1. Hungarian Pole Program Office Pole Program and cluster development in Hungary

2. 2 Cluster programmes in Hungary from 2000 First cluster established in Hungary  Pannon Automotive Cluster (PANAC)  Initiated by the Ministry of Economy  Involvement of three major Hungarian-based car manufacturers (Suzuki, GM, Audi) and more than 50 SME’s As a result of the cluster support programmes approx. 50 clusters or cluster initiatives existed in Hungary by 2007 201020052000 Grants for the set-up of clusters and for cluster activities from Structural Funds Grants for the set-up and operation of cluster management organizations as part of the Széchenyi Plan (domestic funds) 2007-2013 EU budgetary period made a long-term consistent cluster policy possible  Hungarian Pole Program for cluster development and for the improvement of the business environmnent  In total approx. a budget of EUR 1.5 billion

3. 3 Concept and structure of the Hungarian Pole Program 3 * Operational Programs Source:PPO Companies Chambers, civil org. Municipalities POLE CITIES Pole innovation Accredited Developing Start-up ENTERPRISES & CLUSTERS Various operational programs of the Hungarian NSRF 2007-2013* TrustCooperationCommitment Universities, R&D institutions ResourcesCoordinationCommunication Consistent execution *SIOP (Social Infrastructure Operational Program), SROP (Social Renewal Operational Program) CHOP (Central Hungary Operational Program), EDOP (Economic Development Operational Program) ROP (Regional Operational Program)

4. 4 4-stage cluster development model The aim of the national cluster development strategy is to support clusters to reach higher development phases Start-up cooperation Developing cooperation Pole Innovation Cluster Accredited Innovation Cluster ▪Start of cooperation in a network ▪Cooperation in supporting and administrative activities ▪Deepening trust among members ▪Cooperation in value creation activities ▪Strong trust among cluster members ▪Cooperation in innovation ▪Close cooperation ▪International visibility Clusters can apply for grants according to their development level Description Stage Grants in the Pole Program ▪EUR 0.1-0.2 million▪EUR 0.2-0.8 million▪EUR 1-6 million▪EUR 6-17 million ▪Cluster management ▪Joint investment ▪Joint innovation ▪Complex investments

5. 5 Source:PPO IndustryNumber Accredited clusters Total25 Accredited clusters in Hungary (Stage 3) ▪25 clusters have been accredited up until now ▪Most of the clusters operate in the healthcare, environmental and ICT industry ▪Total number of cluster members: 728, of which 554 SMEs ▪Total revenue of cluster member companies (‘09): EUR 10.7 billion (11.5% of GDP) ▪Total number of employees of cluster members: 83,378 (2.2% of total No. of employees in Hungary) ▪Total R&D expenditure of cluster member companies: EUR 200 million, which is 1.87% of total revenues of cluster companies ▪23 of the 25 accredited clusters applied for support for innovation projects and 13 have been granted support in a total value of EUR 45.2 million Healthcare8 ICT6 Environmental industry 6 Packaging2 Construction / Energy 1 Food industry1 Investment promotion 1

6. 6 Cluster development – Results 6 Development level Pole Innovation Clusters Start-up co- opeation initiatives - - 25 79+ 21+ Accredited clusters Developing co-operations Number of clusters and co-operations* (pcs) Calls for proposals ▪Start-up calls for proposals in the Regional OPs ▪Developing calls for proposals in the Regional OPs ▪Under elaboration ▪Two dedicated calls for proposals in EDOP Altogether 65 projects in 13 accredited clusters have been supported up until now Support granted (EUR million) 7.27.2 4.74.7 - 45.2 Successful applications (pcs) 79 21 - 65** ▪Total57.1165 ROUNDED VALUES EDOP = Economic Development Operational Program ROPs = Regional Operational Programs * No of supported clusters and co-operations in the calls of the Regional Operational Programs and the accredited clusters ** Applications received and evaluated till 1.10.2010 Source:SMIS, PPO

7. polus@polusiroda.hu www.polusprogram.eu Thank you for your attention!