Mr Henderson relays that the government is spending approximately $9 billion a year on public sector research in Australia, across a wide range of fields. Despite the government's efforts, innovation stemming from industry is not occurring at a sufficient rate.

Despite significant challenges to the industry, UniQuest has garnered an impressive string of successes, amassing more than $450million with its start-ups since 2000. Notable successes in the life sciences sector include the commercialisation of Australia's first blockbuster therapeutic, the cervical cancer vaccine Gardasil and Australia's largest biotech IPO of $50 million for pain drug developer, QRxPharma Limited in 2007.

"Australia has a great research record but there's a significant performance lag between the quantity of research undertaken and the market-readiness of innovations. It's an area that we have underinvested in as a nation. In the few instances where investment has been made, the results are greatly increased, and that is what the country needs to do overall."