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					       dti Technology support


  Innovation Symposium
Innovation for Development
     26 February 2010

     Johannes Potgieter
          the dti
                  the dti
            Technology Incentives


• Support Programme for Industrial
  Innovation (SPII)
• Technology and Human Resources for
  Industry Programme (THRIP)
• SEDA Technology Programme (STP).
• Technology for Women in Business
  (TWIB)
             SUPPORT PROGRAMME FOR
             INDUSTRIAL INNOVATION (SPII)



• Promote development of technologically
  innovative products/processes that are
  commercially viable & internationally
  competitive
• Focuses specifically on the development phase
  that begins at the conclusion of basic research
  and ends at the point when a pre-production
  prototype has been produced.
• Administered by the Industrial Development
  Corporation (IDC)
            SPII SCHEMES




 Matching Scheme
 Partnership Scheme
 Product Process
  Development Scheme
           Matching scheme



• Provides a grant of 50-75% of the actual direct cost
  incurred during development
• 50% of qualifying costs <25% BEE
• 65% of qualifying costs > 25% BEE or > 50 %
  Women ownership
• 75% of qualifying costs >50% BEE ownership
• Payments are made against predetermined
  milestones
• Maximum grant amounts to R3 million per project
            Partnership scheme




• For larger scale R&D projects
• Grant of 50% on the actual direct cost incurred in
  development activity
• Incorporates a conditional repayment mechanism in
  the form of a levy on sales
• Must demonstrate additionality/causality
• Technology Platforms
            Product Process Development Scheme
            (PPD)



• Promote development of new products and/or
  processes
• Non-repayable grant of 50-85% on qualifying
  costs incurred in development activity
   <25% black ownership (50% grant)
   25-50% black ownership (75% grant)
   >50%Women ownership (75% grant)
   >50% black ownership (85% grant)
   with 2% paid upfront
• Maximum of R1m per project
               CATEGORIES SUPPORTED




• COSTS ON:
 –   Direct labour
 –   Direct material
 –   Direct Subcontracting
 –   Pro-rata portion of capital
 –   Patents
                    SPII STATISTICS

• Budget: dti funds R46,9m (2007/8)
• Admin costs: 16% (2006/7), 9,5%(2007/8), 18% (2008/9)
  Output for 2008/9:
• Approvals: R 56,1m
• 70 projects (>80% SMME’s)
• 40% BEE
• 11% women-owned enterprises
• Industrial sectors: 2007/8
   – Electronics & software 34,3%
   – Miscellaneous manufacturing 30,0%
   – Chemicals & pharmaceuticals 10,0%
   – Mechanical 5.7%
                             SPII IMPACT
Performance Data                         01 April 2008   01 April 2007   01 April 2006
                                              to 31           to 31           to 31
                                              March           March           March
                                               2009            2008            2007
Total local sales                          R133,2m         R173.6m         R138.4m
Total export sales                         R103,8m         R153.5m         R836.9m
Total sales                                R237.0m         R327.1m         R975.3m
Taxes paid – company tax                   R35,1m          R149.3m         R223.3m
Shop floor jobs created                      877            1,284           1,773
Research and development as % of sales       43,8            57.9            21.9

Number of completed projects surveyed         91             116             125

Number of detailed responses received         64              83              62
           THRIP




•   Administered by the NRF and guided by an
    Advisory Board with representatives from
    industry, government, HEIs, labour and
    science councils.
•   Cost-sharing basis with industry, & supports
    SET research collaboration focusing on
    technology needs of participating firms.
          MISSION OF THRIP




• To improve the competitiveness of SA
  industry by supporting research and
  technology development activities and,
• Enhancing the quality and quantity of
  appropriately skilled people.
              THRIP PRIORITIES



• To support an increase in the number of black
  and female students pursuing technological and
  engineering careers,
• To promote technological know-how within the
  SMME sector, through the deployment of skills
  vested in HEIs and SETIs,
• To facilitate and support multi-firm projects in
  which firms (Incl. BEE enterprises) collaborate/
  share in project outcomes
• Support for BEE and Black-owned Enterprises
                                             Co-investment by Government
                                             and Industry



                           500
Total THRIP and Industry




                           450
   investment amount




                           400
                           350
                           300
                           250
                           200
                           150
                           100
                            50
                             0
                                 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
                                                                 Year
                                         SMMEs and Large Industry
                                         supporting THRIP Projects


                      450
                      400
Number of companies




                      350
                      300
                      250
                      200
                      150
                      100
                       50
                        0
                            2003     2004         2005           2006         2007        2008
                                                          Year

                                   SMMEs companies only    Large companies only   TOTAL
               THRIP STATS


•   Output for 2008/9
•   240 projects
•   313 Industrial partners (66% SMME’s)
•   1971 students (57% black, 37% female)
•   90 BEE enterprises
•   Admin costs
•   4.9% (2008/9), budget- R162m)
                      INDUSTRY CATEGORY(2006/7)


                           NUMBER OF    THRIP FUNDS
                             PROJECTS   (R)
AEROSPACE                  10           2926868
AGRICULTURE                60           15476909
AUTOMOTIVE                 1            742743
BIOTECHNOLOGY              30           16915788
CLOTHING & TEXTILE         1            95000
CULTURAL INDUSTRIES        6            1836800
CHEMISTRY & BIOCHEMISTRY   37           19826930

ENERGY                     44           29902702
ICT                        38           14958190
METALS                     30           20086044
PAPER & PULP               6            6348503
PHARMACEUTICALS            6            1224500
TOURISM                    1            203850
                                     stp



Aims to develop innovative technology –based
    platforms that result in the creation of
sustainable, globally competitive SMMEs that
 contribute towards the accelerated growth of
                 our economy
stp
       Technology for Women in
               Business
• IDENTIFICATION OF TECHNOLOGICAL NEEDS
  OF WOMEN IN BUSINESS IN THE IDENTIFIED
  MARKET SECTORS;
• ADDRESSING THE IDENTIFIED NEEDS THROUGH
  TECHNOLOGICAL INTERVENTIONS IN A
  PROJECT SPECIFIC WAY;
• FACILITATION OF LINKAGES BETWEEN WOMEN
  IN BUSINESS AND TECHNOLOGY SERVICE
  PROVIDERS;
• IDENTIFICATION AND CREATION OF MARKET
  AND BUSINESS OPPORTUNITIES FOR THE
  BENEFICIARIES OF THE TWIB PROGRAMME;
• RECOGNITION AND CELEBRATION OF THE
  SUCCESS OF WOMEN IN THE VARIOUS BUSINESS
  SECTORS;
Achievements to date…
Contributing to Economic Development…
       …one business at a time…
                        Alucia Ngobeni




  Timbali Client
Equipment to be used in production




Pall rings that were produced
   during the research and
      development phase
            Contributing to Economic
                      Development…
                              at a time…
           …one businessHans Pieterson: Infantrust
Keryn Krause: iSlices
eGoli BIO Client              ACORN Technologies Client
What difference can quality &
            technology make?
                               Websites

•   www.thedti.gov.za
•   www.spii.co.za
•   www.nrf.ac.za/thrip
•   www.stp.org.za
•   www.twib.co.za

• JFAPotgieter@thedti.gov.za

				
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