NANOTECHNOLOGY IN HUNGARY

UNCLAS SECTION 01 OF 03 BUDAPEST 000224

SIPDIS

OES/STC FOR ROBERT RUDNITSKY

E.O. 12958: N/A
TAGS: TSPL TNGD TPHY TBIO ETTC ETRD PREL RS HU
SUBJECT: NANOTECHNOLOGY IN HUNGARY

REF: RUDNITSKY REQUEST AT SEPTEMBER 2008 ESTH
OFFICER'S CONFERENCE IN BUDAPEST FOR
INFORMATION ON NANOTECHNOLOGY IN HOST
COUNTRIES


1. (U) Summary: In February and March 2009, Post
investigated Hungary,s nanotechnology capabilities through a
series of meetings with experts and government officials. We
found that Hungary has solid scientific expertise in certain
nanotechnology areas, but lacks a national strategy for
nanosciences. Hungarian researchers are engaged in a vibrant
array of nanotechnology research. We are aware of no limits
to trade in products containing nanotechnology in Hungary,
and several such products are on the market. Nanotechnology
as a scientific discipline is regularly presented in all
types of media. Although data on public opinion on
nanotechnology is not currently available, there is no
indication that the general public opposes this technology,
and experts believe that the public regards it positively.
End summary.

POLICY ON NANOTECHNOLOGY
--------------


2. (U) On March 6, ESTH LES met Dr. Ferencne Mokry, head of
the EU Relations Unit at the National Research and Technology
Office (NKTH - an agency which distributes approximately 20
percent of Hungarian R&D grants). Mokry said that Hungary
identified nanotechnology as a key technology area in its
Science, Technology and Innovation Policy Strategy for
2007-2013. The strategy mandates supporting the key areas
identified with technology platforms, knowledge centers, and
information clusters. According to Mokry, however, there are
no NKTH grants exclusively dedicated to nanotechnology
because the
Agency,s policy is to fund only application-oriented
research in certain priority areas including: IT,
environment, materials science, life sciences, and others.
However, some NKTH-funded projects include
nanotechnology-related research.


3. (U) Currently there are several state-supported Regional
University Knowledge Centers focusing on all major
disciplines where nanotechnology is involved (environmental
science, energy research, health and medicines, IT, etc.).
These Knowledge Centers cooperate with international partners
and local small and medium-sized enterprises to identify
commercial uses for their findings. The Hungarian National
Academy of Sciences also manages several institutions that
conduct nanotechnology research in the fields of material
science, nanochemistry, and nuclear science.

EXPERT OPINIONS
--------------


4. (U) Experts consulted by Post confirm the lack of a
well-coordinated national nanotechnology program. On March
5, Laszlo Biro, Head of the Nanostructures Laboratory of the
Research Institute for Technical Physics and Materials
Science of the Hungarian Academy of Sciences (MTA MFA; its
website: http://ww.nanotechnology.hu/index.html) advised ESTH
LES that although nanotechnology has a growing importance in
the Hungarian R&D landscape, R&D spending in the overall
financial picture is poorly thought out and insufficient.
According to Biro, the money that is available is not spent
efficiently. His research group relies on EU FP7 funds to
provide a secure funding stream for high-level basic
research. Biro would like to see a National Expert Board on
Nanotechnology, made up of renowned scientists, which could
identify and define those nanotechnology areas that Hungary
needs to research the most to keep up with international
scientific developments, as well as the areas in which
Hungary can achieve outstanding results.

THE RUSSIAN CONNECTION TO THE INSTITUTE OF NANOTECHNOLOGY
-------------- --------------


5. (U) In 1992, using the German Fraunhofer Institute chain
as a model, the Hungarian government created Hungary,s own
applied research network, the Bay Zoltan Institutes. There
are now six Bay Zoltan Institutes, two of which are involved
in nanotechnology. One of these, the Institute of
Nanotechnology (Bay Nano),established in Miskolc in 2006, is
entirely dedicated to nanosciences (its website:
http://www.bzlogi.hu/bzaka angol.head.page?nodeid=307).
According to its mission statement, Bay Nano focuses on
applied research, education in cooperation with the Miskolc
Technical University, and helping small and medium-sized
enterprises solve technological and logistical problems.


