The government should legislate tax incentives for small and medium businesses to embark in biotechnology ventures while promoting private sector funding for basic research and technology transfer which will have a wide-ranging impact on the economy.

Government should keep sustainable regulations for biotechnology research and development (R&D), but it should limit its functions to these or impinge development of an emerging industry.

Ma. Antonia Odelia G. Arroyo, president of Philippines' first biotechnology consulting firm Hybridigm Consulting Inc. (HCI), said it is evident the country should tap its potential in biotechnology which despite its being "world's oldest emerging industry" tells only a story of the country's lost opportunities.

"One of the difficulties in planning an economy is that one policy can mitigate a market failure," she said.

Arroyo relates the discovery of several technologies in the Philippines but found their way abroad for commercialization simply because the local scene ignores their entrepreneurial promise.

Erythromycin, a common antibiotic from Philippine soil bacteria and originating research from the country based on Filipino scientist Dr. Abelardo's sample, was first commercialized abroad by New York Stock Exchange-listed Eli Lilly, a global research-based pharmaceutical company.

Filipino scientists Dr. Baldomero Olivera and Dr. Lourdes Cruz were the first to study prialt ziconotide, a pain killer 1,000 times more powerful than morphine and is non-addictive. But this was patented by Neurex of the US and developed by Elan Pharma PLC.

It was a Filipino, Dr. Juan Salcedo that discovered that milled rice mixed with Vitamin B1 was a good cure for Beri-beri.

Despite recognizing government's role, it is really the private sector that should drive growth in the sector. Yet, government should have a counterpart in every development.

"You need government to push, but you also need the market to pull, she said.

"Investors are coming to keep track of industries. But it's very hard to convince them of start-ups. (There should be) angel investors. Hopefully, they will be willing to invest their money. Government should match some of these developments. It's unfair to ask investors to put their money on R&D."

HCI has seen tremendous potential in the Philippines' biotechnology as this sector is at the heart of every day consumables-cosmetics, fragrances, oils, waxes, dyes, rubber, gelatin, dried fruits, bread, and ice cream.

A collection of techniques that harness living things' characteristics to make improved products and services, it has applications in life-saving drugs, diagnostic tests, medical devices, agricultural crops, livestock and by-products, biodegradable plastics, livestock-plant pharmaceuticals, bioremediation microbials, biofuels, marine pharmaceutical products, biopesticides, and construction materials.

While having tied with Shanghai Linzyme Biosciences of China and of K&R Partners in UK, HCI itself is engaged in commercialization of technologies developed by Filipinos.

It is part of the commercialization of Buhi Corp.'s waterless fish transport system developed by Filipino scientist Bonifacio Comandante, Ecosystems Technology Inc.'s sequencing bio reactor; Dr. Gloria Despacio-Reyes's biodegradable plastic, Dr. Carmencita Padilla's newborn screening kit; and Dr. Corazon de Ungria's paternity testing franchise.

ESTI has introduced biological wastewater treatment process using advanced biotechnology which has so far been replicated in 52 plants. Founded by Robert So, the process incurs 30 percent lower operating maintenance costs, brings 40 percent energy savings and 50 percent cost savings in civil works, requires less space, and does not emit foul odor.

Buhi Corp., which calls on hibernation technology through the "anti-stress salt solution," puts to sleep fishes over nine to 15 hours while in shipment which is enabling fish trading firms to save 75 percent of freight cost (that goes to water's weight in transport).

The waterless transport technology has the potential of realized money simply by switching technology for the billion fish processing industry worldwide.

Dr. Reyes' biodegradable plastic has potential applications in vascular and orthopedic implantables, structural planting materials, disposable utensils, and controlled release of drugs.

Dr. Padilla's newborn screening kit offers lower cost than imported kits and has a potential Philippine market of 1.5 million live births per year. One sample kit screens six metabolic diseases which are readily remedied.