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ST. LOUIS' PHARMACEUTICAL INDUSTRY IS THRIVING IN BIOLOGIC RESEARCH, AS WELL AS PHARMACEUTICAL MANUFACTURING.

By Bob Schaper

Pharmaceutical manufacturing—always a reliable wealth builder in the St. Louis economy—is heading into a new era, one that relies more on “biologics” than traditional chemistry. And though analysts say the region is well positioned for the biotech age, there are definite steps that can be taken to improve our competitive edge.


Laminar air flow work area for small scale cell structure at Wyeth BioPharma.

Biologic-based drugs differ from conventional drugs in that they are derived from mammal proteins, not chemicals. St. Louis companies such as Sigma-Aldrich, Wyeth BioPharma and Pfizer (see sidebar p.28) are leaders in the bio-drug business. Indeed, some have dubbed St. Louis the new “BioBelt” because of its position in life sciences as well as biotech.

Shaf Yousaf, vice president of R&D and marketing for Sigma-Aldrich, says his company builds the tools from which other firms can do biologic research.


SHAF YOUSAF
vice president, R & D and marketing,
Sigma-Aldrich

“We don’t manufacture drugs themselves,” Yousaf says. “Most of what we make actually supports research that is done by pharmaceutical companies and hospitals. When you look at all the pharmaceutical companies—the ones that actually develop the drugs—they do that development work with tools that we supply.”

Sigma-Aldrich’s pharmaceutical products (both biologic and conventional) are sold throughout the world and make up 40 percent of the company’s $1.2 billion annual revenues. Sigma-Aldrich’s latest investment, a $55 million Life Science and High Technology center, on the western edge of downtown St. Louis, will employ 700 of Sigma-Aldrich’s 1,700 St. Louis workers.


JIM MILLER
site director,
Wyeth BioPharma

Jim Miller, site director for Wyeth BioPharma, says his state-of-the-art biopharmaceutical manufacturing facility currently employs about 400 people in north St. Louis County—up from six in 1999. “We make two products here,” Miller says. “They’re both a recombinant human factor VIII for hemophiliacs.”

One advantage to being located in St. Louis, Miller says, is the human element. “We’ve got a really good workforce here, compared to the east and west coast,” he says.

The numbers back him up. According to a recent study commissioned by the RCGA, St. Louis is a national leader in pharmaceutical workers, with nearly 2,800 scientific and technical personnel. That includes 240 biochemists and biophysicists—a 76 percent higher concentration than found in the U.S. workforce. Overall, there were 12,921 St. Louis workers in the life sciences industry across 161 establishments in 2000.

According to the U.S. Bureau of Labor Statistics, jobs in drug manufacturing are expected to increase by about 24 percent over the 2000 to 2010 period, compared with 16 percent for all industries combined. Furthermore, drug manufacturing ranks among the faster growing manufacturing industries, in general.

Miller says local training and education is critical for a healthy drug-manufacturing base. “We have a very close working relationship with St. Louis Community College, and obviously with the University of Missouri–St. Louis and Washington University,” he says. “We hire a lot of people from those programs.”

Of course, when it comes to research, the Genome Sequencing Center at Washington University Medical School leads the way. Established in 1993, the center plays a major role in the worldwide Human Genome Project by analyzing human and animal DNA (one of three such centers in the U.S.). After contributing 20 percent to the draft sequence of the human genome in 2000, the center’s latest accomplishment is the complete sequencing of human chromosome 7.

Yousaf says that from an industry standpoint, such academic excellence is important to a region. “To have such a prestigious academic center nearby is a huge plus,” he says. “(Sigma-Aldrich) has a number of Washington University personnel on our scientific advisory board. You’ve got to have the academic part.”

It also bodes well for better health, because experts say there is a direct relationship between gene discovery and the identification of new drugs. Simply put, the more genes that are identified, the more paths there are for drug discovery.

In addition to biologic research, more traditional drug companies are also thriving in St. Louis. Mallinckrodt Pharmaceuticals, which was founded in St. Louis in 1867 and is now a division of Tyco Healthcare, employs about 2,000 workers in St. Louis. Rita Bleser, vice president for the pharmaceutical division, says bulk chemicals such as stearates and phosphates are produced here.

