CEBU, Philippines – The German government, through its InWent Capacity Business International program, is pushing for the development of incubation facilities in the Philippines to support startup companies in transferring technological innovations into marketable products.
With the archipelagic makeup of the Philippines, German Incubation Facility expert and economic advisor Franz Dietrich said that the country needs at least 200 Incubation Facilities in the next few years.
Yesterday, InWent started its five-day trainers training program at the Cebu City Marriott Hotel under its Business Incubation in Southeast Asia program, participated in by 17 delegates, from the Philippines and Indonesia.
The delegates will be trained to set up their own Technology Business Incubator (TBI) facility in their respective localities. UP Cebu TBI is one of the five TBI's qualified by InWent to participate in this program, together with the TBI's of UP Los Banos, Up Iloilo, Central Luzon State University and DOST-Davao Region.
According to Dietrich although the Incubation concept is already an old system applied by other developed countries like in Europe, in the Philippines it is still a new idea.
This is the reason that the German organization is involving itself in the development of incubation facilities in the Philippines, initially establishing four TBI in the country, including the Information Technology Incubation Facility at the UP Cebu College.
However, while the development of Incubation concept is very important for economic growth, the government should well support on this concept, in strong participation with the private organizations, such as the initiative done by UP Cebu.
Of the four TBI being set up in the Philippines, only the UP Cebu facility is focusing on the development of Techno-preneurs, other incubation facilities are into agri-business, fisheries and power technology.
According to Dietrich an ideal expense in setting up one Incubation facility will need between US$200 thousand to US$300 thousand, with maintaining operational cost a year of US$60 thousand to US$80 thousand.
Since the facility is expected to be self-sustaining in the next few years, it needs funding support from the government, Dietrich said.
The UP Cebu TBI on the hand,, is a joint collaboration of the university management led by UP Cebu Dean Enrique Avila and the Department of Science and Technology (DOST).
"If there's no money available from the State's budget, then there will be no Incubation that will be set up," said Dietrich in an interview yesterday.
In Thailand, Vietnam and Indonesia, he said the development of Incubation facilities are successful because their governments are supportive of the idea, and have given sizeable amount of money to promote the Incubation concept.
The Cebu Incubation Facility for techno-preneurship is a good start for the province to hit its goal as the next "Silicon Valley" with the presence of enthusiastic industry and academe support here.
InWent-Capacity Business Internation-Germany is a non-profit organization with worldwide operations dedicated to human resource development, advanced training, and dialogue.
Since 2003, InWent is supporting the promotion of Innovation and Technology in Southeast Asia through specific capacity building activities, and focus is given to the set-up of TBIs. (FREEMAN)