The industrial policy of the Dutch government is a priority area policy, that backs the winners of today and, even more, the potential winners of tomorrow. Important elements of this policy are the selection of high-chance activities, setting up new and informal relationships, promoting co-operation and supporting industrial research and development. To this end the government has set up Innovative Research Programmes and an Innovation Stimulation Scheme. Co-operation of universities and industry is essential for these programmes to succeed. Also international co-operation is a precondition to a firm position of European industry. The establishment of the Center for Bio-Pharmaceutical Sciences is entirely in line with the objectives of this policy.