Minnesota’s

Bioscience Industry
A F A C T S H E E T F O R B U S I N E S S E S

Biotechnology advances use applications developed by the medical

Medical technology industry, and Minnesota’s medical technology industry
Technology: is recognized worldwide for being at the forefront of innovation.

N Minnesota’s medical technology industries supply a diverse range of Employment Growth in

products that include: Medical Technology Industries*, 1995-2005
¢ Cardiovascular technologies such as heart valves, pacemakers, 40%
defibrillators and stents (Medtronic; St. Jude Medical; Boston
Scientific, Inc.). 30

Percent Change
¢ Catheter technologies (Medtronic; St. Jude Medical; Boston
Scientific, Inc.; Smith’s Medical). 20 39.4%
¢ Drug delivery systems (3M; Cima Labs, Inc.; Medtronic;
Smith’s Medical). 10
¢ Dialysis products (Minntech). 4.2%
¢ Impotence products (American Medical Systems). 0
¢ Electrotherapy (Medtronic; St. Jude Medical; Compex Minnesota United States
Technologies, Inc.; Empi Inc.). * NAICS 334510, 334517 and 3391.
¢ Spinal implants (Sulzer Spine-Tech). Source: U.S. Department of Labor, Bureau of Labor Statistics, Quarterly Census of
Employment and Wages (ES-202).
¢ Warming products for hypothermia (Arizant, Inc.).
¢ Hearing aids (Starkey Laboratories; Miracle Ear).
¢ Eyewear lenses (BMC Industries; Soderberg Opthalmic Services). N Minnesota’s medical technology industry employment:
¢ Medical device contract manufacturing (ev3, Inc.; Lake Region ¢ Increased 43 percent between 1994 and 2004 to over 23,800
Manufacturing; Medsource Technologies; Surgical Technologies). people.
¢ Drug-eluting coating process for medical devices (SurModics). ¢ Had a concentration of employment over three times the nation’s.
¢ Drug-coated stents (Boston Scientific, Inc.; Medtronic). ¢ Ranks second only to California in the medical device
industry.
Top Medical Technology N A number of medical technology companies have appeared on the
Manufacturers Operating in Minnesota prestigious Fast 500 list prepared by Deloitte and Touche.
¢ MGI Pharma revenues grew more than 700 percent and Vital
Annual Sales*
Company (millions) Images revenues tripled between 2001 and 2005.
Medtronic, Inc. $11,292 N Synovis Life Technologies, ASV, and Possis Medical were among
3M – Health Care 4,373 Fortune magazine’s 100 Fastest-Growing Companies for 2004.
Boston Scientific Scimed, Inc. 3,551
St. Jude Medical, Inc. 2,915 N Minnesota companies and research institutions have been first in
American Medical Systems, Inc. 263 developing many important medical devices:
* Sales for Minnesota headquarters or Minnesota-based operations ¢ Implantable cardiac pacemaker.
Source: Corporate Report Factbook 2007, Dun & Bradstreet , Reference USA, company annual reports.
¢ Artificial heart valves.
¢ Implantable drug transfusion pump.
N There are 585 FDA approved medical device establishments ¢ Anesthesia monitor.
currently in Minnesota. ¢ Blood pumps.
N About 2,500 medical device related patents were registered to ¢ Artificial urinary sphincter.
Minnesota companies between 2001 and 2005. ¢ In-the-ear hearing aid.
¢ Wireless cardiac monitoring system.
N According to the Milken Institute, Minnesota has the nation’s
highest number of investigational medical devices and FDA pre- N Minnesota medical technology companies have been involved in
market approvals of medical devices per 100,000 residents . numerous mergers and acquisitions.
¢ Medtronic, Inc. announced the acquisition of four companies
Outstanding ¢ Mayo Clinic: world’s best known health care facility in 2002, including California-based MiniMed and Medical
opportunities also collaborates with health care and medical Research Group, Inc. (MRG). Medtronic made acquisitions
for technology companies. totaling nearly $13.9 billion between 1996 and 2002.
collaboration ¢ Industrial Partnership for Research in Interfacial
¢ Since 2002, ev3, Inc. has acquired Appriva Medical, Inc. of
and Materials Engineering (IPRIME): Facilitates the
California and Minnesota’s Intra Therapeutics.
use of University of Minnesota equipment and staff
for its members, which include businesses such as ¢ Medsource Technologies acquired Cycam, Inc. of
Medtronic, SurModics, and 3M (www.iprime.umn.edu). Pennsylvania, while American Medical Systems acquired
¢ The University of Minnesota’s Biomedical California-based CryoGen, Inc. in 2002.
Engineering Institute combines engineering and
health sciences to create new medical devices.
 Minnesota’s pharmaceutical industry is vibrant
Pharmaceuticals: and fast growing.

