Indiana’s life sciences industry breaks yearly records in two key categories – exports and venture capital
INDIANAPOLIS, (March 25, 2021) — While COVID-19 made and continues to make the headlines, Indiana’s life sciences industry not only combatted the pandemic with testing, treatments, clinical trials, and vaccine manufacturing but remained committed to innovating and investing throughout 2020. New data provided to BioCrossroads by the Indiana Business Research Center (IBRC) at the Indiana University Kelley School of Business shows a thriving and growing sector. One of the most notable milestones: Indiana is the second highest exporter of life sciences products in the U.S. and has been for more than a decade. In 2020, more than $11.4 billion of products were exported from the state, representing more than $192,000 of output per worker, the highest amount ever recorded.
In addition, Indiana life sciences start-ups garnered a record level of venture capital investment with more than $262 million committed to 44 companies, including MBX, Scioto Biosciences and Wishbone Medical, adding nearly $100 million to 2019’s $171 million invested.
The economic impact of the state’s life sciences industry reached $80 billion for 2020 driven by 2,282 companies across pharmaceutical, medical device and equipment, agbiosciences, research, testing and medical laboratories and biologistics subsectors employing 59,427 people. Ninety-two new products gained approval from the U.S. Food and Drug Administration, according to the IBRC.
“Indiana’s life sciences sector provides large investments in jobs, facilities, and innovation – all of which contribute significantly to the state’s public and economic health,” said Patty Martin, president and CEO of BioCrossroads.
In the recent study from Brookings Institution, State of renewal: Charting a new course for Indiana’s economic growth and inclusion, they refer to the state’s “world-class hub of advanced manufacturing, especially in biopharmaceutical medicines and related products.” It also concludes that the life sciences and manufacturing sectors represent “a crucial source of know-how, leadership, competitive zeal, and good jobs.’”
“Brookings Institution’s assessment of our sector is just further evidence of its importance and our need to continue to focus on advancing the industry,” said Martin.
The average wage for the life sciences sector remained steady at just over $102,000 1 per worker, nearly double the state’s average wage, delivering a total payroll of $6.0 billion to the state.
In 2020, new and existing Indiana companies announced significant hiring and capital investment commitments with a total of $700 million in capital expenditures, including several multi-million projects with hundreds of new jobs, according to the Indiana Economic Development Corporation:
- Global pharmaceutical company Novartis announced plans to build an $80 million manufacturing facility in Indianapolis;
- Cook Medical announced a partnership with Goodwill of Central and Southern Indiana to develop a manufacturing facility on Indianapolis’ east side, providing up to 100 job, creating training and educational opportunities, and delivering wrap-around services for the community;
- Start-up INCOG BioPharma Services committed to a $60 million facility and 150 jobs in Fishers;
- Canada’s POINT Biopharma, which announced Indianapolis as their U.S. headquarters, will build a new $25 manufacturing facility and bring 100 new jobs to the area;
- Baxter BioPharma Solutions is investing in a $50 million expansion in Bloomington;
- Catalent committed to a $50 million Bloomington expansion and the addition of 300 jobs; and
- Elanco announced their decision to keep its headquarters in Indiana with plans to build a $100 million facility in downtown Indianapolis and adding 570 jobs to its current 1,600 positions.
Indiana’s academic institutions continued their transformational research and received high levels of funding from the National Institutes of Health for the 2020 fiscal year:
- Indiana University School of Medicine was awarded $213 million, a record amount.
- Purdue University was awarded $79.8 million.
- The University of Notre Dame was awarded $24.5 million.
Indiana is home to the global headquarters for: Anthem, Inc., Cook Medical, Elanco Animal Health, Eli Lilly and Co. and Zimmer Biomet, and the North American headquarters of Roche Diagnostics. Baxter BioPharma Solutions, Beckman Coulter Life Sciences, Boston Scientific, Catalent Inc., Corteva Agriscience, Covance, DePuy Synthes, Express Scripts, Mead Johnson/Reckitt Benckiser, and Medtronic all host major operations in the state.
BioCrossroads (www.biocrossroads.com) is Indiana’s initiative to grow the life sciences, a public-private collaboration that supports the region’s research and corporate strengths while encouraging new business development. BioCrossroads provides money and support to life sciences businesses, launches new life sciences enterprises, expands collaboration and partnerships among Indiana’s life science institutions, expands science education and markets Indiana’s life sciences industry. The initiative has formed several new nonprofit organizations, including Indiana Health Information Exchange, BioCrossroadsLINX, OrthoWorx, Datalys Center and the Indiana Biosciences Research Institute.
This data, generated by the Indiana Business Research Center at the Indiana University Kelley School of Business and BioCrossroads, are the most recent available.