2. TOPICS Chile 1975-2005 How Fundación Chile works The selection of opportunities Fundación Chile’s financing Diffusion of technology Focusing in key clusters (example: Acuaculture) An independent evaluation of Fundación Chile Lesson learned

3. FUNDACIÓN CHILE Fundación Chile is a privately owned, non- profit institution, created in 1976 through an agreement between the Government of Chile and ITT Corporation. To add economic value to Chile’s products and services by promoting innovation and technology transfer activities, aimed at taking better advantage of Chile’s natural resources and human capital. Mission

4. CHILE’S EXPORT DEVELOPMENT 1975-2005 (in million US$ dollars of 2005)

5. FUNDACIÓN CHILE KEY AREAS AND PRODUCTS Agribusiness Aquaculture Forest and Industry Information and..Communication..Technology Human capital Biotechnology Environmental Technology Information Technology Human Capital Development Financial Engineering Management Technology  Innovative enterprises, almost always in association with companies or individuals.  Develops, adapts and sells technologies to clients in the productive and public sectors, in the country and abroad.  Fosters institutional innovations.  Captures and disseminates technologies to multiple users (as a technological antenna) through seminars, specialized magazines, internet portals, and technical assistance.  Develops standards and certification systems. TechnologiesSectors

6. FUNDACIÓN CHILE’S Technology Development Alternatives Transference and internal R&D With national and international scientific support Scale up and Licensing Managing R&D Networks Technology centers, Universities, R&D department and companies 1 2 3 Transfer & adaptation

7. Radiata pinesomaticembryognesis

8. SEARCHING FOR OPPORTUNITIES TO INNOVATE Learning from other countries Studying relevant markets Analyzing value chains Protecting new ideas

9. FUNDACIÓN CHILE’S FINANCING An initial partnership contribution (US$ 50 million) Sale of services and consulting (national and international) Project support from public and private sectors Actual self financing: 85% Additional contributions: – a contract to develop new capacities (7%) – sales of companies

10. THE DIFFUSION OF TECHNOLOGY Replicability : achieving the social benefit of innovation Traditional diffusion: Organizing fairs and seminars Publishing technical magazines Consulting services Creation of a company that applies the new technology (60 created since 1982) Example: starting the salmon industry in 1982 Now second world largest exporter : US$ 1.600 million

11. FOCUSING IN KEY SECTORS: THE CASE OF AQUACULTURE Fundación Chile provides multiple support and services to this sector: introducing new species improving genetics controlling pathologies improving food and nutrition introducing trazability developing labor competencies organizing international fairs

12. VACCINE AGAINST SRS: SAVES THE SALMON INDUSTRY US$ 150 MILL/YEAR

13. IMPACT EVALUATION

14. LESSONS LEARNED To achieve significant social goals, a non-profit, independent, public-private institution has shown to be very effective. A single initial endowment, followed by the task of being self-financed, forces to maintain financial discipline. Transfer of technologies already used in other countries, offers significant opportunities for innovation in developing economies. For many technological innovations, national and international networking is essential. …

15. A strong market-oriented business approach is one of the factors behind many of FCH’s succesful projects. In developing new technologies, to have an early definition of the exit strategy is very convenient. Chances of success increase when multiple actions, including the development of both technology and human resources, are concentrated in key sectors or clusters.