These faciliies company inaugurated a new producion were iniially inaugurated in 2012.
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