N Minnesota’s pharmaceutical industry supplies a diverse range of Minnesota Employment in the

products that include: Pharmaceuticals Industry*, 2005
¢ Cardiology (Upsher-Smith, Solvay Pharmaceuticals)
¢ Oncology-related pharmaceuticals (MGI Pharma) In-Vitro Diagnostic Substance
¢ Dermatology (Upsher-Smith) Manufacturing 35%
¢ Gastroenterology, mental health (Solvay Pharmaceuticals) Medicinal and Botanical,
and Other
¢ Immune system enhancing compounds (Biothera) Biological Product
¢ Women’s health (Solvay Pharmaceuticals) Manufacturing 8%
¢ Orally disintegrating dosage forms and contract
pharmaceutical manufacturing (Cima Labs, Inc.) Pharmaceutical
¢ Bioequivalent generic pharmaceuticals (Paddock Preparation
Manufacturing 57%
Laboratories, Upsher-Smith)
¢ Animal health drugs (Intervet, Newport Laboratories) * NAICS 3254
Source: U.S Department of Labor, Bureau of Labor Statistics, Quarterly Census of
Employment and Wages (ES-202).

Top Pharmaceutical Manufacturers

Operating in Minnesota N Pharmaceutical companies operating in Minnesota are among
Annual Sales* the best in the nation.
Company (millions) ¢ Solvay Pharmaceuticals, listed among the top 50
MGI Pharma, Inc. $279 pharmaceutical companies by Pharmaceutical Executive,
Solvay Pharmaceuticals, Inc. 150** has a significant manufacturing presence in Baudette, MN.
Hawkins Pharmaceutical Group 143
Upsher-Smith Laboratories 80**
Upsher-Smith Laboratories, Inc. has grown into one of the
Cima Labs, Inc. 76 world’s top pharmaceutical companies with state-of-the-art
facilities headquartered near Minneapolis, MN.
* Sales for Minnesota headquarters or Minnesota-based operations
** Estimate. ¢ CIMA LABS, Inc. appeared on the prestigious 2004 Fast
Source: Corporate Report Factbook 2007, Dun & Bradstreet, Reference USA, 500 prepared by Deloitte and Touche with growth of more
company annual reports.
than 460 percent over five years, and was listed as one of
Fortune magazine’s 100 Fastest-Growing companies in 2003
N Minnesota is home to about 10,700 pharmacists and pharmacy ¢ Biothera engineers natural carbohydrates to enhance
technicians, as well as 2,300 chemists and chemical technicians. immune health. The company has developed a compound
N Twenty-nine Minnesota establishments have prescription and that triggers the body’s immune system to kill tumor cells.
over-the-counter drugs currently listed with the FDA. ¢ 3M Health Care recently launched a new Medical
N Between 1997 and 2001, Minnesota companies registered more than Diagnostic business that will offer new rapid diagnostic
300 drug patents. tests.

Employment Growth in the

Pharmaceuticals Industry*, 1995-2005
Excellent ¢ The University of Minnesota’s College of Pharmacy
40%
research has programs in the Twin Cities and Duluth, and
and confers degrees on more than100 students each year
30 educational in its professional program, while about 375 chemistry
Percent Change

institutions degrees and almost 1,400 biological and life sciences

20 36.3% degrees were awarded in Minnesota in 2000.

10 ¢ Nanocopeia, Inc., a startup company utilizing research

19.7%
0 Research
Minnesota United States
* NAICS 3254
Source: U.S. Department of Labor, Bureau of Labor Statistics, Quarterly Census of
Employment and Wages (ES-202).
N Minnesota enjoys an excellent quality of life:
¢ Minnesota has been rated among the top two “Most Livable”
states by Morgan Quitno Press for the past eight years.
¢ Minnesota was first in the nation for children’s well-being
according to the 2004 Kids Count Databook.
¢ Home ownership rate was first in the country in 2003.
Vanguard developed by U of M professor David Pui and his
in colleagues, creates nanotechnology devices for drug
formulation, gene therapy and tissue regeneration.
¢ One of U.S. News and World Report’s 10 leading
innovators for 2001, Dr. Catherine Verfaillie is a professor
with the Stem Cell Institute at the University of Minnesota.
¢ U of M researcher, Dr. Gunde Georg, is a leader
in the design, semi synthesis, total synthesis and
evaluation of biological active agents.
Educated ¢ Minnesota’s labor force participation rate of 72.1
and percent was second highest in the country in 2003.
motivated
workforce: ¢ Ninth highest percent of population holding
bachelors degrees among the states in 2003.
¢ Second in the percentage of residents who are high
school graduates or higher in 2003.
 Human Health Minnesota companies shine in the diverse human health
Microbiology: microbiology field.

