INNOVATION
in the EPA Antigua and Barbuda
10-11 March 2011
Malcolm Spence, Office of Trade Negotiations,
CARICOM Secretariat
Overview of presentation
• What is the Caribbean context?
• What is innovation in the Caribbean
context?
• What is in the EPA that might help?
• What to do and who to do what
The Caribbean Context
• Small, vulnerable, highly indebted
economies
• Producing narrow range of low value-
added, low technology exports
• Losing significant percentage of
qualified personnel to OECD countries
The Caribbean Context
• Reliance on non-reciprocal preferential
treatment in external markets
• Limited inherent capacity to achieve
through economies of scale in the face
of relentless globalisation
The Caribbean Context
• Low regional economic growth
averaging 1.8% per year over the last
twenty years
– 4.3% for developing countries
– 3.5% for Latin America
The Caribbean Context
• Some positives
– Strong regional cooperation (relatively)
and networks
– Diversity in population, culture, biological
and marine resources
– Creativity and its broad expression
The Caribbean Context
• But ...
• ... low expenditure on research and
development
– <0.15% GDP per year
– 0.55% for Latin America
Overview of presentation
• What is the Caribbean context?
• What is innovation in the Caribbean
context?
• What is in the EPA that might help?
• What to do and who to do what
Innovation in the Caribbean
• What is the Caribbean’s innovation
potential?
– Problem solving and innovation in
Agriculture and Energy
Innovation in the Caribbean
• Plant breeding, traditional and modern
– Genetic resources
(collections in sugar cane, cocoa. Also
bananas? pineapple? cotton? hot
peppers?)
• Renewable Energy sector
– Solar, wind, geo-thermal and current flow
Innovation in the Caribbean
• Renewable Energy sector
– Power from solar, wind, geo-thermal and
current flow
• So what do we need to improve
Innovation in the Caribbean
• Intellectual Property
• Intellectual Asset Auditing and
Management
Innovation in the Caribbean
• Mining the Intellectual Property
registration system for strategic
information
• Negotiating licences in and out
Innovation in the Caribbean
• Creativity and innovation
– Music and literature
– Designs and fashion
– Audio-visual works
– Tourism – all-inclusive hotels (and fetes?)
Overview of presentation
• What is the Caribbean context?
• What is innovation in the Caribbean
context?
• What is in the EPA that might help?
• What to do and who to do what
What is in the EPA
– Agreement that innovation important and
intellectual property rights can help
– Agreement that CARIFORUM eligible for
EU innovation support programmes
– Agreement to promote and facilitate
technology transfer
What is in the EPA
– Asymmetrical obligations on TRIPS
– WIPO Internet Treaties
– Patent Cooperation Treaty
– Geographical Indications extension
– Increased transparency for enforcement
What is in the EPA
• Implementation by 2014
– Unless agreed otherwise taking into
consideration level of development and
development priorities
• Haiti by 2021
– Unless agreed to extend as per WTO
What is in the EPA
• Development Cooperation
– The Parties agree that cooperation
activities will be particularly important in
the transition period referred to in Articles
139 and 140 (2007 – 2014)
What is in the EPA
• Development Cooperation
– SME Competitiveness and Innovation
– Science and Technology
– Information society and ICTs
– Eco-innovation and renewable energy
What is in the EPA
• Development Cooperation
– Regional Initiatives
– Preparation of laws
– Geographical Indications
– Codes of conduct
Overview of presentation
• What is the Caribbean context?
• What is innovation in the Caribbean
context?
• What is in the EPA that might help?
• What to do and who to do what
What to do and by who
• Governments and innovation
– Provide supportive regulatory
environment
– Place Intellectual Property Office in
Planning and Development portfolio
– Support innovation through procurement
What to do and by who
• International Development Partners
and innovation
– Inter-American Development Bank
(supporting work needed to identify
Caribbean innovation systems)
– IDRC (supporting “brain circulation”
patterns)
What to do and by who
• International Development Partners
and innovation
– European Community programmes
through the Economic Partnership
Agreement (EPA)
What to do and by who
Competitiveness and Innovation
Programme (CIP)
http://ec.europa.eu/cip/
The current CIP runs from 2007 to 2013
Overall budget of € 3621 million
What to do and by who
Seventh Framework Programme for
Research and Technological
Development (FP7)
http://cordis.europa.eu/fp7/home_en.html
What to do and by who
The FP7 runs from 2007 to 2013
Overall budget of € 6.4 billion
€ 4 billion for People, € 1 billion for SMEs)
What to do and by who
http://www.enterprise-europe-
network.ec.europa.eu/index_en.htm
http://ec.europa.eu/enterprise/newsroom/
cf/itemlongdetail.cfm?item_id=3537&la
ng=en
What to do, and by who
• Education Institutions
– Make patent searching compulsory for all
technology projects and programmes
– Establish Offices of Technology Transfer
– Establish research networks
What to do, and by who
• Ministry of Finance or Development
– Determine innovation (and
competitiveness) metrics for small
economies (do not forget the diaspora)
What to do, and by who
• Business Training Courses
– Provide courses in Innovation
Management and Research Management
in small firms
– Provide courses in intellectual asset
auditing and strategic management
What to do, and by who
• Firms
– Create research networks and
partnerships with other firms, universities
and Government
– Understand the intellectual property
system and how to exploit it
What to do, and by who
• Firms
– Undertake intellectual asset audits and
develop intellectual asset management
strategies
Overview of presentation
• What is the Caribbean context?
• What is innovation in the Caribbean
context?
• What is in the EPA that might help?
• What to do and who to do what
Reflections on winners
• Where economies of scale do not
provide a significant competitive
advantage
• Where output can claim uniqueness
from location
Reflections on winners
• Understanding IP Licensing
– Content for the Digital Environment
– New varieties of plants and Geographical
Indications
• Essential oils and oleoresins (colours,
flavours, smells and catalysts)
Reflections on winners
• Bio-ceuticals
• Green integrated circuits – ICTs
• G4 Algae biofuels – Renewable
energy
Reflections on winners
Eco-innovation
http://ec.europa.eu/environment/eco-
innovation/index_en.htm
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