NPC Deputies Take Chemicals as an Example—— Hubei's Enterprise Innovation Ability is Weak

At the Fourth Session of the Tenth National People's Congress of Hubei Province, the innovative ability of Hubei enterprises has become the object of criticism by the deputies of the National People's Congress.
At the meeting, some representatives spoke of such cases: For a long time, due to the lack of innovation capability of the phosphorus chemical industry in Hubei Province, the development of phosphate rock resources was dominated by the sale of primary ore, and each year it sold to other provinces and exported more than 5 million tons of phosphate ore, accounting for More than 60% of the total mining volume in the province. In 2005, the advanced company achieved 18 times more sales revenue per ton of phosphate rock after deep processing, and the realized tax was 5 times that of selling raw ore. According to this calculation, during the “Tenth Five-Year Plan” period, Hubei Province will reduce its sales revenue by at least RMB 3.25 billion each year and lose 1.25 billion yuan in taxes. The huge contrast between selling raw ore and deep processing stems from the strength of independent innovation capability of the company. Only by independent innovation can companies have hope.
Many NPC deputies believe that the independent innovation of Hubei enterprises must solve four major problems. One is the issue of science and technology investment. At present, the total amount of science and technology investment in Hubei is still insufficient, there is no stable growth mechanism, and the growth of government-led investment lags behind development needs. Chen Jun, a member of the Hubei Provincial Committee of the Chinese People's Political Consultative Conference, suggested that an independent innovation fund should be established to support and guide the independent innovation of private leading enterprises and best-growing enterprises, and to mobilize investment in social resources such as enterprises, so as to maintain the sustained and rapid growth of the entire society's investment in science and technology. The second issue is talent. The government must pool talents through major projects. More importantly, it should encourage enterprises to increase R&D investment through policies, and attract more talents to enter into enterprises and industries. The third problem is the transformation of results. There are a large number of universities and scientific research institutes in the province, and a large number of scientific research results come out every year. However, the situation of “keeping in the deep of people’s consciousness” is still relatively common, resulting in massive waste of resources. Provincial People's Congress representative Liu Zuli believes that it is necessary to integrate scientific research institutes and corporate science and technology advantage resources, and establish a technological innovation system that combines enterprise contracting as the mainstay, market orientation, and the combination of production, study and research. The fourth issue is intellectual property rights. The real core technology is that money can't be bought. Only if we have a major ability in scientific and technological innovation and have independent intellectual property rights, can we improve our country's international competitiveness and enjoy respected international status and dignity.
Luo Qingquan, who is also the governor of the Provincial People's Congress, said in this regard that the government should make great efforts to help enterprises solve the problems of systems and mechanisms that restrict innovation.

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