Genetic risk assessment company Genetic Technologies (ASX: GTG) has officially established its Asia-based operations within China’s Hainan Resort Software Community Free Trade Zone – giving the company access to China’s US$925 billion healthcare market.
In addition to having access to the China market, Genetic Technologies’ Hainan Resort-based operations will also receive assistance in obtaining China Food and Drug Administration approval for its growing portfolio of genetic risk assessment tests.
According to Genetic Technologies, this will “dramatically” fast-track its pathway to sales.
“The establishment of operations in Hainan China is a significant step to advance the adoption of genetic risk assessment tests in China and, in due course, other parts of Asia,” Genetic Technologies chairman and chief executive officer Dr Paul Kasian said.
“We are grateful for the support we have received from Hainan Resort to date and acknowledge their commitment to continue to work with Genetic Technologies to provide a meaningful contribution to the Healthy China 2030 Policy.”
Being part of the Hainan Resort hub gives Genetic Technologies other advantages including tax benefits, subsidies, and facilitated investment.
Meanwhile, the market entry support comprises marketing assistance including links to government sectors, obtaining test samples for new product development, Chinese corporate registry support, office space in the precinct and complimentary accommodation for Genetic Technologies’ staff.
Mr York Yin’s services as the precinct’s dedicated business development director will also be available to the company.
“We hope that Genetic Technologies’ growing suite of world-leading genetic risk assessment test products will become central to China’s future preventative medicine activities,” Dr Kasian added.
Genetic risk assessment products
Genetic Technologies is focused on developing and commercialising its suite of genetic risk assessment products, which can help prevent morbidity and mortality across numerous diseases.
The company draws on support from universities, other research organisations and companies exploring new delivery technologies for genomic solutions.
One of Genetic Technologies’ flagship products is the BREVAGenplus which is a clinically validated risk assessment test for non-hereditary breast cancer.
The test involves taking a simple swab from a woman’s cheek to determine if she’s at risk of developing sporadic breast cancer.
According to Genetic Technologies, the product is the first test of its kind to be clinically validated in evaluating sporadic breast cancer risk.
Sporadic breast cancer accounts for 85% of diagnosed breast cancer cases, while hereditary breast cancer comprises 5% of all cases and familial making up 10%.
One in eight women will get breast cancer in their lifetime, with current screening programs estimated to over-screen seven women while under-screening one.
Genetic Technologies’ test can provide a more efficient use of screen resources such as mammography and MRI.
The company’s share price had rocketed more than 14% to $0.008 by early afternoon on today’s news.