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    Home » News » R&D spending stuck in a rut

    R&D spending stuck in a rut

    By Sapa Reporter3 December 2014
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    Science and technology minister Naledi Pandor
    Science and technology minister Naledi Pandor

    Spending on research and development (R&D) remains stubbornly low at 0,76% of GDP for the third year in a row, according to the 2012/2013 National Survey of Research and Development.

    However, the rand amount spent had risen to R23,9bn, which is R1,6bn more than the previous year, science & technology minister Naledi Pandor told reporters in Pretoria on Wednesday while tabling the document.

    “The additional R&D spending maintained the level of gross expenditure on R&D at 0,76% of GDP in 2012/2013. This is the same as the figure that we had in the 2010/2011 and 2011/2012 survey years,” Pandor told reporters in Pretoria.

    She said this worried her department “because it’s always been our ambition to be at least at 1% of GDP, and we’ve not reached that ratio at this time”.

    There was a need to encourage greater levels of R&D investment to enhance the country’s competitiveness.

    “What we report to you today shows that we are investing in research and development; shows that South Africa is improving; but, it also says if South Africa wants to be globally competitive, and align with the best, we have to invest much more,” Pandor said.

    According to the survey, South Africa ranks below its Brics partners when it comes to R&D spending.

    Brazil spends the equivalent of 1,16% of its GDP on R&D, Russia 1,12%, India 0,87% and China 1,98%.

    Among the top-scoring countries were Finland and Japan, which spend 3,55% and 3,34% respectively.

    Pandor said the survey had revealed several trends, including that government remained the largest funder of R&D in the country, while the business sector remained the largest performer of R&D.

    However, government was concerned at the decline in R&D spending in the manufacturing sector, “because that’s where we want to see jobs and economic growth”.

    According to the survey, the number of R&D researchers in the business sector dropped from 8 560 to 6 191 over the period 2008/2009 to 2012/2013.

    The survey also found that of the R23,9bn spent on R&D in 2012/2013, R10,8bn came from government, R9,2bn from business, R3,1bn from overseas and R770m from other sources.

    Of the total, 46,3% was spent on applied research, 28,4% on experimental development and 25,3% on basic research.

    There were 64 917 people involved in R&D in that year.

    Government’s was aiming to achieve an R&D to GDP ration of 1,5% by 2019.  — Sapa

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