N Minnesota’s human health microbiology industry supplies a diverse N About 1,600 biological and life sciences degrees were awarded in
range of products that include: Minnesota between 2003 and 2004.
¢ Contract R&D laboratories (ATG Laboratories, ViroMed, N Minnesota is home to about 1,300 biological scientists and
Apptec Laboratory Services) technicians, as well as more than 2,800 life scientists and other
¢ Cell culture products (ViroMed, Apptec Laboratory Services) science technicians.
¢ Immunoassay testing (Beckman Coulter) N Firms in Minnesota are exploring new advances in microbiology:
¢ Cytokine-related reagents (R&D Systems) ¢ R&D Systems-Techne Corp. manufactures purified cytokines
¢ Hematology controls and calibrators (R&D Systems) (proteins), antibodies, and assay kits as well as whole-blood
¢ Immunoassay and conjugate stablilizers (SurModics) hematology controls and calibrators. The company has been
¢ cGMP manufacturing services (Apptec Laboratory Services) listed among the Top 25 Medical Technology Companies as of
¢ Occupational health testing (Medtox Scientific Inc.) 2003 by The Business Journal.
N Minnesota Partnership for Biotechnology and Medical Genomics: ¢ Beckman Coulter Inc. manufactures in vitro immunodiagnostic
Leverages the scientific leadership of the University of Minnesota systems for allergies, infectious diseases, immunology,
and the Mayo Clinic into a powerful research collaboration to position hormones, and serum proteins.
Minnesota as a world leader in biotechnology and medical genomics. ¢ Protein Design Labs, Inc. has antibodies in clinical development
(www.minnesotapartnership.info) for autoimmune and inflammatory conditions, asthma and cancer.
N Mayo Clinic is using IBM’s Blue Gene supercomputer to advance
work in molecular modeling for disease research. Exceptional ¢ The University of Minnesota provides state-of-the-
Biological art imaging and advanced genetic analysis facilities
Research to companies through the “Biotech Mall” known as
Top Human Health Microbiology Facilities “Biodale”.
Companies in Minnesota ¢ Nearly $500 million has been invested in genomics
Annual Sales* and biotechnology by the University of Minnesota
Company (millions) and the Mayo Clinic.
R&D Systems – Techne Corp. $203 ¢ The University of Minnesota has the Biotechnology
PDL BioPharma 90** Institute, Developmental Biology Center, Biomedical
Medtox Scientific, Inc. 64 Engineering Institute, and the Biomedical Genomic
AppTec Laboratory Services 35** Center. The Mayo Clinic has the Genomics
Viromed Laboratories - LabCorp 10** Research Center.
*Sales for Minnesota headquarters or Minnesota-based operations. ¢ University Enterprise Laboratory is a biotech
**Estimate. incubator launched in 2003 and has landed $24
Source: Corporate Report Factbook 2007, Dun & Bradstreet, Reference USA,
company annual reports.
million from investors.

Agricultural and Minnesota is well positioned with abundant

agricultural resources and top industrial
Industrial Biotechnology: biotechnology firms.

