Site Map |
Overview |
R&D Expenditure |
R&D Output |
Human Resources |
S&T Policies |
S&T Organizations |
Emerging Technologies |
Over the last 10 years, Singapore has grown rapidly from a large manufacturing base for MNCs to an acclaimed innovation hub, which supports both high-tech manufacturing and R&D. In Singapore, the average value-added per worker has increased at a much faster rate than all other OECD companies as this economy is at the average value-add target. The danger is that Singapore relies on foreign MNC’s for technology upgrades, instead of deploying indigenous technology development, as most of the facilities are of the market adaptation type. In order to alleviate this problem, the Singapore government plans to double R&D investment in the coming years, targeting primarily long-term strategic research.
Singapore strongly believes that the private sector should lead in R&D, since they are closest to the market, and therefore understands its needs better. So, Singapore Government, will just, facilitate and pave the way for private companies to establish and expand their research operations in Singapore, through funding, matchmaking and facilitation of consortia projects.
Intellectual Property Office of Singapore
To further boost Singapore's R&D scene, the National Science and Technology Board (NSTB) was restructured and renamed the Agency for Science,Technology and Research (A*STAR).
Since 1991, the National Science & Technology Board (NSTB) has spearheaded the implementation of two national master plans, which outlined Singapore’s strategies for S&T development. The National Technology Plan (NTP) was formulated in 1991 to develop key resources in technology, manpower and skills to meet industry needs.
The nation’s emphasis on R&D was given a further boost by the National Science & Technology Plan (NSTP) in 1996, which envisioned ‘an innovative and enterprising society that embraces science and technology to develop a thriving knowledge economy and good quality of life.
Over the last 10 years, Singapore has grown rapidly from a large manufacturing base for MNCs to an acclaimed innovation hub, which supports both high-tech manufacturing and R&D.
Together, the NTP and NSTP have put in place an ecosystem for development of a virtuous cycle of abundant opportunities in R&D and technopreneurship.
In 1996, Singapore began implementation of a five-year National Science and Technology Plan, ("NSTP 2000"), aimed at building world-class science and technology capabilities through industry research and development, technology infrastructure, manpower development, technopreneurship and internationalization.
NSTB has adopted a holistic approach towards the development of R&D Manpower which ranged from the promotion of Science and Technology to the young, to the grooming of local R&D manpower and the recruitment of foreign talents. Several initiatives were introduced by NSTB to nurture and recognised talents, develop capabilities and attract talents. Manpower development is an integral part of this S&T development and the growing RSE population shows we are on track for the next leap.
To seed the growth of this R&D ecosystem, NSTB provided a risk-sharing environment to co-share the cost of undertaking R&D by providing grants.
Between 1991 and 1999, the government awarded about S$1.36 billion in research grants through the Research and Development Assistance Scheme (RDAS) and the Research Incentive Schemes (RISC). These grants were matched threefold by R&D investments from the private sector, which totalled S$5.71 million. Over the period of the implementation, these R&D projects will create close to 6,000 RSE jobs.
A framework providing comprehensive support to cultivate innovation and entrepreneurship has been built to ensure that the value from the knowledge creation is extracted, protected and exploited. These initiatives span from increasing the availability of equity financing to soft and hard infrastructural support for technopreneurial businesses to grow. This framework has resulted in a major Government initiative under Technopreneurship21.
In 1999, more than 500 technopreneurial companies were formed in Singapore. This is close to 6 times more than that in 1996, when only 88 technopreneurial companies were formed.
A major push for R&D is coming from the government's Innovation Development Scheme (IDS), launched in November 1995. Using grants, IDS hopes to encourage and assist Singapore-registered companies to engage in and develop capabilities in the innovation of products, processes, applications and services. Since its inception, $250 million Singaporean dollars have been disbursed for 184 projects. Innovation Strategic Unit has been established to help develop Singapore into a regional innovation hub. EDB identified five key thrusts:
One of the four ways of Singapore's electronic industry's advance from its start to the present state was introduction of new activities, involving higher technology, delegated from the parent operation. Examples are product development and component sourcing. Singapore-based MNCs have perhaps been the main channel for intra-ASEAN technology transfers.
The Singapore government has placed strong emphasis on promoting MNC-local SME linkage as an integral part of its SME Master Plan to accelerate the growth of SMEs in the manufacturing sector of Singapore.
Singapore strongly believes that the private sector should lead in R&D, since they are closest to the market, and therefore understands its needs better. The Singapore Government, will however, facilitate and pave the way for private companies to establish and expand their research operations in Singapore, through funding, matchmaking and facilitation of consortia projects. With this aim in mind, the certain key programs have been designed to encourage and assist industries in their R&D efforts. They include financial & tax incentives and aids to SMEs.
