R&D AND INNOVATIVE ENTREPRENEURSHIP GRANT PROGRAMS IN TURKEY

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Sophie Hicks
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1 REPUBLIC OF TURKEY MINISTRY OF SCIENCE, INDUSTRY AND TECHNOLOGY GENERAL DIRECTORATE OF SCIENCE AND TECHNOLOGY R&D AND INNOVATIVE ENTREPRENEURSHIP GRANT PROGRAMS IN TURKEY Burcu KARAPINAR Industry & Technology Assistant Expert 24 November

AND INNOVATIVE ENTREPRENEURSHIP GRANT PROGRAMS IN TURKEY

2 Outline R&D in Turkey R&D and Innovative Entrepreneurship Funding Programs of the Ministry Technology Development Zones Industrial Thesis Programs R&D Centers Pre-Competition Cooperation Projects Techno-Entrepreneurship Capital Support Program 2

Industrial Thesis Programs R&D Centers Pre-Competition

3 The Goal of R&D Investments In the framework of agreements Turkey made within EU process, The target: the share of R&D expenditures in GDP : 2% (at least 1% of this share contributed by private sector). 3

4 R&D Intensity Projections, R&D Funds in Turkey has increased significantly since 2003 Source: European Commision Innovation Union Competitiveness report 2011 edition. 4

5 Over the period , the Gross Domestic Expenditure on R&D (GERD) in Turkey experienced an average annual real growth rate of 10.1 %, which is the fourth highest growth rate in Europe. Source: European Commision Innovation Union Competitiveness report 2011 edition. 5

10.1 %, which is the fourth highest growth rate in Europe.

6 Between 2008 and 2009, Turkey has raised public expenditure on R&D by 26.2%. Source: European Commision Innovation Union Competitiveness report 2011 edition. 6

7 Between 2008 and 2009, Business R&D expenditure in Turkey has increased by 6.1%. Source: European Commision Innovation Union Competitiveness report 2011 edition. 7

8 R&D, Innovation & Entrepreneurship 8

9 R&D Funding Programs of the Ministry Technology Development Zones R&D Centers Patent, Investment, Advertising & Marketing Programs Techno- Entrepreneurship Capital Support Program Industrial Thesis Program Pre-Competition Cooperation Projects 9

Marketing Programs Techno- Entrepreneurship Capital Support

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13 Industrial Thesis Program 13

14 Goals of Industrial Thesis Program 14

15 Who can apply the program? Regardless of their size, all firms can apply the program for R&D and Innovation Projects conducted with universities. 15

16 Funding of Industrial Thesis Projects 16

17 Intellectual and Industrial Property Rights Owner of the rights is determined by Sharing Protocol between firm and project coordinator. 17

18 Period and Budget of the Projects The maximum duration of the project is 36 months and additional 6 months can be given. No upper limit in project s budget. 18

19 Payments of Industrial Thesis Projects over the period

20 Project Applications From 2006 to 2011 * * Number of supported projects in 2011 consists of only 1st semester. Evaluation of 2nd semester has not been completed yet. 20

21 Tax Incentives, Allowance and Exemptions Under The Framework of Law No Income tax withholding incentive Insurance premium support Stamp duty exemption 21

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25 To support entrepreneurs who will transform their research into innovative, technology based and high value-added products. 25

26 Those ideas should lead to scientific and technological development. It could be New product or sofware design New process New system New application Innovative Business Ideas 26

27 Techno-Entrepreneurship Capital Support Program The program lasts until Annual budget of the program: million $ million $ 27

28 Conditions For Application fourth-year undergraduate students, master or doctorate students, persons graduated from one of these programs in universities at most 5 years ago. 28

29 Amount and Duration of Grant For those who meet the conditions, only once, unsecured and non-repayable, maximum 55,000 $ for one year. 29

30 Procedure Procedures of Application and Contract 5746 SAYILI KANUN VE SAYILI YÖNETMELİK Elimination Examination by Ministry 30

31 Procedure 1 st Term 2 nd Term 3 rd Term Submission of report Submission of report Submission of final report On site Examination by Ministry On site Examination by Ministry 1 st Payment 2 nd Payment 3 nd Payment On site Examination by Ministry 31

32 Analysis of years APPLICATIONS Year of Application Number of Applications Number of Supported Projects TOTAL TECHNOLOGY FIELDS OF SUPPORTED PROJECTS Technology Fields Total ICT Electrics Electromechanics Machinery Materials Biotechnology Chemistry Automotive Medical Technology TOTAL

33 Analysis of years STATISTICS ABOUT SALES OF SUPPORTED ENTREPRENEURS Number of supported entrepreneu Total amount of grant ($) Number of Entrepreneurs who sold their product Commercialization rate Gross Sales up to date ($) 5746 rs SAYILI KANUN VE Entrepreneurs SAYILI 4.2 million % 2.6 million of year 2009 YÖNETMELİK Entrepreneurs of year million % 2 million Entrepreneurs of year million * * * TOTAL million million * No sales in supported entrepreneurs of year 2011 because the project period has not finished yet. 33

34 THANK YOU BURCU KARAPINAR Industry & Technology Assistant Expert General Directorate of Science and Technology Turkish Ministry of Science, Industry and Technology 34

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