Is mór an onóir dom féin agus do mo chuid oifigigh ón Roinn a bheith anseo libh. Déanaim comhgháirdeas libh as ucht an tseomra íontach álainn atá le fáil dúinn do na cruinnithe seo. I am pleased to be here with my officials, Mr. Fallon and Mr. McHugh, to discuss this very important item - the agreement on scientific and technological co-operation between the Government of the People's Republic of China and the Government of Ireland. The agreement was signed by the Tánaiste and Minister for Enterprise, Trade and Employment, Deputy Harney, and the Vice Premier of the People's Republic of China, His Excellency Li Lanqing, during a trade mission to China last September, which was led by the Tánaiste The negotiation and signing of the agreement form part of Ireland's policy of pursuing greater international linkages and co-operation in the field of science and technology.
Ireland's high rates of economic growth in recent years have changed what was, in the not very distant past, a situation of high unemployment and immigration to one of near full employment and immigration. While this growth has largely been achieved through greater inputs of capital and labour, our living standards in the future will be more dependent on improvements and productivity. Innovation will be more important than ever in raising productivity and such innovation can only flourish in the context of a vibrant research and development culture. Taking full advantage of technological improvements and the development of new products, processes and working methods will become an increasingly critical element of Ireland's future competitiveness.
Significant investment in RTDI is required if we are to build on the economic prosperity of recent years and ensure continuing high levels of growth, increased employment and further develop the capacity of Irish companies to prosper in an increasingly competitive environment. In response to this need, the Government has provided nearly £2 billion for RTDI under the National Development Plan, 2000-2006. This represents almost 5% of the total funding under the plan and must be seen for what it is - an unprecedented level of investment in the RTDI base of this country. The primary aim of this investment is to encourage more Irish firms to carry out research and development and to encourage those firms already involved in research and development to invest more substantial resources in this area, and a number of specific schemes are being implemented by Enterprise Ireland and IDA Ireland to achieve this aim on behalf of our Government.
Ireland also needs a sufficient cadre of highly developed researchers to ensure that all of our efforts to establish a knowledge based and high value added economy are successful. The Government is accordingly taking a range of long-term measures now to increase the numbers of people pursuing research careers. These measures include ensuring that prominence is given to science subjects right across all stages of education, from primary to third level, facilitating the training of researchers and increasing the attractiveness of science as a career both in research institutions and in industry. Of particular concern in this regard is the need to increase the number of women pursuing careers in science and technology.
Central to these initiatives is the concept of an holistic RTDI system involving all players in education, industry and research institutions on an equal basis. The investment in RTDI under the plan is structured so as to promote the co-ordinated development of all elements of the RTDI system using a variety of programmes across a number of Departments and Government agencies.
This strategy encompasses investment in industrial research projects and facilities, to encourage all companies in Ireland to develop and increase their RTDI capabilities. It also involves measures to promote greater collaboration between industry and the third level sector to encourage the formation of research and development networks and ensure that industry can obtain maximum benefit from the excellent research being carried out in our colleges. This strategy also encompasses a £550 million investment in third level infrastructure to ensure an output of high quality graduates in the disciplines and technologies most relevant to this country's future development.
Perhaps the measure which draws the clearest link between research excellence and long-term economic growth is the establishment of the technology foresight fund which provides for an investment by us of some £560 million in world class research infrastructure in key strategic niche areas of biotechnology and information and communication technologies. This investment is designed to build up a critical mass of top quality Irish researchers in these areas. Science Foundation Ireland, now popularly known as SFI, is a dedicated research foundation whose website may be viewed at sfi.ie. It has been set up under the aegis of Forfás to manage, allocate and disburse the new fund. SFI launched its first call for proposals last July. Assessment of the proposals submitted is still ongoing and SFI should be in a position to announce details of the successful applicants during the next month.
Governments can act as a catalyst to promote research and development, not only through national research and development programmes but also through participation in science and technology programmes at international level.
We have concentrated on developing our international linkages, mainly through ongoing participation in the EU research framework programmes as well as through the collaboration mechanisms of both EUREKA and COST. We have actively supported the development of a European area of research and innovation as endorsed by the Lisbon Summit last year and are co-operating with the EU Commission in advancing the priorities set out at Lisbon.
It was in the context of promoting European Community policy that I attended the ASEM science and technology Ministers' meeting in Beijing in October 1999, a meeting which was widely recognised as a significant step forward in science and technology co-operation between Europe and Asia.
