Science, Innovation and Technology Minister Dr Shane Reti. Photo: RNZ / Marika Khabazi
The government is putting in funding for more natural pharmaceuticals, with a view of boosting exports in the fast-growing sector.
Over seven and a half years, $42.8 million will be reprioritised from the Strategic Science Investment Fund, to go towards a 'Biodiscovery Platform'.
Science, Innovation and Technology Minister Dr Shane Reti said the investment would help transform New Zealand's natural resources into high-value pharmaceutical and bio-based exports.
"By harnessing New Zealand's rich biodiversity, we can develop world-class, export-ready products in pharmaceuticals, cosmetics, functional foods, and advanced materials, creating jobs, growing businesses, and increasing our global market share," he said.
Natural pharmaceuticals were a fast-growing sector, and the global market for bio-based products was expected to exceed US$300 billion (NZ$514b) by 2027, Reti said.
"With targeted R&D [research and development], we'll help companies bring new, science-backed products to international markets, supporting regional development and building a stronger, innovation-led economy."
The platform would come under the auspices of the Bioeconomy Science Institute, which was one of three new public research organisations set up after a government overhaul of the science sector earlier this year.
Reti pointed to the success of New Zealand's mānuka honey exports as an example he wanted the platform to replicate. Honey exports had grown from $187m in 2014 to $420m by June 2025.
Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
