A unified approach to trade could see ireland - north and south - compete in areas that it is too small to gain a foothold in at present

It is now almost a mantra in Ireland that we must become a "knowledge economy", and that innovation is vital for future international competitiveness. But is it all talk and no action, or are we actually moving in the right direction? Judging by a study of research and technological development (RTD) centres carried out by InterTradeIreland, the answer seems to be "a lot done, more to do".

A major outcome of the study was that although RTD centres in both the Republic and Northern Ireland forge many partnerships locally and internationally, they are failing to exploit the opportunity that exists for cross-border collaboration.

Why does this matter? According to InterTradeIreland, industry and academic collaboration between the two jurisdictions would help to achieve the critical mass needed in areas where the island can compete internationally.

The governments of both Ireland and Northern Ireland are targeting the same growth technologies - life sciences, ICT, nanotechnology, agri-food and aerospace - and both North and South are experiencing the same problems of lack of scale in these areas. This has led to an increased emphasis on internationalisation, which in theory should create an impetus for cross-Border co-operation.

"Both parts of the island have relatively small research communities by international standards, and lack critical scale in many areas," InterTradeIreland says.

"However, there are first-rate centres in both jurisdictions in some key and rapidly developing technologies. It is these that offer the prospects of delivering the greatest mutual economic and scientific benefit if their scale can be developed through cross-Border collaboration."

Rather than both research communities ploughing their own furrow, cross-Border co-operation would bring together complementary expertise and would hopefully result in the cross-fertilisation of ideas. As one RTD centre surveyed summed it up: "both jurisdictions are too small to be insular".

But while collaborations on the basis of joint risk and reward are common with local and international partners, the survey found that those with cross-Border partners account for only 8 per cent of such projects. Why are research centres failing to take advantage of the opportunities on their doorstep? What is causing this "Border effect"?

InterTradeIreland found that programmes restricting the movement of funds, such as those operated by the UK Research Councils, are inhibiting collaboration. Confusion also exists among RTD centres as to whether any targeted funding schemes are in operation, or whether any incentives are offered by agencies or funding bodies. One centre pointed out that "research follows funding".

A lack of effective communication channels on an all-island basis was also identified as a problem, while a lack of awareness of potential partners is a perceived barrier.

Of course, not every RTD centre on the island would benefit from, or would even be suited to, cross-Border collaboration. However, of the 96 centres that responded to the survey, some 36 were found to be ideal candidates for engaging in all-island projects, while a further 23 were identified as having potential for co-operation.

In particular, InterTradeIreland identified the life science and health technology sector as being ripe for collaboration.

"There are high-profile centres on both sides of the Border and there are significant opportunities for leading-edge collaboration, some of which would have shorter term, and much of which would have longer term, commercial potential," it said.

The leading centres in Northern Ireland in this sector include the Centre for Cancer Research and Cell Biology, the Medical Polymers Research Institute and the Functional Genomics Centre, while in the Republic their counterparts include the National Institute for Biomedical Engineering Science, the National Centre for Cellular Biology and Alimentary Pharmabiotic Centre.

The information and communications technology sector was also identified as having significant potential for worthwhile cross-Border partnerships. Two particularly high-profile centres from either side of the Border were highlighted as being suitable for collaborative projects - the Tyndall Institute in Cork and the Institute of Electronics, Communication and Technology in Belfast.

A number of high-profile centres included in the study are working in the nanosciences and nanotechnologies area, an area that has also been identified by InterTradeIreland as offering potential for collaboration, much of which has significant commercial potential. The agri-food technology area was also highlighted as having potential.

In fact, the aerospace and advanced manufacturing sector was the only area where opportunities for collaboration were found to be relatively few.

So what can be done to facilitate collaboration in areas which could benefit from it?

InterTradeIreland suggests that more clarity is required as to whether existing funding structures can accommodate all-island projects. Many centres also felt that "new money" (as opposed to existing funding) must be injected into the system.

According to InterTradeIreland, the level of communication and awareness between the two research communities must be improved. It has made a number of recommendations, such as an all-island monthly science, technology and innovation digest; additional support for networking across research disciplines; and an all-island science award.

In addition, existing funding mechanisms should be aligned in order to support enduring cross-Border collaboration. Support programmes should also be introduced to facilitate all-island research clusters, which would consist of a small number of world-class centres.

"Substantial amounts are being invested in research centres North and South. However, opportunities to optimise the outputs could be boosted through improved awareness of potential partners and the availability of a targeted funding scheme," explains Aidan Gough, director of strategy and policy at InterTradeIreland.

Recognition of success is also vital. "A key part of the broadening of the cross-Border awareness of research activity in the other jurisdiction is to highlight the leading-edge research which is taking place across the island at the moment," the study said.