Pharm Animals Bred to Crank Out Drugs

With its tranquil ponds and rolling fields, the GTC Biotherapeutics farm in Charlton, Massachusetts, looks like a typical pastoral retreat. But its 1,400 goats don't produce any butter or cheese. Instead, the animals are sophisticated drug incubators, with millions of dollars of potential profit accumulating in their udders each day.

GTC Biotherapeutics is among several companies worldwide perfecting the art of "pharming" -- genetically modifying animals to churn out drugs for disorders like hemophilia and cancer. The first government-approved drug from transgenic animals, GTC's anti-clotting agent ATryn, was approved in Europe late last year, vindicating biotech's years-long quest to steer animal husbandry in entirely new directions.

With the approval of the anti-clotting agent, the drug industry will now likely increase the use of transgenic animals, says Robert Kay, CEO of Origen Therapeutics. Kay predicted drug makers will try to develop several transgenic animal "systems," including mice, rats, goats, cows, pigs, sheep and chickens.

"We should begin to see the approach make an impact," he says. "We can reasonably expect that new advances will be made."