IT majors eyeing bioinformatics
By Harichandan A. A.
BANGALORE SEPT. 20. In February this year, a bioinformatics centre in the University at Buffalo (UaB), New York, signed a memorandum of understanding with the India-based IT major, Tata Consultancy Services. TCS also announced the opening of a regional office in downtown Buffalo at that time.
Back home, other IT majors were also eying the bioinformatics pie, about $2 billion a year, growing at 25-30 per cent according to some estimates. That interest however is part of a much larger `life sciences practice' in which Wipro, Satyam, Infosys Technologies and TCS itself, have groups of various sizes.
Most at this time won't share plans about investments and revenues, but TCS's MoU with UaB, is a pointer. The company, whose IT clients include Eli Lily and Johnson and Johnson, may fund research at UaB in exchange for commercial rights to the results, a drug development tool, for example.
M. Vidyasagar, a scientist and Executive Vice President, Advanced Technology, TCS, said "if they have specific proposals, we may fund them, but as of now, common ground is still being established".
The company was drawn to Buffalo for three reasons: First, The Centre for Bioinformatics, headed by a noted scientist, G. Skolnick, rumoured to have accepted the position only after a phone call from New York Senator Hillary Rodham Clinton.
Second, one of the largest experimental structural genomics centre in the world, the Hauptman Woodward Institute, is in Buffalo. Nobel laureate Hauptman was present at the announcement of TCS's tie-up with UaB.
Third, the university's growing concentration of bioinformatics talent is complemented by a powerful supercomputer, which "We would like to use for any number crunching," Dr. Vidyasagar said.
TCS also has a 40-man development team in Hyderabad, developing BioSuite, a set of software tools for protein mapping and other computational tools for drug development, funded by the Council of Scientific and Industrial Research. "TCS has the commercial rights to this package," Dr. Vidyasagar said.
Infosys set up its Life Sciences practice in August 2002. The team includes former analysts from ICICI Ventures and IL & FS and PhDs in biology.
A spokesperson said clients include "a global leader in contract research, a European biotechnology leader, and an emerging India based global pharmaceutical company. Further, Infosys is also working with the U.S. division of a global pharmaceutical leader on a performance management dashboard for their senior executives".
While similar information may be found on the web about the other IT majors, TCS, looks like the most focused, today. But it is "early days to share revenue figures," Dr. Vidyasagar said. Show me the money: Part of the reason is that unlike Y2K or BPO, bioinformatics is "not an area where the labour cost arbitrage works out for them (the IT companies)," says Rishikesha T. Krishnan, Associate Professor of Corporate Strategy, Indian Institute of Management, Bangalore. In a recent research paper, Dr. Krishnan and Anshu Gupta and Varun Matta, from IIT Delhi, say it is unlikely that Indian companies will emulate the IT success, in biotechnology and bioinformatics.
During 2000-01, riding on the human genome project euphoria, bioinformatics was seen as very investible, by many analysts in the U.S. At the time there were over 50 U.S. companies with bioinformatics products and services — (1) Tools that support lab experiments, (2) databases of proteins, DNA sequences, gene expression, and medical genetics and (3) analytical software tools for (inSilico) `rational drug design'.
Of the $2 billion, products would amount for up to a fourth while services make up the rest. Given this limited market, Indian companies would have to compete with U.S. companies, and in this case, `offshoring doesn't work' as bioinformatics must quickly feed into biotech research, Dr. Krishnan says.
TCS's deal with UaB is also a pointer to the fact that a strong eco-system is absent in India, to do hardcore biotech research. Unlike in BPO, global pharma firms see no compulsion to set up shop in India, and can in fact directly hire talented Indians from say IISc, or NCBS, to work in the U.S.
Lastly, Indian drug majors such as Ranbaxy and Dr. Reddy's are still making money by selling cheap generics and not by developing original products. While they have now started committing money for product R&D, how much of that will go into bioinformatics is unclear.
Call for change in style of living
By Our Staff Reporter
THIRUVANANTHAPURAM Sept. 20. The need for a change in style of living for avoiding health problems in the modern mechanical life was stressed by the speakers at a national seminar on coconut, coconut products in health and disease organised by the Kerala University Biochemistry Department here today.
Speaking at the seminar, the head of the department of Cardiothoracic surgery of the Sree Chithra Institute of Medical Sciences and Technology, K. S. Neelakantan, said that as many as 40 per cent of the diseases occur due to smoking.
Use of alcohol and food habits also create problems.
However, regular exercises can check the occurrence of such diseases, he added.
The results of a comparative study of Coca-Cola and tender coconut was also presented in the seminar today.
The professor in the Biochemistry Department of the Kerala University, T. Rajamohan, said that the use of cola could lead to diseases such as ulcer, high blood pressure and other digestive disorders.
