Flanders' chemical industry leads the way in innovation and R&D

17/01/2025
News

A recent report from the Community Innovation Survey (CIS) 2023, conducted by the Expertise Center for Research and Development Monitoring (ECOOM) at KU Leuven, highlights the impressive innovation performance of Flemish enterprises. Among the top performers, the chemical and pharmaceutical industries stand out as clear leaders, cementing their role as critical drivers of technological advancement and economic competitiveness in the region.

Catalisti banner

The CIS results reveal that 91% of enterprises in the chemical and pharmaceutical sectors engaged in innovation activities during the 2020-2022 period, making them the most innovation-active sectors in Flanders. These activities include product and process innovations, ongoing and discontinued innovation efforts, and investments in research and development (R&D). This figure significantly surpasses the overall innovation rate of 74% for Flemish enterprises, underscoring the sector's commitment to progress.

Leadership in product and process innovation

Innovation in the chemical and pharmaceutical industries spans a broad spectrum of activities. The report indicates that 59% of companies introduced new or significantly improved products, while 79% implemented innovative processes to optimize production, logistics, and communication systems. Additionally, 76% of these enterprises reported ongoing or discontinued innovation projects, showcasing their resilience and adaptability in navigating challenges such as project complexity and market uncertainties.

This high level of activity reflects the sector's sustained focus on both technological and organizational innovation. The chemical industry not only introduces groundbreaking products but also continuously refines its internal processes to enhance efficiency and sustainability.

A European leader in innovation

The results position Flanders as a leading innovator in Europe, with its overall innovation rate exceeding the EU average of 70.3%. The chemical and pharmaceutical sectors play a pivotal role in this achievement, contributing to Flanders’ reputation as a knowledge-driven economy. These industries’ performance aligns with Flanders’ broader ambition to be a global leader in research and innovation.

Strong investment in R&D

One of the defining characteristics of the chemical sector is its commitment to R&D. Enterprises in this field invest significantly in both internal and external research, ensuring a continuous flow of new ideas and applications. According to the report, larger companies tend to engage in systematic, permanent R&D activities, while smaller enterprises also make meaningful contributions through occasional research efforts.

This robust R&D culture not only drives technological advancements but also supports the development of sustainable solutions, including innovations aimed at reducing energy consumption and carbon footprints.

Support from public and private sectors

The success of the chemical and pharmaceutical industries is supported by a combination of public funding and private investment. The CIS report shows that 41% of innovative chemical companies received direct financial support from the Flemish government, while 62% benefited from national fiscal incentives. European programs, such as Horizon 2020, also play a vital role in funding research and innovation projects within the sector.

These resources enable enterprises to pursue ambitious goals, including the development of greener technologies and the enhancement of circular economy practices.

Collaboration and global impact

Innovation in the chemical sector is inherently collaborative. Companies frequently partner with universities, research institutions, and international organizations to advance their R&D efforts. The report highlights that 61% of chemical enterprises collaborate with European partners, and 37% engage in global partnerships. This extensive network not only accelerates innovation but also reinforces Flanders’ position as a hub for cutting-edge research with global relevance.

Catalisti banner

With its leadership in innovation and strong support ecosystem, the chemical industry is poised to remain a cornerstone of Flanders’ economic and technological advancement.

Catalisti

Catalisti: continued support for innovation in Flanders

As the innovation cluster for the chemical industry, Catalisti aims to play a vital role in facilitating the sector’s success. By fostering collaboration, supporting groundbreaking projects, and aligning efforts with regional and international goals, Catalisti helps enterprises in Flanders thrive in an increasingly competitive global market.

The findings of the CIS 2023 survey reaffirm the importance of continued investment in innovation and R&D, particularly in high-performing sectors like chemicals and pharmaceuticals. With its leadership in innovation and strong support ecosystem, the chemical industry is poised to remain a cornerstone of Flanders’ economic and technological advancement.

For Catalisti, these results are both a testament to past achievements and a call to further strengthen our efforts in driving sustainable, impactful innovation. Together, we can ensure that Flanders continues to lead the way in creating a brighter, more innovative future.