In Singapore, the average value-added per worker has increased at a much faster rate than all other OECD companies as this economy is at the average value-add target. The danger is that Singapore relies on foreign MNC’s for technology upgrades, instead of deploying indigenous technology development, as most of the facilities are of the market adaptation type. In order to alleviate this problem, the Singapore government plans to double R&D investment in the coming years, targetting primarily long-term strategic research. To mitigate this danger, it would also be advisable for companies within Singapore to increase operating activity abroad by establishing foreign units in the lead markets. This would help to initiate the evolutionary process by exposing the economy to more emerging market requirements and consequent emerging technologies.
Singapore’s strategy for the future involves building upon its existing foundation, image and climate adding new ideas, programs, and plans. The government is committed to building world-class capabilities to spur the growth of new high value-added industries and is committing S$4 billion (US$2.74 billion) over the next five years to science and technology activities to achieve this goal.
The Singapore government provides incentives and assistance including offering no tax on company profits for five to ten years, providing a lesser tax on export profits and establishing a skills development fund.
There are several tax incentives to promote R&D activities in the private sector. These include extending the pioneer or post-pioneer status for companies who undertake approved R&D activities, i.e. with a concessionary tax rate; more liberalized double deduction for R&D expenses; allowing for investment allowance for all capital expenditure incurred for approved R&D activities; and allowing for a tax exempt R&D reserve for companies.
Main financial schemes are available:
In the heart of Asia, Singapore is developing as a knowledge economy, powered by ideas and innovation and fuelled by a spirit to succeed. Singapore's concentration of capital, technology, knowledge and infrastructure, make it an attractive and vibrant center for global business and technological activities. Singapore's strong technology infrastructure will provide the support to help move ideas to the market place in the quickest time.
Singapore created a National Science and Technology Board (NSTB) in 1991 to foster the creation of a research and development intensive environment. NSTB’s mission is to develop capabilities in both science and technology arenas to enhance Singapore’s competitiveness in key industry and service clusters. NSTB’s objectives include: working with industry to assist in training the research and development workforce; establishing and overseeing national research institutes and centers; and fostering international science and technology linkages. The NSTB has a number of tools to accomplish these objectives including the Research Incentive Scheme for Companies (RISC) and the Research and Development Assistance Scheme (RDAS).
Over the last decade, NSTB has funded 13 RICs to build technological capabilities in key clusters, such as Electronics, Life Sciences, IT & Services, Chemicals and Engineering. These RICs have developed 670 new products and processes, spun off 39 companies and carried out 1,600 joint projects with the industry and employed over employed over 2000 RSEs. The total number of patents filed by local RICs has reached 326, representing a CAGR of 53% over the last 6 years.
NSTB has established a network of research institutes and centers, and is also working closely with the tertiary institutions to ensure that collectively, the industry can rely on a firm knowledge base to support their current and future needs for manpower and technology.
NSTB has also helped research organisations to identify strategic research areas and translate groundbreaking technologies into useful and commercially viable applications. There are technology brokerages and a bi-annual event called TechPartnership. It will also provide a platform for industry to forge strategic partnerships with Singapore's research institutes and centers as well as updating the industry on upcoming technology trends that will impact the industry.
University R&D Programme: NSTB partners with local tertiary institutions to provide technology expertise for current and future industry needs. Working with the Ministry of Education (MOE) through the Academic Research Fund Committee, NSTB generally co-fund research that are done in the universities that have economic relevance.
Strategic Research Programme (SRP)focuses on capability development in generic technology that would be economically relevant to Singapore's future. Under the SRP, technology identification, competitive bidding for research grants and expert selection of proposals submitted are carried out. The Strategic Research Committee comprising representatives from the universities, industry, MOE and NSTB.
The Science Park was a government sponsored initiative designed to provide a focal point for the high-quality infrastructure essential for industrial research and development in Singapore, as well as an environment conducive to interaction between industry, academia and research groups. Today, the Science Park hosts more than 100 companies (information technology, electronics, chemicals, materials, biotechnology, and government agencies) that are engaged primarily in research and development. The workforce in the Science Park consists of some 5,000 research engineers and scientists with over half holding a bachelor’s degree and over a quarter holding advanced degrees. A second phase of the Science Park is expected to be completed by 2001. This stage of development will include an Innovation Center and a Technology Assistance Center to cater to the needs of start-up companies. It will also house a new "TeleTech Park," Asia’s first facility dedicated to research and development in telecommunication.
NUS Venture Support (NVS) organized the Inaugural Singapore TechVenture Showcase in California’s Silicon Valley in March 2005. It was the first time that any Singaporean organization is holding such a technological showcase in Silicon Valley . The startups involved in this event, mostly from the information technology and bio-tech sectors, marketed their technologies and companies to venture capitalists, potential investors, customers and partners in the USA .
NanoSingapore 2006 aims to bring together international academics, researchers, scientists, practitioners and students from the nanotechnology industry.
.NET MySingapore is a cooperative effort by the Institute of Systems Science, National Computer Systems and NTUC Income with Microsoft Corp. in Redmond, along with other leading academic and industry researchers in Singapore.