Kuala Lampur, March 9 -- Malaysia has invested much in R&D. Though only about 1.5 per cent of GDP, lower than the target 2.5 per cent, the amount is still substantial. With a GDP per capita expected to exceed US$12,000 by the end of 2024, the total GDP for the year would easily touch RM1.7 trillion. Much of the R&D is funded by the government. It is different in the developed economies where the bulk of their R&D spending comes from private industries.

Despite efforts to increase private sector spending on R&D through tax-related incentives, the result has been mixed. The only industry visibly investing significantly in R&D is the palm oil industry. Most leading palm oil companies have their own R&D outfits developing new products and pr...