Brazil’s First Offer of Funds for Research Gets Inundated by Requests

An unprecedented scheme launched by Brazil’s Science and Technology Ministry on September 6 to fund innovation activities has received an overwhelming response from companies seeking to benefit from it.

As many as 900 companies filed 1,075 proposals to the ministry by the closing date of October 24 –  representing US$ 866 million (1.87 billion reais) worth of funding requests.

This is more than six times the size of the fund available –  US$ 139 million for a period of three years.

"It was a very good surprise. As a new support mechanism with a short time to receive proposals, we didn’t expect the scheme to receive so many projects," said Odilon Marcuzzo, president of FINEP (the Studies and Projects Fund) which is responsible for the scheme.

It is Brazil’s first public tender to companies offering support for research and development of innovative products and processes. The successful applications will be announced next month.

Proposals must be related to HIV/AIDS, hepatitis, semiconductors and software, nanotechnology, biotechnology, biomass or renewable energy, or the aerospace sector.

In line with the 2004 Brazilian innovation law companies will have to cover a proportion of a project’s costs, which varies according to company revenue.

For instance companies with a gross revenue under US$ 1.1 million must provide 5% of a project’s total cost. Those with a revenue exceeding US$ 27 million will have to provide between 50 and 60 per cent of the costs.

Of all the proposals submitted, more than half were from software and semiconductor companies. Surprisingly, small and medium companies  –  with less than U$ 5 million in gross revenue –  accounted for 84.2% of the projects.

This is noteworthy, Marcuzzo said, as the ministry expected most applications to come from large companies, which are thought to be more involved in research activities.

"It can be used as a good justification for us to request more money to the program," he said.

Brazil launched two other schemes to boost innovation activities in companies earlier this year.

The first earmarked US$ 70 million for small and medium companies associated with regional partners. The second, launched this month, will assign US$ 28 million to subsidize researchers’ salaries in companies.

SciDev.Net – www.scidev.net

Tags:

You May Also Like

Salvador, Brazil, Made Me Do It

I am 5500 miles from home, and I’ve just met a fellow member of ...

Over 70 Indians Elected as Mayors and City Council Members in Brazil

Brazil's latest municipal elections, on October 5, resulted in a growing number of indigenous ...

20/20: 20% of Brazilians Have Diabetes and 20% Have High Cholesterol

According to the Brazilian Society of Cardiology (SBC), diabetes is one of the most ...

Brazil Forecast: Less Grain, More Meat

 In its eighth estimate of the 2004 agricultural harvest in Brazil, the Brazilian Institute ...

Port of Santo's city in São Paulo

US and Brazilian Businessmen Rebel Against Brazil’s Red Tape

Brazilian and American entrepreneurs are working together in a campaign to pressure the Brazilian ...

Brazil Space Program to Get Greater Funding

The work on revisions in the Brazilian space program for the next ten years ...

Juruena river in the Amazon

Brazil Amazon Indians Seek International Help to Prevent Dam Building

As Brazil celebrates its national Day of the Indian on April 19, a new ...

Brazil Has Latin America’s Two Largest Companies: Petrobras and Vale

State-controlled oil multinational Petrobras and mining company Companhia Vale do Rio Doce (CVRD), both ...

For the First Time Brazil Gets Federal Prisons

The 1984 Brazilian Penal Enforcement Law determined the creation of federal prisons in Brazil, ...

Brazil Tourism: Gearing Up for Best Year Ever

A record number of tourists visited Brazil in August and expectations are that the ...