SMALL ENTERPRISES TECHNOLOGY UPGRADING PROGRAM (SETUP)
The Small Enterprises Technology Upgrading Program (SETUP) is the DOST’s strategy to encourage and assist Micro, Small and Medium Enterprises (MSMEs) in adopting technology and innovations to enhance operational efficiency, boost productivity, and promote competitiveness of products and services. The program supports MSMEs to undergo upgrading of their manufacturing processes and improve their productivity by acquisition of appropriate equipment, application of DOST-generated technologies, and other interventions. The DOST XII’s priority sectors include food processing, marine/aquaculture, horticulture, metals and engineering, Gifts, Decors, and Handicrafts (GDH), Furniture, Information and Communications Technology (ICT)/Electronics, and Halal.
Purpose of the Program
The Program enables MSMEs to address their technical problems and improve productivity and efficiency through:
- Infusion of appropriate technologies to improve products, services and/or operations
- Human resource training, technical assistance and consultancy services
- Design of functional packages and labels
- Assistance in the establishment of product standards including testing
- Database management system
- Provision of assistance for technology acquisition
The Program focuses assistance on the following priority sectors:
- Food processing
- Gifts, housewares, decors
- Metals and engineering
- Others (including ICT, pharmaceuticals and health products)
DOST Strategies to Assist MSMEs
To attain its objectives, the program has five major strategies.
Provision of Technology
- Technology needs assessment and sourcing of technology
- Technology acquisition
- S&T training
- Consultancy and Technical Advisory Services
Product Standards and Testing
- Development of product standards with DTI-BPS (Dept. of Trade & Industry-Bureau of Product Standards)
- Product testing and enhancement of testing laboratories
Packaging and Labeling
- Development of functional designs for packages
- Identification and development of suitable or alternative packaging materials especially from indigenous materials
Database Management and Information System
- List of available technologies
- List of S&T experts
- List of testing laboratories including available testing services
- Development of website for MSMEs for product promotion and access to information
Linkaging and Networking
- Raw material sourcing
- Equipment design and fabrication
WHO MAY APPLY
- Any company or individual firm based in the Philippines and wholly owned by Filipino citizens
- Any micro, small and medium scale business firm that can be classified under the identified priority sector
- Any company or individual firm willing to apply technological innovations to their existing products, services and/or operations
- Any LGU willing to apply technological innovations to the existing operations in their locality
- Letter of intent to avail of the SETUP assistance, stating commitment to refund the cost of innovation system support and, as its counterpart, cover the insurance for the acquired equipment.
- Accomplished DOST TNA Form 1, “Application for Technology Needs Assessment”
WHAT DOCUMENTS MUST BE SUBMITTED?
- Proposal using SETUP Form 1, “SETUP Project Proposal Format”
- Copy of business permits and licenses issued by LGUs and other government offices
- Copy of Environmental Compliance Certificate (ECC) or Certificate of Non-Coverage (CNC) issued by DENR/EMB.
- Certificate of registration of business name with the Department of Trade and Industry (DTI), Securities and Exchange Commission (SEC) or Cooperative Development Authority (CDA), whichever is applicable.
- In the case of corporations, cooperatives and non-single proprietorship, LGUs, organization, Board/Legislative Council resolution authorizing the availment of the assistance and designating authorized signatory for the financial assistance.
- Financial statements at least for the past three (3) years with notarized certification (SWORN STATEMENT) from the beneficiary that all information provided are true and correct.
- Projected financial statements for the next five (5) years
- Complete technical specifications for equipment to be purchased and design/drawing of equipment to be fabricated, as determined in the TNA Report
- Three (3) quotations from suppliers/fabricators for each equipment to be purchased/fabricated
- Also, proposals from qualified proponents should be supported by the following:
- Accomplished DOST TNA Form 4, “Technology Needs Assessment (TNA) Report”; and,
- Regional Technical Evaluation Committee (RTEC) Report (SETUP Form No. 2)
HOW TO AVAIL?
- The proponent shall submit a letter of interest to avail of the SETUP assistance to the DOST Regional Office thru the Provincial S&T Center where the proponent’s company is based.
- The DOST Regional Office/Provincial S&T Center or external experts together with the proponent shall conduct TNA (Technology Needs Assessment) to identify current problems, improvements and potential technological interventions needed.
- The proponent shall submit a full blown proposal with all the documentary requirements.
- The proposal will be evaluated by the DOST XII Regional Technical Evaluation Committee (RTEC). The RTEC will give comments and recommendations on the proposal. The proponent shall provide clarifications or response to these comments if necessary.
- After evaluation, the proposal will be recommended for approval by the RTEC if it meets all the requirements. Otherwise, it will be returned to the proponent.
- The final approval will be made by DOST XII Regional Director or DOST Undersecretary for Regional Operations or DOST Secretary depending on the amount requested from SETUP
Information and Monitoring of Projects, Services and S&T Interventions
ENGR. TAMANO S. SACAR