Health ministry teams up to nurture 50 K-bio frontier firms annually

The health ministry said Thursday it will collaborate with the Ministry of SMEs and Startups to select and support 50 promising biotech startups each year, guiding them from candidate substance discovery through clinical trials and global market entry. The initiative aims to secure future growth engines by responding to a rapidly changing global pharmaceutical market.

Officials from both ministries gathered at the Seoul headquarters of AI-based cancer detection firm Lunit on Sept. 17 to hear directly from industry leaders about difficulties faced in the field. The session focused on the "K-Bio Frontier Company Development Plan" to link government resources across the entire drug development lifecycle, covering new drug development, digital health, medical devices, and bio-materials.

Eight representatives from small and medium-sized enterprises attended the discussion following opening remarks by Lee Hyung-hoon, second vice minister of health and welfare, and Roh Yong-seok, first vice minister of the SMEs and Startups ministry. They emphasized that while early-stage research requires technical validation support, later clinical phases demand significant capital and cooperation with hospitals. Attendees also called for stronger policy links to handle product licensing, technology transfers, and follow-up investment after clinical trials conclude.

The ministries agreed to create a support system that matches policy tools to specific growth stages. This approach connects R&D funding with clinical testing infrastructure, investment guarantees, and export assistance, ensuring companies do not stall after securing initial technology.

"Based on voices from the field, we will work closely with the SME ministry to establish an effective support system that resolves difficulties growing companies face," said Lee.

Roh pledged to reflect the feedback into the development plan. "The pharmaceutical and bio sector requires significant time and capital to reach the market even after securing excellent candidate substances and technologies," he said. "We will combine the SME ministry's capabilities in R&D, investment, and commercialization with the health ministry's expertise to actively support promising companies from technology development through global market entry."