Sydney, Australia – 10 February 2022: Cochlear Limited (ASX: COH), the global leader in implantable hearing solutions, welcomes the Australian Government’s introduction of legislation to create a ‘patent box’ for the Australian medical technology and biotechnology sectors.
This tax incentive will support local manufacturing of medical products and help reverse the trend of Australian research being commercialised offshore. Global competition for the commercialisation of medical research and medical technology is intense. Already more than 20 countries around the world, including the United Kingdom, Switzerland, France and Belgium, offer similar targeted incentives.
“Australia has an outstanding record in medical research. However, Australia’s record in commercialising that research is not as strong. The patent box legislation makes Australia a more competitive country to commercialise research, which will create local jobs and build our sovereign capability in medical products manufacturing.” said Dig Howitt, Cochlear CEO and President.
The patent box will incentivise medical and biotechnology companies of all sizes to keep their intellectual property and manufacturing in Australia and will create economic benefits for all Australians through jobs, capital investment and tax revenues.
Market based incentives like the patent box will be an important building block in any successful strategy to keep world leading medical and biotech companies in Australia. It will also make investment in newer companies more attractive, enabling the development of new globally competitive medical and biotechnology companies here in Australia.
“We hope to see the legislation passed as soon as possible and look forward to the government closely engaging with our sectors in implementing this very important legislation," Howitt said.
About Cochlear’s Commitment to Australia
Professor Graeme Clark pioneered the multichannel cochlear implant, both designing and researching the device in Australia. A grant from the Australian Government in the early 1980s was instrumental in Cochlear’s successful commercialisation. Since the commercialisation of the device, Cochlear has invested more than $2 billion in R&D to date, with most of this in Australia.
Cochlear is a major employer and contributor to the Australian economy. With our global headquarters at Macquarie University (MQU) in Sydney and manufacturing facilities at MQU, Lane Cove and Brisbane. Cochlear currently undertakes more than two thirds of its R&D, manufactures more than 85% of our products, and employs ~2,000 people (approximately 45 per cent of its workforce) in Australia.
About Cochlear Limited (ASX: COH)
People have always been Cochlear’s inspiration, ever since Professor Graeme Clark set out to create the first multi-channel cochlear implant after seeing his father struggle with hearing loss. Since 1981, Cochlear has provided more than 650,000 devices in more than 180 countries, helping people of all ages around the world to hear. As the global leader in implantable hearing solutions, Cochlear connects people with life’s opportunities, and welcomes them to the world’s largest hearing implant community
Cochlear has a global workforce of more than 4,000 people, with a passion for progress, who strive to meet the needs of people living with hearing loss. The company continually innovates to anticipate future needs, investing more than AUD$2 billion to date [in research and development] to push the boundaries of technology and help more people hear.
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Please seek advice from your health professional about treatments for hearing loss. Outcomes may vary, and your health professional will advise you about the factors which could affect your outcome. Always follow the directions for use. Not all products are available in all countries. Please contact your local Cochlear representative for product information.
In Australia, Cochlear™ Nucleus® implant systems are intended for the treatment of moderately severe to profound hearing loss.
In Australia, Baha® bone conduction implant systems are intended for the treatment of moderate to profound hearing loss.
In Australia, the Cochlear™ Osia® System is indicated for patients with conductive, mixed hearing loss and single-sided sensorineural deafness (SSD) aged 10 years and above with up to 55 decibels sensorineural hearing loss. Patients should have sufficient bone quality and quantity to support successful implant placement. Surgery is required to use this product. Any surgical procedure carries risk.
For Cochlear™ Nucleus®, Osia® and Baha® systems: This product is not available for purchase by the general public. For information on funding and reimbursement please contact your health care professional.
Any testimonial featured on this website is intended for an Australian audience only.