When many of us hear about Biotechnology we have an image related to food as all the foods we typically eat are modified to fit the method we eat. If tomatoes are grown in California and we live in the north east, the crop must be picked to ripen when we go to the supermarket. The skin has to be able to withstand however tomatoes are harvested and hopefully all the nutrients and tastes that we know as a tomatoe remain the same or gets better. That is one part of biotechnology but there are others and in a book called Biotechnology Unzipped by Eric Grace, published by Fitzhenry & Whiteside, Markham, Ontario 2005, Dr. Grace helps the average person understand biotechnology. From an investor point of view, biotechnology can be defined as the commercialization of cell biology.

The book discusses what DNA is and the process to break it down; biotechnology and the body – this is where the big excitement to make money is – new or better drugs or treatments. To focus on the concern in the body, some of it will make a lot of money for companies and improve lives along the way.

Biotechnology and the environment is trying to understand how nature works – both on land and in the sea. How do the fish in the ocean adapt to their circumstances – what can we learn from them? Part of our lifestyle depends on taking commodities out of the ground. What if there were microbes and plants that would thrive on the waste products of the mines? If they were widely used the lands could become liveable again. The process involves proteins known as metallothioneins. This means after the mines close or when they are running out, instead of being abandoned and specific plants and processes can be applied which will help make the land better. Whether the government or an industry fund pays for it – better there is hope for areas where mines are located or were located.

Linking to dividend paying stocks, biotechnology is one of those areas where there will always be a new invention. There will always be a better way, but the process from new to being commercial to generating revenues is a long one. The process is one of hope along the way. As an investor you will want to follow, but it is easier to keep your money if it is a division of a large company which already earns profits. There will be large companies looking at the science and determining how to profit from the discoveries. Some of them are in the pharmaceutical companies for there is a wealth of knowledge to learn and in the past they have chosen the most promising methods, will they keep picking the best. We do know there will be lots of hype, hope, promise of wealth, but you will need to be very selective.

There are more questions than answers, till the next time – to raising questions.