Danish Strongholds
Unlike most other nations, industrial development in Denmark is not linked to the occurrence of raw materials. Danish industry largely consists of light manufacturing and reprocessing, and production is often characterised by a high degree of specialisation in niche productions of a high technical standard. These products are usually intended for professional users. Due to this very complex and versatile structure, the Danish manufacturing industry as a whole is not as sensitive to changes in the world market as in countries where industry is concentrated on a few sectors.

Besides food processing and agricultural industry, chemicals and engineering are also important manufacturing sectors. However, electronics has increasingly assumed a central position. A characteristic feature of the trend in the manufacturing industry is the recession or stagnant state of labour and material-intensive industries like food processing, textiles and metals, while high-tech, know-how-intensive sectors like chemicals, biotechnology, climate and environmental solutions, IT and electronics and engineering have experienced noticeable expansion.

Danish industry covers a wide field, but tends to emphasise niche products in high-tech areas relying on skilled staff and machinery and equipment of a high technological standard. Denmark enjoys a position of high specialisation in key indus-trial fields and is increasingly competitive in areas such as know-how, quality, design and R&D. Many Danish companies are global leaders in high-tech niches.
Geographically, close network relations between companies bind certain industrial sectors together in coherent regional production systems. This gives a competitive advantage because of the possibility of mutual exchange of knowledge and facilities. In some cases, this kind of co-operation is connected to a university or other technical centre.

Agriculture and food processing
Agriculture is an important sector in Denmark, although the country has shifted to being an industrial economy. Denmark has a world leading dairy and meat producing industry with large research and development budgets. This has fostered the development of a very extensive supporting industrial sector producing equipment for farms and processing plants, which has resulted in state-of-the-art technology and machinery in areas such as freeze drying, and packaging. Furthermore, it has led to the establishment of several leading research laboratories related to food production.

Consultancy
The provision of consultancy services is a significant feature, not only of the domestic market but also of Danish exports. Danish consulting commands highly advanced technology and know-how, particularly in the areas of infrastructure, telecommunications, district heating, environmental technologies and industrial design. Services range from feasibility studies to project completion, advisory services and training of local staff. Danish architecture also enjoys great international respect.
Danish architects have masterminded a host of challenging projects all over the world, including among others the Sydney Opera House and the new Arch of Triumph at the Tête Défense in Paris.

Electronics
The electronics industry typifies in many ways general Danish industry. Almost half of total production is comprised of professional electronic equipment, such as electric motors and generators, measuring instruments, and medical-related equipment. The remainder consists of consumer electronics, such as telephones and hearing aids. Danish consumer electronics reflect an individual and very high standard of design and craftsmanship. A feature shared by many other Danish products.

Environmental technology
Denmark was one of the first countries in the world to implement a national Environmental Protection Act. Now, the experience of almost 25 years is exported. Danish power stations and wind turbines are technologically the most efficient in the world. Danish expertise is used all over the world to protect the environment.
In recent years, waste handling has also developed markedly. About two-thirds of all waste collected is recycled, and one quarter is incinerated to produce heat and power. This leaves less than 10% to be dumped.

Renewable energy
Denmark has gone from being 99% dependent on sources of foreign oil to becoming completely self-sufficient with respect to energy supply. Furthermore, over the last 25 years, Denmark's economy has grown by around 75% - with nearly constant energy consumption. Today, Denmark has one of the highest degrees of energy efficiency in the EU, and it continues to improve. Thirty years' focused energy policy, implemented after the 1973 oil crisis, has catapulted Denmark ahead of most other nations in the use of renewable energy technology. The share of renewable energy in Denmark's overall energy consumption has increased from 3% in 1980 to more than 15% today. The more or less stable level of energy consumption and the growing proportion of renewable energy have in combination enabled Denmark to cut its CO2 emissions by nearly 14% since 1990. In addition to the established success stories of the Danish wind energy industry, Denmark also has strong research activities in future technologies such as hydrogen and fuel cells. Both areas where Denmark boasts world leading and cutting-edge research programmes at Risø and the Danish Technical University.

The constant political and commercial focus on energy efficiency and the introduction of new technologies have meant that for several years Danish companies have developed – and gained much valuable experience of – new energy technology solutions. This has also translated into growing exports. For example, the Danish wind industry is the world leader with the market's most advanced technology and about 25% of the world market share.

