| What’s innovative? Competitive financing of grants for strategic alliance with international research organizations to strengthen domestic capacity for research and education. |
By the mid-1990s, Ecuador’s agricultural research system, based principally on a public sector research institute, faced interrelated problems of low productivity, a funding crisis, and attrition of scientists. At the same time, technological and management innovation was needed to improve the productivity and competitiveness of Ecuador’s important agricultural sector. Modernization of production systems and sector institutions were essential if the sector were to compete in regional and global markets. As a result, the government undertook a program of institutional reform, with the objective of strengthening research capacity in a variety of public and private organizations, increasing efficiency of research, and improving linkages to clients. Project Objectives and DescriptionThe Agricultural Research Project had three major objectives: to introduce a competitive research grants program (CRGP), to develop partnerships with international science institutions, and to strengthen national research institutions. The government contracted a private firm to manage the CRGP within policy guidelines established by the government.  Competitive grants for strategic partnership alliances with international research organizations were financed in parallel with grants for individual research activities. Both followed the same competitive procedures and targeted development of local institutional capacity for research in key thematic areas. Institutions submitting proposals had to demonstrate a commitment to cofinancing a substantial and sustainable program in identified priority areas for research. In almost 70 percent of the financed CRGs, public sector lead institutions predominated, whereas in others NGOs, producer organizations, and even private companies were financed.  Strategic Alliance Grants (SAGs) were also authorized to improve higher education (at the master’s level) in agriculture. Strategic alliance grants were larger than research project grants (average US$321,000 versus US$62,000). Participating institution cofinancing contributions averaged 45 percent of total program costs. Cofinancing contributions from participating institutions averaged 50 percent of total program costs of the research projects and 41 percent of the SAGs.  The SAG Program was designed to facilitate access to relevant technologies and technical expertise available internationally. The technology spill-ins resulting from this program represent a cost-effective means of improving the technology base for Ecuador’s agriculture. The competitive selection procedure requires evidence of institutional commitment to long-term work in the program area. It also allowed Ecuadorian institutions to set their own priorities for program development and to select their own partners for alliances.    
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