Next year's new drug R&D budget: 58 billion won

Ministry of Health and Welfare, vital to fostering new technologies such as ADC

The Ministry of Health and Welfare has set the national new drug development (R&D) budget for next year (2024) to 57.99 billion won, an increase of about 16.1 billion won from this year's budget of 41.19 billion won.

 

10.4 billion won was allocated to research to expand the new drug base, 16.5 billion won to research to build a new drug R&D ecosystem, 8.6 billion won to clinical development of new drugs, and 19.1 billion won to support the development of excellent new drugs to promote global expansion and partnerships.

 

On the 6th, the Ministry of Health and Welfare submitted next year's budget plan to the National Assembly with these contents.

 

National new drug development is a national task of the Yoon Seok-yeol administration.

 

We have set a national scheme to become a global center for bio and digital health and to join the G5 in science and technology by fostering super-gap strategic technologies.

 

The total budget for the project increased compared to the previous year, but most of the items have decreased if you look at the detailed project details.

 

This is due to a decrease in the existing business budget as a new budget for promoting global expansion and partnership worth close to 20 billion won was established.

 

Specifically, 10.465 billion won was earmarked for next year's budget for 'acid drug-based expansion research' to support researchers in deriving active substances and lead substances in order to continuously supply an early-stage new drug pipeline that is qualitatively and quantitatively excellent, compared to this year's 12.76 billion won.

 

This is a decrease of 2.295 billion won compared to 10,000 won.

 

Next year's budget for research on building a new drug R&D ecosystem is also 16.491 billion won, a decrease of 560 million won compared to this year's 17.051 billion won.

 

The goal of the budget is to build an ecosystem that can smoothly connect basic research and clinical research and to intensively foster small and medium-sized enterprises and venture companies.

 

Next year's budget for new drug clinical development has increased.

 

8.685 billion won was allocated, which is 645 million won more than this year's budget of 8.04 billion won.

 

It is used to support phase 1 and 2 clinical trials for company-centered new drug development and global-level technology transfer.

 

Next year's budget for new drug R&D commercialization support, which supports the resolution of barriers in significant stages of new drug development such as clinical trials, technology commercialization, and manufacturing/production, is 719 million won, a whopping 36.3% decrease from this year's 1.147 billion won.

 

The amount was reduced by 428 million won.

 

Next year's business unit operating expenses are 2.424 billion won, a 10.6% increase from this year's 2.192 billion won.

 

The budget to support the development of excellent new drugs to promote global expansion and partnering, which will be deployed starting next year, is 19.125 billion won.

 

The goal is to intensively foster and support next-generation new drugs that the global pharmaceutical and bio industries are paying attention to.

 

KRW 2.363 billion is spent on lead drugs, 5.437 billion won on candidate drugs, 5.625 billion won on non-clinical trials, and 5.7 billion won on clinical trials.

 

Specifically, the Ministry of Health and Welfare established a new budget to secure differentiated competitiveness and support new drug technologies that can actively advance into the global market.

 

The intention is to strengthen global cooperation to intensively foster and develop next-generation food and new drugs such as ADC, TPD, new targets, and modalities, and to promote five projects that will be successfully carried out.

 

The Ministry of Health and Welfare expects that after 2024, the expected effects will be to expand the domestic new drug development base by deriving excellent effective substances and lead substances, establishing a new drug R&D ecosystem, and enhancing company-centered new drug development capabilities.