Analysis of Value Chains in Wallonia: A New Insight for Economic and Innovation Policy at the Regional Level (Wallonie Entreprendre)

Summary

• In 2015, the chemical sector accounted for 5.1% and the construction sector for 5.7% of total Walloon value added.p.7
• The pharmaceutical industry accounts for more than 60% of the chemical sector's value added in Wallonia.p.7
• Wallonia represents more than 40% of national value added in the pharmaceutical sector, against only 25% in construction.p.7
• Pharmaceuticals make up 3.1% of total Walloon value added, against 1.6% for Belgium and 0.8% for the European average.p.7
• About 400 jobs have been created each year in the Walloon pharmaceutical industry since the 2008-2009 crisis.p.9
• The Walloon pharmaceutical sector has a value added multiplier of 0.57, against 0.37 for Flanders.p.9
• Most chemical branches have an indirect value added rate below 10%, against 30% on average for manufacturing.p.11

Key insights

1. The construction sector has the highest production multiplier of the sectors analysed, at 1.70.p.9
2. The Walloon pharmaceutical sector has a relatively low production multiplier of 1.10, against 1.21 for Flanders.p.9
3. The pharmaceutical sector is highly internationalised, with relatively weak links to the regional economy.p.9
4. Wallonia captures more than one job in two of the national pharmaceutical sector.p.8
5. The Belgian national input-output table is built by the Federal Planning Bureau every five years, the latest referring to 2010.p.5
6. The chemical sector, except for pharmaceuticals, sits below the manufacturing average on both direct and indirect value added rates.p.10