BRUSSELS, Belgium - A change in the way that the European pharmaceutical industry addresses biotechnology issues took place last week when the European Federation of Pharmaceutical Industries and Associations, the drug industry's major trade association in Europe, launched its Emerging Biopharmaceutical Enterprises grouping, EFPIA/EBE.

Ten companies already have committed themselves to joining the new grouping, and EFPIA has written to the chief executive officers of some 50 other biopharmaceutical firms inviting them to join.

The aim of the new group is to promote "a favorable business and regulatory climate for the successful and rapid application of the merging biosciences technologies in the pharmaceutical sector in the European Union," says EFPIA's director general, Brian Ager. In an interview with BioWorld International, just after he launched the new grouping, Ager explained that smaller biotechnology companies - "which do not have regulatory affairs departments the size that multinational companies have" - frequently run into practical problems in getting their products to market and sorting out problems such as trademarks, patents and pricing, and EFPIA has decided it should help by offering its technical expertise and political representation to companies that cannot afford full membership in the federation.

In effect, EFPIA is offering a cut-price service at a flat fee of around $10,000 a year, less than a quarter of what large firms pay to be members of EFPIA. "But it is also important for EFPIA to represent the whole of the pharmaceutical industry, including the energy of these smaller firms," Ager said. He sees merit in alliances between the larger and the smaller companies when lobbying in the EU institutions, such as the European Parliament and the European Commission.

"Biosciences will be driving the hugely exciting medicines that emerge in the future," he said. "The companies that rely on biosciences - and that is nowadays virtually the entire pharmaceutical industry - need to have their interests looked after, and need to be correctly positioned."

The new grouping is not only for very small companies. Its first president is to be Ernesto Bertarelli, the chief executive officer of Ares-Serono.

Ager does not see the new EFPIA grouping as a challenge or a competitive threat to the established European biotechnology industry association, EuropaBio. "What we will be doing is complementary," according to Ager. "EFPIA is a down-to-earth trade association providing practical services to its members. EuropaBio's role is more political, to get the sector understood and to tackle the public perception challenges". Ager is able to speak with some authority on the subject. Prior to taking over EFPIA, he was the first director general of EuropaBio's predecessor organization, the Senior Advisory Group on Biotechnology. He also pointed out there has been close contact between the two organizations during the preparatory phase. And one of the key figures behind EFPIA/EBE is Erik Tambuyzer of Genzyme, who is also a vice president of EuropaBio.

EuropaBio itself told BioWorld International that it saw the new EFPIA grouping "more as a bridge than as a competitor." Nathalie Morgan, responsible for external affairs at EuropaBio, said: "EFPIA is big, and EuropaBio is small, and we need coordination between the two organizations."

And the new grouping received praise from European Commission President Romano Prodi, who was guest of honor at EFPIA's annual meeting in Venice on Friday. "With the biotechnology agenda firmly in mind, let me welcome the new EFPIA initiative to create a special group entirely devoted to biotechnology issues. It will be a useful and timely addition."