Recent growth in the Biotech sector coincided with the human gene mapping and filing of several gene patents at USPTO. According to one recent estimate, about 127,000 patents have been filed. The European Patent Office currently has a backlog of some 15,000 biotechnology patent applications. Vigorous filing of patents led to the setting up of about 1200 biotech companies and development of 130 biotech drugs and vaccines in the market, and this is merely the tip of the iceberg.
Generally, patents help in boosting research and technology. Patenting promotes competition and therefore opens up newer avenues that are yet to be explored. The generous issuance of patents for example in the United States biotech industry has in turn generated a huge momentum in the financial sectors. Until recently, the NASDAQ Biotechnology Index was consistently outperforming the overall index.
