Biocom Economic Impact Report - Southern California

THE IMPACT OF LIFE SCIENCE IN SOUTHERN CALIFORNIA

Southern California accounts for more than half of the total life science employment in the state of California at 53%. The region includes Imperial, Los Angeles, Orange, Riverside, San Diego, and Ventura counties. The region has employed more than 190,000 individuals and added about 14,000 jobs over the past five years, an 8% increase. There was solid job growth across all subsectors, except Life Science Wholesale Trade. Growth is expected to continue but at a slower rate through 2021.

Southern California accounts for 53% of total life science employment in the state of California.

BREAKDOWN OF LIFE SCIENCE COMPANY SECTORS Bio-Renewables

ANNUAL ECONOMIC IMPACT DESCRIPTION

IMPACT

Economic Activity

$149.9 billion

Gross Area Product

$79.6 billion

Attributable Jobs

562,630

Labor Income

$44 billion

SUBSECTOR

EMPLOYMENT IN 2016

Bio-Renewables

8,822

Includes biofuels, specialty enzymes and chemicals, algae research, and key elements of agriculture.

25,534

The production of medicines, botanicals, pharmaceuticals, in-vitro diagnostic substances, and biological products.

Medical Devices & Diagnostic Equipment

49,406

Laboratory equipment and supplies, optical instruments, electromedical apparatus, surgical and medical instruments, and dental equipment.

Life Science Wholesale

31,266

Wholesaling and distributing medical equipment and supplies and the wholesaling of drugs and related products.

Research & Lab Services

1,859

1,115

Medical Devices & Diagostic Equipment

Life Science Wholesale

5,632

There are life science establishments in Southern California.

NIH Funding Private and public institutions, including universities, labs, and companies in Southern California received $1.87 billion or roughly half of California’s total $3.6 billion of NIH funding in 2016—a tremendous source of support for industry innovation and cutting-edge research.

Southern California received

$1.87 Billion

in Research Funding from National Institutes of Health (NIH) for FY2016.

75,490

Research and development in biotech, medical laboratories, and industries representing testing laboratories, as well as higher education.

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267 295

2,096

The industry generates about $150 billion in annual economic activity.

Biopharmaceutical Manufacturing

Biopharmaceutical Manufacturing

Research & Lab Services

Economic Impact data prepared by TClower & Associates 2017 Biocom Economic Impact - Southern California

2017 Biocom Economic Impact Report - Southern California

AVERAGE WAGES ACROSS SUBSECTORS BY COUNTY $300k

FOREIGN EXPORTS OF LIFE SCIENCE PRODUCTS SUBSECTOR

EXPORTS

Bio-Renewables

$250k

$627 million

Biopharmaceutical Manufacturing

$3.4 billion

$150k

Medical Devices & Diagnostic Equipment

$6.2 billion

$100k

Life Science Wholesale

$1.1 billion

Research & Lab Services

$1.2 billion

$200k

$50k

TOTAL LIFE SCIENCE INDUSTRY $12.5 billion

Biopharmaceutical Manufacturing

Bio-Renewables Life Science Wholesale Trade

Research & Lab

Medical Devices & Diagnostic Equipment

The annual average industry wage for Southern California was

$93,000.

EDUCATIONAL ATTAINMENT

Life science exports in Southern California totaled more than $12.5 billion in 2015, driven by more than $6.2 billion in Medical Devices and Diagnostic Equipment shipments. Bio-Renewables had the lowest export amount, coming in at $627 million.

Shift-share analysis shows that Medical Devices has been the best performing subsector over the past five years.

30%

10%

21%

21%

20% 11%

21%

19%

7%

0% Graduate/Professional degree

Some college

Bachelor’s degree

High school degree

Associate’s degree

Less than high school

Southern California has a slightly higher portion of the population with a bachelor’s degree at 21% compared with 19% nationally. However, the portion of the population with less than a high school diploma is substantially higher at 19% compared with 13% nationally. Other levels of educational attainment are similar to national levels.

This is a condensed summary of the Economic Impact Report produced by Biocom and TClower & Associates. For the full report, please visit our website: www.biocom.org

About Biocom Biocom is the largest, most experienced leader and advocate for California’s life science sector. We work on behalf of more than 900 members to drive public policy, build an enviable network of industry leaders, create access to capital, introduce cutting-edge STEM education programs, and create robust value-driven purchasing programs.

Founded in 1995 in San Diego, Biocom provides the strongest public voice to research institutions and companies that fuel the local and state-wide economy. Our goal is simple: to help our members produce novel solutions that improve the human condition. In addition to its San Diego headquarters, Biocom has continuous staff presence in Los Angeles, San Francisco, Sacramento, Washington, D.C. and Tokyo. Our broad membership benefits apply to biotechnology, pharmaceutical, medical device, genomics and diagnostics companies of all sizes, as well as to research universities and institutes, clinical research organizations, investors and service providers.

*Revised 5/17/17 Visit us: www.biocom.org