DSM Biologics, a unit of DSM Pharmaceutical Products, a global provider of manufacturing technology and services to the biopharmaceutical industry, announced finalizing preliminary agreement with the Queensland State Government and the Commonwealth of Australia to design, build and operate the first Australia-based mammalian biopharmaceutical manufacturing facility to be located in Brisbane.

Karen King, president of DSM Biologics said, "We are extremely honored to be selected by and partnering with the Australian Governments, in particular with the Queensland State and the Commonwealth Governments to bring Australia its first major cGMP mammalian contract manufacturing organization (CMO). This offering will be an important continuation and expansion of the services we currently provide out of our facility in Groningen, The Netherlands. Clients will have the added advantage of being able to choose between standard technology processes or Royal DSM's proprietary XD® and DSP optimization technologies."

Under the deal, the proposed 70,000 square foot facility will offer services, including support all mammalian cell lines and process technologies including standard CHO-based systems and the PER.C6® cell-line technology, to which DSM has co-exclusive licensing rights for proteins and mAbs, together with the Dutch biotech company Crucell.

At the same time, the facility will offer mammalian process development and cGMP clinical and commercial manufacturing services. DSM Biologics will employ its global expertise and portfolio of proprietary technologies to offer Australia and clients from all over the world, state-of-the-art, world-class contract manufacturing services.

The agreement also stipulates that the Australian government will finance the construction of the facility as part of the Queensland 10-year Biotechnology Strategic Plan. For its part, DSM will provide technological expertise to design and set up the facilities and will employ its proprietary technologies in its operation.

The biotechnology industry in Australia is rapidly growing with over 400 companies currently engaged in development activities and an estimated A$ 60 million in annual CMO activity fees being exported out of the country due to the lack of a local CMO.