In the valedictory address, the Health Minister, P. Sankaran, stressed the need for popularising the benefits of coconut among the people.
Once steps are taken by the Government to process coconut water and distribute it, the use of several aerated drinks would come down, he added.
The director of the Tropical Botanic Garden and Research Institute, G. M. Nair, also spoke on the occasion.
Making a fast buck out of murky linen at MCH
By M. Dinesh Varma
THIRUVANANTHAPURAM Sept. 20. With the power laundry section at the Thiruvananthapuram Medical College Hospital (MCH) slowly heading towards obsolescence due to the apathy of officials, outsourcing of murky linen pieces from the MCH and SAT Hospital is turning out to be a money-spinner for an opportunistic group operating on the campus.
The power laundry unit comprises five washing machines, six dryers and three hydro-extractor units and two sluicing equipment for wringing clothes. At least four of the major equipment are of 1957 Danish-make with the installed capacity of the machines varying from 30 kg to 130 kg.
However, of the estimated output of 600 pieces per day from the MCH and SAT Hospital, roughly half the quantity was currently being collected, delivered and cleansed at the power laundry. The rest of the linen output, ranging from bedsheets to theatre aprons, was being outsourced to a local lobby of dhobis who allegedly charge Rs. 7 per piece through a network of persons, which include hospital insiders.
The outsourcing of soiled linen is done citing the poor state of most machines in the laundry unit. Most of the machines, including four washing machines and three dryers, are either in disrepair or in urgent need for renovation.
According to sources, the administration was now spending around Rs. 30,000 to Rs. 40,000 a month for outsourcing the work. It is being pointed out that ploughing back a part of the money — now being drained away for outsourcing dhobi works — into upgrading the power laundry machinery could increase the capacity utilisation of the unit.
A section of the staff at the power laundry unit says that though the average linen output had been averaging around 400 pieces, the net capacity could be increased to even 1,000 pieces a day with some investment on upgrading the unit.
A senior hospital administrator, when contacted, said that in a cost-benefit analysis it was proving to be more economical to outsource the work rather than finding funds for upkeep or modernisation of the obsolete unit.
It is also pointed out that with the staff at the power laundry being appointees of the Health Services, the MCH administration was powerless in dealing with any act of indiscipline relating to this section of employees.
Self-financing MCs start admission to merit seats
THIRUVANANTHAPURAM: The self-financing medical colleges in the State have started admitting students who were selected in merit quota through the counselling conducted by the Commissioner for Entrance Examinations.
The self-financing medical college managements had refused to admit students who brought the green card issued by the Commissioner for Entrance Examinations to the colleges on Thursday stating that they had not received the list of candidates to be admitted to the colleges.
Dr Somervell Memorial CSI Medical College administrator J.M.Steward told The New Indian Express that the college received the list of candidates to be admitted to the college by fax this evening.
The college admitted four students from the list after the fax message was received, he said.
Secretary of Malankara Orthodox Syrian Church Medical College, Kolencherry, Joy.P.Jacob said that the college received the list by fax only on Friday.
He said that the college would initiate steps to admit students to the college soon.
There was no dispute over the admissions to the merit quota in the college, he said.
Commissioner for Entrance Examination C.K.Viswanathan said that he had received complaints that some self-financing medical colleges did not admit students who had come with the green card issued by the Commissioner for Entrance Examinations.
He has forwarded the complaints to the Health Secretary.
According to sources, some self-financing medical colleges had even demanded fees that was more than that decided by the Government to merit quota seats in self-financing colleges.
Two students had even cancelled their option to one of the self-financing medical college following the refusal to admit students on Thursday, C.K.Viswanathan said.
Dental, ayurveda, siddha colleges agree to Govt proposal
THIRUVANANTHAPURAM: The representatives of the self-financing dental, ayurveda and siddha colleges have agreed to implement the tuition fees structure in government colleges in the merit quota.
However, at a meeting convened by Health Minister P.Sankaran here on Tuesday, the representatives of the self-financing nursing and medical lab technician colleges did not agree to the proposal. The self-financing nursing and MLT colleges wanted the Government to allow them to collect the same fees fixed for management quota seats in merit quota as well.
The tuition fees fixed for last year in the self-financing nursing colleges was Rs 50,000. The managements were allowed to collect a special fees of Rs 15,000 and a caution deposit of Rs 10,000. The tuition fees fixed for government colleges is Rs 5,900.
The colleges had the provision to collect a miscellaneous fees of Rs 1,000. This is for the first time that the self-financing MLT colleges were introduced in the State. The Minister told the meeting that the proposal of the self-financing colleges would be placed before the Cabinet and a decision would be taken in this regard at the earliest.
The contention of the self-financing nursing and MLT college managements was that they would not be able to run the institutions profitably in case the fees for merit quota was fixed as equivalent to that of government colleges.