The innovation sector in Lithuania is rapidly growing, partly through the support of the Lithuanian government, which actively promotes investments in scientific research and experimental development, while supporting the development of an integrated and dynamic innovation ecosystem,” says Romualda Straigien, Director of the Innovation Agency Lithuania. “The Innovation Agency makes a significant contribution to these efforts by implementing relevant financing measures for innovative businesses with the goal of creating favourable conditions for the export of products with high added value, the establishment of international business relations and networking. This opens up even more opportunities for Lithuanian businesses operating in innovation sectors, while simultaneously strengthening the country’s position as a regional innovation centre.”
Life sciences – an increasingly important pillar of the Lithuanian economy
In recent years, the life sciences sector has become established as one of the most important elements of the country’s economy, growing by an average of 30 per cent annually. Currently, life sciences generate about 2.7 per cent of the country’s GDP, and by 2030, this share is projected to increase to 5 per cent.
Lithuania has gained international recognition for its advanced research in the fields of biotechnology, pharmacology and biomedicine. With modern research laboratories and strong scientific institutions, such as Vilnius University and Lithuanian University of Health Sciences, Lithuania is in a strong position to cooperate with international research centres and companies.
A total of 14 higher education institutions in the country offer studies related to life sciences. As early as next year, Europe‘s largest life sciences centre will be based in Lithuania, and operating a total of eight advanced research centres. Northway Biotech, the company implementing the project, plans to invest a total of about 7 billion euros in this complex over the next decade.
Lithuanian scientific and research institutions provide a valuable contribution towards global achievements in the fields of cell and gene therapy, proteins, medical technology, agricultural biotechnology and food technology. For example, among other scientists, Virginijus Šikšnys, a professor at Vilnius University, made a significant contribution to the discovery of the CRISPR-Cas9 gene editing method (CRISPR), which heralded a breakthrough in genetics.
However, the Lithuanian life sciences sector is not limited to scientific research alone. The research becomes the basis for innovative products that are exported to more than 100 countries. One of the world’s leading life sciences and clinical research companies, Thermo Fisher Scientific, has its production unit in Lithuania. Lithuanian life sciences start-ups Caszyme and Biomatter Designs have also made a global name for themselves thanks to the advanced solutions they are developing.
Increasing opportunities in space
The importance of the Lithuanian space industry is also growing swiftly. In 2021, Lithuania became an associate member of the European Space Agency (ESA), which opened up new opportunities for the country’s business and scientists to contribute to international space projects. Scientific institutions and private companies are actively operating in Lithuania‘s space technology sector, which is developing rapidly.
An estimated 95 per cent of Lithuanian space industry companies carry out scientific research, experimental development and innovation activities, and more than half of the participants in the ecosystem are mature and well-established companies, with an annual turnover of 2 million to 10 million euros. Kongesberg NanoAvionics, one of the most successful companies in the Lithuanian space industry, specialising in the development of small satellites and their mission management, has successfully expanded its activities in the international market while cooperating with various space agencies and private companies.
Lithuanian scientists participate in various projects financed by ESA and other international organisations, and they contribute to space research and development of new technologies. The Lithuanian government also actively supports the development of the space sector by investing in scientific research and encouraging innovation. Lithuania has set a goal for the space industry to generate at least 1 per cent of the country’s GDP by 2027.
Lithuania’s pride – lasers
Another heavyweight of the Lithuanian innovation ecosystem is the laser sector. With a long tradition of scientific research and development of lasers, Lithuania has become an important centre of this field in Europe and the world. Vilnius University’s Laser Research and State Centers for Physical and Technological Sciences play a fundamental role in developing new laser technologies. Science closely cooperates with industry, thus ensuring faster practical application of knowledge and technology.
Lithuanian laser technologies go beyond scientific research, as they are also used in industry, medicine, telecommunications and many other fields. They even have a worldwide impact, as 95 out of 100 leading universities in the world use Lithuanian lasers, and organisations such as NASA and CERN also rely on them. More than 89 per cent of laser technologies created in Lithuania are exported, and the sector reached an average growth of 20 per cent annually in 2021-2023. The achievements of the Lithuanian laser sector are perfectly illustrated by the prestigious SPIE Prism award for the best laser FemtoLux30, awarded this year to one of the industry leaders – the company, Ekspla.
Towards an advanced tomorrow – on the growth wave of start-ups
The vitality and growth of these innovation sectors is supported by the vibrant ecosystem of Lithuanian start-ups. It consists of over 1,000 innovative start-ups, employing more than 18,000 talents. This ecosystem has already produced three unicorns.
The total value of Lithuanian start-ups increased more than 7 times from 2018 to 2023 and reached 13.7 billion euros. This growth was much faster than in the region – during the same period, the value of start-ups in the Central and Eastern Europe region increased by 3.6 times, and by 2.7 times in the Baltic countries.
Promising Lithuanian start-ups also attract more and more investments. In 2023, Lithuania was second in the entire region of Central and Eastern Europe, both in terms of the total attracted early-stage investments and in terms of their share per inhabitant of the country. Lithuanian start-ups are most active in the fields of software, business, financial technologies and life sciences and health technologies, and they have launched more than one successful product on the market.
Caszyme explores opportunities in UAE
Caszyme is one of the brightest stars of the Lithuanian start-up ecosystem and life sciences. Specialising in the development of CRISPR-Cas gene editing technology, the company is developing new and efficient gene editing tools that help scientists around the world apply this technology in their activities and create commercial products based on it.
Caszyme aims to expand the possibilities of CRISPR-Cas technology in various fields of application of this method, from medical research and therapy to agriculture and the food industry.
One of the founders of the company is Virginijus Šikšnys, professor and biochemist, who contributed to the discovery of the CRISPR-Cas9 method. Caszyme currently has a total of 25 employees, most of whom are researchers in the field of life sciences.
The solutions they develop can help diagnose and treat various diseases more effectively, increase the resistance of food crops to climate change, and also have beneficial applications in other areas. While the company mainly works with the US, Southeast Asia and European markets, it is also looking for new cooperation opportunities in other regions, including the UAE.
Cooperation with researchers and companies from these countries can open new opportunities for one of the leading biotechnology companies in the region, thereby stimulating further development in the science of genetics.
