Environmental Scan 2017 | Page 160

Environmental Scan 2017: Human Capital Issues within the Medical Devices Sector Benchmarked Countries Description and licensing of novel medical technology developed at the Mayo Clinic in the US. These innovations would then be commercialised in Ireland. o The other objective of this initiative is also to create at least ten spin out companies out of the commercialisation initiatives. Government Incentives  A strong growth driver for Ireland is its Corporate Tax rate of 12.5%. It is one of the lowest corporate tax rates in the world. This is in comparison to the US which has a corporate income tax rate of approximately 35%. One third of American investors in Ireland have indicated the low corporate tax rate as the key driver for them to choose Ireland as their manufacturing hub  Medical device manufacturing companies are entitled to a 25% R&D Tax Credit. This enables companies to significantly reduce their operating overheads. This incentive also encompasses wages and other related overheads for their machineries and buildings Talent Development Initiative  v) Costa Rica Bio Innovate Ireland o A program that is modeled from the Stanford Bio Design Program. It provides in-depth industry training for young talent via full time immersion programs in local hospitals and clinics. Overview  Costa Rica is often promoted as Latin Americas leading medical technology hub. The number of medical devices/technology companies have also grown by over nine times in the last 15 years. The exports of medical devices have also grown significantly over the years, where in 2015, exports grew by more than 28% when compared to 2014.  Costa Rica is also home to 6 of the top 20 largest medical devices companies in the world while 6 out of the top 10 cardiovascular device companies have manufacturing plants in Costa Rica.  Costa Rica has also emerged as a leading location globally, outside of Europe, for MedTech investment. It has been able 160