R&D investment requirement; ICGEB Agreement; Science & Technology Laws Amendment Bill

After the September briefing on the R&D tax incentive programme, the Committee requested a briefing on specific strategies to achieve the 1.5% of GDP government-set target from the current level of 0.83%. The Department said that it had only put together preliminary ideas on how to pursue the target. It noted that over the past few years, government has been investing more in R&D than the business sector. However, the set target would not be achieved within the desired time frame if business does not step up. Hence, tax incentive programmes were currently being reviewed to encourage business sector to invest more in R&D. The approach recommended included: R&D investment targets must align with the Decadal Plan which would be finalised in June 2020; draw from the sector master plans and for each, identify areas earmarked for R&D and technological innovation; use recommendations from Department of Planning, Monitoring and Evaluation (DPME) review of business incentives. The RSA Government signed a Host Country Agreement for the establishment of the ICGEB Component ICGEB component in Cape Town on 18 March 2019 with the International Centre for Genetic Engineering and Biotechnology (ICGEB). The Agreement was tabled for ratification by the National Assembly and the Council of Provinces. The ICGEB runs 46 state of the art laboratories in Trieste, New Delhi, and Cape Town and it forms an interactive network with over 65 member states. In biotechnology, it plays a role worldwide in research, training and technology transfer to industry to promote sustainable global development. The Department gave responses to public comments on the Science and Technology Amendment Laws Bill. Members asked why the Decadal Plan was delayed; about the details of the tax incentive measures to encourage more private sector investment in R&D; reasons for the steady decline in gross expenditure on research and development (GERD); to whom the ICGEB accounts; concrete measures to intensify awarenes