HCM City dept fosters growth of science and technology businesses

During a conference held by the departmenton Friday in HCM City, Chu Ba Long, deputy head of the Technology Management and Technology Market unit under the department, said the department was helping businesses in research and technology development, focusing on socio-economic development.

It is also helping them improve their technologies and products, and assisting them in working with scientific and technological organisations.

The department offers support to start-ups, fostering incubation and adoption of technologies, and organises exhibitions, scientific and technological transfer conferences, and business networks.

Pham Duc Hoa, representative of the HCM City Department of Taxation, said that in February the government enacted a decree to simplify administrative procedures required to form a business related to science and technology.

Income from business activities related to scientific and technological discoveries has low or no income tax. Hi-tech businesses also enjoy a business income tax rate of 10 per cent for 15 years from the time they start earning revenue from activities related to scientific technology.

Tran Tuu, general director of Savi Pharmaceutical Joint Stock Company, one of the first businesses in HCM City to be formally recognised as a scientific and technological business, said the company regularly invests in high-quality modern facilities and equipment as well as a trained workforce and scientific research.

During the conference, the department also announced the establishment of a Scientific and Technology Business Club to facilitate networking, exchanges about experiences, and technology transfer.

Its board of chairman includes six members from formally recognised scientific and technology businesses.

Nguyen Khac Thanh, deputy director of the department, said that businesses struggling with being formally recognised or taking part in supportive policies would be helped by the department.

“Although the department can help companies develop, businesses themselves need to be proactive and innovative, and take part in networking events,” he added.

The city has around 74 recognised science and technology businesses out of around 200 nationwide.