There have been a number of high level bilateral contacts between Ireland and China, including trade missions to that country led by both the Taoiseach and the Tánaiste. The seventh session of the Joint Commission on Economic, Scientific and Technological Co-operation will take place on 9 April next.
During the visit of the Vice Premier of the People's Republic of China, his Excellency Li Lanqing, to Ireland in April last, the suggestion was made by the Chinese side about the possibility of a bilateral agreement on scientific and technological collaboration. It is a measure of the priority which the Chinese Government places on linkages with Ireland that a high level delegation came to Ireland shortly afterwards to negotiate an agreement, which was ready for signature by the Tánaiste when she visited China in September last. The agreement is intended to promote and encourage co-operation in science and technology between the two countries on the basis of equality and mutual benefit. It provides a formal framework for the development of collaboration between scientific institutions, research centres, institutes of higher education and companies in both China and Ireland.
Specifically, the agreement provides a framework for co-operation on project oriented software development in areas of mutual interest, exchange of scientific and technological information and data and the exchange of scientists, researchers, technicians and trainees for visits, study tours and advanced studies, organisation of bilateral scientific technical meetings and joint research on projects of mutual interest and implementation of co-operation projects and programmes.
The new agreement is expected to bring a number of benefits to Ireland, including partnership and linkage opportunities for Irish companies on an individual company to company basis as well as technology transfer opportunities to license technology developed in China for use in Irish firms. In addition, the exchange of scientists, researchers, technicians and trainees for visits, study tours and advanced studies offers further opportunities to effect the transfer of knowledge and skills.
China has expressed particular interest in collaboration in the area of software development. China and Ireland are both committed to rapid growth in the IT sector, particularly in computer software, and China is seen as a high priority export market in this area. By encouraging such collaboration between Irish and Chinese companies and by heightening the profile in China of Irish hi-tech firms, this agreement will further the goals of the Asia-Pacific strategy.
In the course of negotiations on this agreement it was agreed that both sides would encourage the appropriate parties in their respective countries to initiate discussions on the formation of business associations to deal with trade relations between Ireland and China. Following discussions between IBEC and the Chinese Embassy, the China-Ireland Business Association was established in January last. The new association will organise regular meetings to develop links between Irish and Chinese companies and to help such companies exchange views on issues of mutual business advantage.
This agreement comes in the context of expanding industrial linkages between China and Ireland. In June 2000, a Chinese software delegation led by Mr. Feng Jichun, Deputy Director General, Department of the Development and Commercialisation of New and High Technology, visited a number of leading edge Irish hi-tech companies. The trade mission led by the Tánaiste in September last involved over 50 companies, many of which were active in the hi-tech sector.
A number of the Chinese software delegations have since visited Ireland, including a delegation from the software engineering centre of the Chinese Academy of Sciences which visited our hi-tech parks. These delegations are expected to continue throughout this year. In fact, I understand that tomorrow the Tánaiste will be meeting a software delegation lead by Vice-Mayor Lin of Beijing.
I should mention also that last month an agreement on education co-operation was signed by the Minister for Education and Science, Deputy Woods, and his Chinese counterpart, Madam Chen Zhilli, which addresses many issues including student exchange, language studies and measures intended to promote mutual recognition of third level certification.
These developments come at a time of increased industrial and political linkages with China in the context of China's expected accession to the World Trade Organisation. The Department of Foreign Affairs has recently upgraded its presence in China with the establishment of a new post at Counsellor level in Beijing and a new Consulate General in Shanghai.
This international agreement builds upon developing links between China and Ireland. It is based on a pragmatic, bottom-up, demand led approach, where industrialists and researchers decide what are their specific requirements and needs. Any costs incurred in overseeing the implementation of the agreement are expected to be minimal and will be met as appropriate from the international collaboration subhead of the science and technology budget, subhead F of the Vote of the Department of Enterprise, Trade and Employment, which is excellently managed by the office of science and technology. This is represented at the meeting today by Mr. McHugh and Mr. Fallon and I pay tribute to them and all their colleagues because they operate a dynamic, focused organisation which does an outstanding job in a quiet manner at an important time for Ireland. They have introduced innovative measures and supports and brought them to me and the Tánaiste and Minister for Enterprise, Trade and Employment for political support. They have been taken to Government and we have acknowledged the opportunities that exist and responded in a generous and historic way. I commend the agreement to the committee and ask it to send a message of endorsement to Dáil Éireann to formally approve its terms. The agreement is most important for our future.
