SMEA to Budget NT$325M to Help Form Industrial Clusters

Taipei, July 15, 2008 (CENS)--The Small & Medium Enterprise Administration (SMEA) under the Ministry of Economic Affairs (MOEA) has recently decided to budget NT$325 million (US$10.48 million at US$1 = NT$31) to help form clusters for technology-intensive small- and medium-sized enterprises on the island.

The project will span four years and the prospective clusters will focus on six sectors, including intelligent-controlled LED lighting, innovative biotech materials, digital multimedia and sporting leisure industry, precision optical parts, high-power flow controllers, and high-valued parts for auto lights.

SEMA is to entrust Metal Industries Research & Development Center and Industrial Technology Research Institute, both are government-funded research organizations, to assist the forming of the said clusters, with the former help the manufacturers of high-power flow controllers and the latter help those of the rest.

It is reported that there are about 10 LED lighting manufacturers interested in joining the cluster project and some 10-12 manufacturers in digital multimedia and sporting leisure industry have expressed strong intention of forming a cluster together.

SEMA disclosed that among the above-mentioned six prospective industrial clusters, there are three new R & D projects to be launched by manufacturers by the end of this year. If the estimated budget for one project is set at NT$30 million (US$967.742), then the total budget for the three projects will be around NT$90 million (US$2.9 million). Besides, some 12 manufacturers are said to launch investments on R & D to develop new products. If the budget to be invested by one manufacturer is estimated at NT$5 million (US$161,290), then the total investment value will reach NT$60 million (US$1.94 million).