District heating and natural gas
Most Danish consumers have access to energy distribution networks such as district heating and natural gas. The energy supply is very efficient due to the integration of heating and power. In addition, local district heating power plants are now converted to combined heating and power production facilities, using natural gas, waste and bio fuels. The industry is encouraged to establish more cogeneration.

The increased use of natural gas and renewable energy contributes to reducing carbon dioxide emissions. Denmark is a world leader in the utilisation of renewable energies. Individuals, companies and public institutions are continuously encouraged to become more energy efficient.

Oil and gas
Denmark achieved self-sufficiency in oil and natural gas in 1992 after more than 20 years of gradually developing methods of extracting resources from the Danish sector of the North Sea.

As many of the Danish oil fields are situated in chalk layers with low permeability, the main Danish production company, DUC, has developed new and specialised technological extraction solutions to increase the yield from the oil fields, and innovative methods of horizontal drilling and water injection have been developed in order to increase oil flow.

Pharmaceuticals and life science
The pharmaceutical industry is one of the most modern, innovative and successful in the world. Denmark is among the largest per capita exporters of pharmaceutical products, and the industry has undertaken massive investments in research and development. To-gether with IT/Communication it is the industrial sector with the highest R&D expenditure in Denmark.
Of the more than 400 different pharmaceutical products manufactured by Danish companies, the most important are insulin, antibiotics and psychotropics. A Danish company is a world leader on the global insulin market, and it has the broadest diabetes product portfolio in the industry.
In the Copenhagen area, the pharmaceutical and medico-technical industry benefits from close interaction with the major hospitals and medical institutes. Companies have easy access to research facilities, improved access to skilled staff, and close links to product end-users.
Denmark has developed into one of the strongest clusters of life sciences in Europe. It is a dense network of universities, hospitals and companies within biotech, medtech and pharma, many of which are R&D-based. Denmark is no. 2 in the world in terms of biotech patents and the second largest biotech country in Europe. Moreover, Denmark has most biotech venture capital investments in Europe as a percentage of GDP, and holds the third largest commercial drug development pipeline in Europe in absolute numbers. A joint Danish-Swedish collaboration, Medicon Valley, is home to more than 60 per cent of Scandinavia's pharmaceutical industry and is Europe's fastest growing biotech cluster measured by products under development.

Another key component is the universities. Danish universities support strong research traditions and are home to R&D-based life science companies – each in its own area of unique competencies.

Textile and clothing industry
The Danish textile and clothing industry enjoys a favourable position, especially in the European market. In recent years, manufacturing has moved to Eastern Europe and Asia, and the industry has changed its focus towards high value-added and knowledge-intensive activities such as design, quality control, marketing and sale.

Accordingly, the entire industry has been transformed, and companies are increasingly turning to know-how-intensive work functions which demand skilled personnel and high-tech production equipment. As a result, the Danish textile industry today is as competitive as ever.

Transport
Denmark commands extensive trading and distribution networks. The competitiveness of the Danish transport industry and the efficiency of its logistics systems – including customs services – are all crucial elements in the success of this industry. The transport infrastructure throughout Denmark is impressive with a highly efficient road and rail network, ten seaports with free port and trade zone facilities, and four international airports.

Danish ship owners operate one of the world’s most modern fleets with the latest technology and have one of the largest container fleets in the world. The Danish merchant fleet consists of more than 500 vessels with a combined deadweight of more than 10 million tonnes.

IT infrastructure
Denmark is one of the world's most highly developed countries in terms of telecommunications and information technologies. The liberalisation of the telecommunications market means that Denmark enjoys some of the cheapest telecommunications services within the OECD, and Denmark consistently ranks among the absolute leaders in terms of computer and internet usage. In terms of Information and Communication Technologies (ICT), Denmark leads the pack. Denmark ranks particularly high on access to the internet, online public services and a dynamic e-business environment.

Denmark's strength in the ICT industry is based on the Danes' ability to make technology and content blend seamlessly together. Combined with a talent for developing pioneering applications and technologies, this generates an environment for creative development and efficient, user- friendly solutions. Within a radius of 300 kilometres, Denmark boasts more than 9,000 dedicated ICT companies, and the industry employs almost 100,000 people.

Denmark is also at the forefront of acoustics technology, and has some of the strongest acoustic engineering teams in the world, resulting in market leading technology in areas such as hearing aids. In addition, Denmark holds a strong position within software development and Danes generally have a unique focus on functionality and design. Furthermore, Denmark stands out as one of the most advanced centres for telecommunication activities, with an internationally recognised wireless cluster.