Betting on the future that involves the whole sector
Chemical and life sciences represent 50% of total Belgian investment in R&D, which shows how much our sector is at the forefront regarding innovation. And it is necessary that we remain there. More than ever, it is important to go further to make sure our researchers remain “affordable” for our companies and that salaries be sufficiently attractive here for researchers. Drawing a sufficient number of young people to scientific studies is another challenge. In addition, lowering the cost of obtaining a European degree is another important task.
Context
In 2002, the EU’s Lisbon Council approved an ambitious agenda with a view to making Europe’s knowledge economy the most competitive in the world by 2010. To achieve this, one goal was set: to devote at least 3 % of GDP to R&D by 2010. A special working group, High Level Group 3%, was created in Belgium to guide our country toward achieving this objective.
Today, the public authorities are aware of the importance of innovation. At the insistence of essenscia, measures have been taken on both federal and regional levels to encourage innovation and R&D: lowering salary costs in favour of researchers, supporting new, innovative businesses, giving incentives to innovation, reducing royalty charges, etc. Still, much more has to be done.
Our researchers remain the most expensive in the world (which does not mean that their net salary is high; in fact, the contrary is true). In a global market, this poses serious problems, first and foremost the brain drain. In addition, the costs to obtain a European patent are also higher than in the rest of the rest of the world. Added to that is the comparative scarcity of qualified workers.
Importance for chemistry and life sciences industries
Chemical, pharmaceutical and biotechnology industries are responsible for approximately 50 % of private sector R&D spending. More than two thirds of this spending is directed towards “life sciences” (medicine, biotechnology), which have substantially raised their R&D budgets in recent years.
Sector’s position
essenscia proposes the development of a series of already-existing measures as well as reinforcing competitiveness in salary costs of private researchers, public-private partnerships, aid for new, innovative businesses and incentives for innovation. Reducing the cost and simplifying the process for obtaining a European degree are both priorities for the sector. To solve the growing shortage of qualified workers, essenscia interacts with public authorities to promote the scientific channels.
Recommendations
Wage tax reductions for researchers should be increased from the current 25% to 75% to guarantee competitiveness with respect to our neighbours (for example, France, Germany and the Netherlands). In the same vein, aid for public-private partnerships and assistance to new, innovative businesses (currently 50%) must be increased.
Innovation subsidies launched in 2006 have been an unqualified success. essenscia strongly recommends that the framework for allocating this incentive will be established for a longer period. If SMEs are guaranteed that this measure will stay in place, it is much more likely that they will continue to respond to it. In addition, the administrative procedure of requesting the incentive and other relevant controls must also be simplified.
Furthermore, essenscia requests:
• a quick agreement concerning the EU patent that would allow approving business patent requests more quickly with minimum costs and more flexibility
• better coordination of the different competences and responsibilities regarding R&D and the promotion of doctorates/masters and doctorate theses in business
• the creation of positions in Belgian universities to attract high level foreign researchers : the " High Level Group 3%" envisions creating 500 chairs over the next 10 years
• specific measures for creative and innovative businesses, especially in the area of energy and environmental protection (notably co-generation)
• maintaining the fiscal deduction for investments in R&D and, if possible, simplifying the procedure.
essenscia also acknowledges that the chemical industry faces the problem of a shortage of qualified workers. This shortage is at both the higher education level (for example. chemists, some engineers and certain graduates and holders of masters and bachelors degrees,) as well as in the technical trades (welders, mechanics, etc).
essenscia, along with other industrial federations, has already launched several actions remedy the shortfall and to call on relevant authorities in the respective areas to :
• encourage students in secondary school and other youths to devote themselves to scientific and technical training and to guarantee that youths finish their studies having obtained a degree or certification;
• provide the necessary means for teaching and training, so that students and teachers have access to the appropriate materials and equipment;
• support business initiatives to build bridges between education and enterprise.
Contact :
Carl Van Der Auwera, cvanderauwera@essenscia.be, tél 02 238 97 37
Fabian Scuvie, fscuvie@essenscia.be, tél 02 238 97 56