“We manufacture pharmaceutical analgesics, which are key ingredients in a number of prescription medications,” Bleser says. “Additionally, we’re focusing on developing new pharmaceutical products for the generic market. Only eight years after entering the generic market, we are the world’s eighth largest generic company.”

Likewise, Brentwood-based KV Pharmaceuticals acquired new products and boosted sales of its branded and generic drugs in 2002. Officials are reportedly planning to launch nine drugs in 2004, including prenatal vitamins and medicines used to treat iron deficiency.

Although the overall state of drug manufacturing in St. Louis appears to be healthy, the RCGA study does point to two areas that could be improved.

First, the region needs dedicated contract facilities for young biotech companies, similar to ones that exist in the Baltimore-Washington area and the “Research Triangle” in North Carolina. Such facilities would give emerging companies access to manufacturing as they move from animal testing to clinical trials.

Also, the report says area colleges and universities should expand their biopharmaceutical manufacturing programs. While many programs exist in traditional fields, such as chemical engineering and biology, few institutions offer the specific skills needed for biomanufacturing.

“I think St. Louis is certainly an up and coming life science research center,” Yousaf says. “It’s growing more generally in the life science research and plant technology area. If the growth trends continue, it will eventually be a worldwide center.”

PFIZER STAYS, BECOMING KEY PLAYER IN REGION'S LIFE SCIENCES FOCUS

By Bob Schaper

Last April, when Pfizer Inc. completed its acquisition of Pharmacia Corporation, the St. Louis region let out a collective sigh of relief: Not only did Pfizer announce it was keeping a major presence in St. Louis, but its St. Louis Laboratories would become one of the company’s six major research and development centers in the world.

Pfizer also made public that Daniel P. Getman would be leading up the local operations, serving as vice president of Pfizer Global Research and Development (PGRD) and the site director for the St. Louis laboratories.


"THE SIGNIFICANCE OF HAVING ONE OF THE SIX RESEARCH CENTERS HERE CANNOT BE OVERSTATED. WE'VE GOT A WORLD-CLASS GROUP OF RESEARCHERS THAT WE'VE ATTRACTED FROM AROUND THE WORLD, AND FROM AROUND MANY OF THE PFIZER SITES."

Daniel P. Getman
vice president,
Pfizer Research & Development
director, St. Louis Laboratories

“The significance of having one of the six research centers here cannot be overstated,” Getman says. “We’ve got a world-class group of researchers that we’ve attracted from around the world, and from around many of the Pfizer sites.”

Pfizer’s PGRD sector is the largest privately funded biomedical organization in the world. The Chesterfield facility alone boasts 900,000 square feet and 250 laboratories.

Counting four other facilities in St. Louis, Pfizer will have more than 1,000 employees in the St. Louis region—and that doesn’t include another five hundred or so sales and marketing personnel stationed in Missouri.

“We’re not involved in manufacturing here,” Getman explains. “We’re involved in discovery. We’ll be focused on three main areas of research. Two are therapeutic areas—one for arthritis and inflammation, the second being cardiovascular—and the third is biologics.”

Getman, who started with Monsanto in 1982, has also worked for G.D. Searle (acquired by Monsanto in 1985), then Pharmacia (which combined with Monsanto in 2000) and now Pfizer. He says many factors were considered when it came to keeping the St. Louis labs open.

“We’ve been a very productive site,” he says. “We’ve had a very good track record in producing innovative drugs. Celebrex, which is an anti-inflammatory, was developed here in St. Louis, as well as the second-generation candidate Bextra, which has just been introduced.”

One key strength to the region’s drug companies—and a factor in Pfizer’s decision to keep the St. Louis labs open—is Washington University.

“We’ve had a longstanding relationship with Washington University that goes beyond 20 years, and we have every expectation of continuing,” Getman says. “That includes a biomedical research agreement that we’ve had since 1982.”

Getman says the agreement has been a model for the interaction between industrial concerns and universities for many years. “We really view Washington University as a world class university,” he says. “We have a lot of common interests.”

In addition to the main Chesterfield site—which Getman says has plenty of room for expansion—other Pfizer facilities include a research building at the Washington University School of Medicine, labs in Creve Coeur and an office complex near Maryville University.

“Depending on how Pfizer does, and depending how we do within Pfizer, will determine how much we grow and how quickly we’ll grow,” Getman says. “We’re very excited about going forward.”


Bob Schaper is a free-lance writer based in St. Louis.

 

 

 


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