Labor says develop pharmaceuticals in Vic

The pharmaceutical sector represents a golden opportunity for economic growth in Victoria, Labor says.

Opposition Leader Daniel Andrews says it is vital to find and refine specialist industries to grow Victoria's economy and maximise returns in private sector investment.

"The diversity within the pharmaceuticals industry, everything from the best of research and technology to product development, manufacture, distribution and sales, this is a microcosm of a modern Victoria," he told a Committee for Economic Development of Australia function on Monday.

He said there was a disturbing lack of quality and integrity in medical products globally and that factor, coupled with an ageing population, had increased demand for development of sophisticated products created by skilled professionals.

"But perhaps more than anything else, these products are unique," Mr Andrews said.

"That premium on quality, reliability and efficacy is an opportunity for us in a stable high-quality environment with the best of science, the best of technology, the best of manufacturing processes.

"This is a major point of strategic advantage today."

He said the medical technology sector was already well-established but there was opportunity to grow the production of quality products through Victoria's skilled workforce, top universities and medical research capacity.

The government could facilitate growing sectors such as pharmacy through co-investment, providing skills to help businesses and fixing regulatory barriers, Mr Andrews said.

Other broad areas he identified as ripe for potential economic growth were energy, food and fibre, transport, defence and construction technology, international education and professional services.