Ho Chi Minh City Focuses on Speeding up Technology Transfer

11:29:44 AM | 22/12/2006

“Higher competitiveness” and “Better quality” are pressing demands of the economy in Ho Chi Minh City as well as in Vietnam while joining WTO and integrating the world economy.
Currently, the technology transfer in Vietnam is by two channels : from whole foreign owned parental companies to daughter companies or joint ventures (90 per cent) and by commercial channel (10 per cent).
According to the Ministry of Industry, most of the equipment are only at 30 per cent of the original value and obsolete by 30 years. In textile and garment industry, 45 per cent of equipment should be upgraded and 30-40 per cent be replaced. Mechanics, a spearheaded industry, is obsolete by 40 in the region and 50 years compared to developed economies. Ho Chi Minh City, the engine of the economy, has only 25 per cent of enterprises with advanced technology, 32 per cent of average standard and the rest is below average with 20 per cent of its technology obsolete.
Most of the surveys point to the backward technology of certain industries and enterprises, especially small and medium enterprises and ultra-small enterprises. They are incapable of investing in advanced equipment and technology. The limitation is also due to poor investment in research and development as well as the application of science and technology in the production.
Besides, the failure of the State in protecting industrial properties makes it impossible for the investors to establish enterprises for science and technology development.
To develop strong science and technology creating new value for enterprises, hi-tech parks should be established to facilitate the technology transfer and training of high-standard workforce.
Joint ventures and cooperation should be developed to make additional contribution to what Vietnam is still lacking. It is also important to learn from foreign partners in marketing, management of production line and human resources development. It will help promote the localization of technology and transform the current research into science and technology business. Pilot research projects should be implemented as they are in famous universities around the world.
In the process of economic integration, technology transfer plays a very important role in increasing product quality and competitiveness. The development of science and technology businesses is the main course of action to implement research results in business activities.
It must begin in Ho Chi Minh City and Vietnam in general to develop the high-quality service Research and Development of Technology, one of the nine high-quality services to be developed from now to 2010.
Thuy Tien