N Minnesota’s Agricultural and Industrial Biotechnology industries
supply a diverse range of products that include:
¢ Agricultural chemicals (Cargill Inc., Cenex Harvest States)
¢ Specialty cleaning and sanitation preparations (Ecolab)
¢ Sanitary products (H.B. Fuller)
¢ Prepared feed and feed ingredients (Land O’Lakes
Agricultural Services, Archer Daniels Midland, Cargill Inc.)
¢ Crop services (Land O’Lakes Agricultural Services,
Syngenta Seeds, Cenex Harvest States)
¢ Biofuels (Cargill Dow LLC, Minnesota Corn
Producers – ADM)
¢ Biopesticides (Syngenta)
¢ Soybean processing (ADM, Cenex Harvest States, Ag
Processing Inc.)
¢ Plant biopolymers/fibers (Cargill Dow)
¢ Industrial lubricants (Cargill Inc.)
N Cargill Dow LLC manufactures biodegradable packaging and
fibers using corn starch and a special fermentation process that
requires 20 to 50 percent less fossil resources. CEO Randy
Howard was named to the 2002 Scientific American 50, a list of
visionary contributors to science and technology.
N Minnesota Corn Processors is the second largest domestic
producer of ethanol, and merged with Archer Daniels Midland in
2002.
N Land O’Lakes provides farmers with:
¢ Genetically engineered seeds through its seed company
Croplan Genetics that produce higher yields through crop
inputs and agricultural services.
¢ Specialty corn products for animal feeds and consumer food
markets developed in conjunction with Novartis Seeds.
N Using a solvent process, Cenex Harvest States manufactures
soy products including edible refined oil, ink, flour, soy meal,
fatty acids and lecithin. In 2003, Cenex Harvest States opened its
second soybean crushing facility in Fairmont, Minnesota.
 Top Agricultural and Industrial
Biotechnology Companies in Minnesota
Annual Sales*
Company (millions)
Cargill $75,210
Land O’Lakes 7,560
Ecolab 4,535
CHS, Inc. 3,500
H. B. Fuller 1,472
* Sales for Minnesota headquarters or Minnesota-based operations
Source: Corporate Report Factbook 2007, Dun & Bradstreet, Reference USA,
company annual reports.
N In Minnesota there are:
¢ About 1,700 agricultural and food scientists and technicians,
and 2,300 chemist and chemical technicians.
¢ About 480 chemistry/biochemistry and more than 115
chemical engineering degrees were awarded in Minnesota
between 2003 and 2004.
N Minneapolis-St. Paul is among the top ten most knowledge
competitive regions in the world, according Robert Huggins
Associates, a British research firm. Rankings take into account
indicators such as the number of IT, biotechnology and
engineering employees per 1,000 inhabitants, and the number of
patents registered per million people.
N According to research done at the University of Minnesota in
2003, Minnesota farmers are producing engineered seed crops
valued at $2.2 billion annually.
N Examples of seed research include wheat and potato fungal
resistance at the University of Minnesota and sugar beet
herbicide tolerance at BetaSeed of Shakopee, Minnesota.
N The University of Minnesota’s Initiative for Renewable Energy
and the Environment is funding 90 projects to bring bio-fuel
concepts to reality.
Bioscience Industry Assistance
N The BioBusiness Alliance of Minnesota is a non-profit
organization charged with promoting Minnesota as a
global biobusiness leader and ensuring the long-term
prosperity of biobusiness in Minnesota. The alliance
consists of leaders representing Minnesota companies,
colleges and universities, state government, and
healthcare institutions. (www.biobusinessalliance.org)
1st National Bank Building
332 Minnesota Street, Suite E200
St. Paul, MN 55101-1351 USA
TTY/TDD: 651-296-3900
www.deed.state.mn.us Fax: 651-296-1290
N Ecolab operates in 40 countries worldwide and manufactures products
such as cleaners and hand sanitizers.
N H.B. Fuller has developed water-based adhesives and non-woven
hygienic technology used in the fabrication of diapers, adult
incontinence devices, feminine and disposable medical products.
N In 2003, Minnesota Soybean Processors built a new soybean
processing plant in Brewster, Minnesota and announced the addition
of a biodiesel refinery.
N A project of Positively Minnesota, the Department of Agriculture
and the University of Minnesota’s Department of Wood and Paper
Science, the Minnesota Biofiber Consortium brings together leaders
of industry, research and agriculture to promote agricultural crops and
residues as industrial feedstocks.
University ¢ The University’s College of Agricultural, Food
of and Environmental Science, one of the top five
Minnesota: colleges of agriculture in the world, enhances
Exceptional agricultural systems through plant genetics and
biocontrol of weeds.
Chemistry,
Agricultural ¢ Studies at the University’s Colleges of Veterinary
and Medicine and Molecular Veterinary Bioscience,
Veterinary include genomics, molecular biology, and
Studies comparative medicine.
¢ The Chemical Engineering program is ranked
second by the National Research Council and
each year confers about 210 graduate and
undergraduate degrees.
¢ The $20 million Cargill Building for Microbial
and Plant Genomics provides a hub for 175
researchers in the genomics of microbes and
crop plants. The building opened in 2003.
N Bioscience association:
LifeScience Alley is a trade association enabling business
success in the life sciences. LifeScience Alley supports
the industry through leadership, collaboration, innovation,
advocacy and education. (www.medicalalley.org)
Industry Contact: Kevin McKinnon
Medical Device/Bioscience Industry Specialist
Phone: 651-297-1303
Toll Free: 1-800-657-3858 BCD-0068O
kevin.mckinnon@state.mn.us 3/07 - 1,500