ROMANIA: NANOTECHNOLOGY POTENTIAL

UNCLAS BUCHAREST 000494

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E.O. 12958: N/A
TAGS: ECON TNGD TPHY TSPL EINV RO
SUBJECT: ROMANIA: NANOTECHNOLOGY POTENTIAL

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1. (U) SUMMARY: EconOff recently visited the National Institute for
Research and Development in Microtechnologies (IMT),an open-source
institute that has received significant national funding. IMT
represents a promising future for nanotechnology in Romania, but
will need continued investment and outside partners to reach its
full potential. In particular they are looking for closer U.S.
cooperation which could be aided by a follow-on meeting pursuant to
the bilateral Science and Technology Agreement. END SUMMARY.


2. (U) In June, EconOff attended the first annual nanotechnology
conference in Romania, NanoRomania 2009, which was held at the Ioan
Cuza University in Iasi and partially underwritten by a National
Science Foundation Grant to the University of Central Florida (UCF).
The conference was well attended by representatives from Romanian
and U.S. academic institutions. The organizer and Director of UCF's
nanotechnology center, James Hickman, PhD, highlighted IMT as a
prime example of Romania's potential during the conference.


3. (U) EconOff subsequently met with the founder and director of
IMT, Dan Dascalu, and toured the facility to better assess Romania's
nanotechnology capabilities. IMT was founded in 1991 as an
autonomous research institute and receives grant funding from the
Ministry of Education through the National Authority for Scientific
Research (ANCS). IMT is an open-access research facility, which
allows companies to conduct research projects using the facility's
equipment without forfeiting intellectual property rights. While
more typical in the U.S. or U.K., open-access facilities are not as
abundant in Europe. IMT is the only open access facility in Romania
and claims to be the only such facility in Eastern Europe. Since
2006, IMT received significant national funding totaling over 5
million euro in the last year alone. In the last five years, IMT
has purchased about 8 million euro worth of equipment for the
center, which includes a fully operating clean room. Currently, IMT
has over 100 staff members, several of whom have studied and trained
abroad.


4. (SBU) Capable leadership and state-of-the-art modern technology
make this facility a positive example of Romanian scientific
leadership in the nanotechnology field. Both the director and his
staff are very knowledgeable, open, and interested in developing
concrete nanotechnology applications for practical business usage.
To this end, IMT privately shared with EconOff that they have
quietly launched a new partnership with Honeywell, which is
conducting a research project at the facility. At the same time,
the director shared his dismay that other companies, notably IBM
which is developing a new Nanotechnology Center in Bulgaria, are not
making better use of existing Romanian facilities.


5. (U) Due to the economic downturn and concomitant budget cuts, IMT
is unable to continue building its center without further
investments. Because companies using the facility are not charged
for investment or operational costs, the shortage of government
funds presents a serious barrier to expansion and improvement.
Investments which were made in the expectation of continued funding
through the current fiscal year are now in jeopardy given the
government's precarious financial situation. For example, the
facility has built a second clean room and purchased the equipment
for its operation. However, they have run short of the 250,000 euro
required to install an air filtration system, making this clean room
unusable. To remedy the investment shortfall, IMT plans to apply
for EU structural funds and holds out some hope that these funds, as
well as collaboration with potential outside investors, will keep
the facility modern and relevant.


6. (SBU) COMMENT: IMT's approach as an open research facility offers
promise for the development of practical nanotechnology applications
in Romania. Despite the government's interest in promoting
nanotechnology development, the fiscal environment does not allow
for further investments at IMT. Romania and IMT both need to
attract independent business collaborators if this center is to
reach its full potential. Post continues to encourage cooperation
between the government, research facilities, and businesses, but
this process could be further aided by a follow-on meeting pursuant
to the U.S.-Romanian Science and Technology Agreement. Such a
meeting could highlight for the Romanian government how best to
promote research and development cooperation with the U.S. on
nanotechnology and other areas of common interest. While IMT should
be able to continue operations for the foreseeable future,
encouraging further development in Romania's nanotechnology center
will require international support and partnerships with private
industry. END COMMENT.

GUTHRIE-CORN