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COMMERCE AND INDUSTRY

The CAIT comprises a total of 17 members; 15 of them are non-official members mainly from the business and academic sectors, either locally or externally. All are experts in their respective fields covering finance, economics, electronic engineering as well as telecommunications technology and services. Two Special Advisors have also been appointed to provide expert advice to the council. These Special Advisors are renowned experts in their fields.

Innovation and Technology Fund

The $5 billion Innovation and Technology Fund supports projects that will help promote innovation and technology upgrading of the manufacturing and service industries. By year-end, the fund had provided financial support of some $854 million to 338 projects undertaken by industrial support bodies, trade and industry associations, higher education institutions, professional bodies and locally incorporated companies.

Promoting Technological Entrepreneurship

Major efforts have been made to promote technological entrepreneurship. A $750 million Applied Research Fund was established in March 1998, replacing two previous schemes to provide equity finance for technology ventures in the private sector. In November 1998, private venture capital firms were appointed as managers for the fund. Besides selecting technological ventures for investment, the venture capital firms provide management and networking advice to the investee companies. By year-end, $346 million in financial support had been provided to 21 companies through these fund managers.

Hong Kong Applied Science and Technology Research Institute Company Limited The publicly funded Hong Kong Applied Science and Technology Research Institute Company Limited (ASTRI) has commenced operation. It performs relevant and high- quality research and development for transfer to industry for commercialisation with a view to upgrading the technology level of industry and stimulating the growth of technology-based industry in Hong Kong. The ASTRI's research programmes initially focus on photonics technologies, integrated circuit design, wireless communications, Internet software and biotechnology.

Hong Kong Jockey Club Institute of Chinese Medicine Limited

The Hong Kong Jockey Club Institute of Chinese Medicine Limited (HKJCICM), incorporated in May 2001 as a subsidiary company of the ASTRI, will take forward the vision to position Hong Kong as a world centre for the development of health food and pharmaceuticals based on Chinese medicine. Its mission is to spearhead the development of Chinese medicine as a high value-added industry for Hong Kong through promotion and coordination of related activities and strategic support for scientific and evidence-based development programmes. The Hong Kong Jockey Club Charities Trust has pledged to donate $500 million to support the HKJCICM's research and development programmes. The HKJCICM has set its programme directions to steer Chinese medicine development embracing standardisation, technology and product development, safety appraisal and evidence-based clinical studies.

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