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6. (U) According to local press, the genesis of Bay Nano
dates back to September 2005, when Russian Prime Minister
Mikhail Fradkov visited Hungary for talks with Hungarian
Prime Minister Ferenc Gyurcsany. One of the outcomes of the
visit was an agreement between the two governments to
cooperate on nanotechnology. The agreement included joint
financing for the creation and operation of a new
nanotechnology institute to be established in the city of
Miskolc. The new institute subsequently set up was Bay Nano.


7. (U) ESTH Hub officer and ESTH LES visited Bay Nano on
February 12. Andras Pungor, Head of Bay Nano, indicated that
the initial objective of Russian-Hungarian cooperation on
nanotechnology was to test the Russian-made NT-MDT scanning
electron microscope and co-develop improvements to it.
Although Hungary purchased this microscope and other
Russian-made equipment for Bay Nano, the Russian government
has not yet contributed any funding to the institute.


8. (U) Comment: Laszlo Biro commented that he believes that
the failure of the Russian Government to provide the promised
funding implies that the Russian motivation was to sell
Russian equipment rather than an actual interest in joint
research. We have no reason to doubt Biro,s judgment on
this. Nevertheless, regardless of Russian intent and lack of
follow through, we believe Miskolc, with its Technical
University as well as Bay Nano, has the potential to be a
nanoscience research hub.

COMMERCIAL DATA
--------------


9. (U) As in all EU member states Hungary,s market is open
to all the products generally present in the EU, including
those containing nanoparticles. There is no database
tracking nanoparticle content in products sold in Hungary.

PUBLIC PERCEPTION OF NANOTECHNOLOGY
--------------


10. (U) Andras Pungor advised ESTH on February 12 that the
Hungarian public is generally less aware of nanotechnology
than Western European populations, and consequently has fewer
fears and hopes for nanotechnology. There is currently no
trend of negative public perception of nanotechnology.
Laszlo Biro concurred on March 5, adding that the scientific
community is active in science and communication and ensures
that research results are regularly presented in all types f
media.


11. (U) While there is no data available at this time to
support or dispute Pungor and Biro,s assessments, more exact
information about the public perception of nanotechnology may
be available soon. Eniko Demeny, a researcher at the Central
European University,s Center for Ethics and Law who is part
of a research group participating in the EU-funded Nanoplat
project, informed ESTH LES on February 24 that Nanoplat aims
to develop a deliberate and science-based platform for a
stakeholder dialogue in the field of nanotechnology. To
identify topics for further dialogue, the Hungarian team will
interview selected stakeholders and consumer groups.


12. (U) The Hungarian Food Safety Office has launched an
initiative to collect information about public views on
nanotechnology. The Office has posted Q&As on nanotechnology
on its website, including an invitation to interested parties
to contact them with further questions.


13. (U) NKTH's Ferencne Mokry told ESTH LES on March 6 that
her office also supports science communication and science
journalism projects to publicize all kinds of science,
including nanotechnology. Laszlo Biro expressed similar
support for science communication to us on March 5, noting
that his research group created a website
(www.nanotechnology.hu) to make the Academy,s latest
nanotechnology research results available to the general
public.

MAIN NANOTECHNOLOGY RESEARCH AREAS IN HUNGARY
--------------


14. (U) Hungarian Scientists are primarily working on
nanosensors, microfluidics, nanoelectronics, graphene,
nanotubes, fullerenes, nanomedicine, and nanocomposites.
Some examples include:
- Creation of carbon fiber reinforced aluminum matrix
composite (Bay Nano)
- Lyposome-encapsulated nanomedicine (Bay Nano)
- Nanolink for inkjet printers (Bay Nano)
- Surface modification of carbon nanotubes (Bay Nano)

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- Tailor-made grapheme nanoribbons (MTA MFA)
- Bioinspried photonic crystals (MTA MFA)
- Structural models for coiled nanotubes (MTA MFA)
- Microstructure created and driven by light (Institute of
Biophysics in the Biological Research Center in Szeged)
- Fullerene-cuban composites (Research Institute for Solid
State Physics and Optics)

NANOTECHNOLOGY AN NTE IN FCS FY09 STRATEGIC PLAN
-------------- ---


15. (U) FCS included nanotechnology in the initial universe
of its New-To-Export (NTE) Emerging Technologies
Identification Strategy. FCS will identify two to three
emerging R&D technologies in which there are significant
Hungarian academic and institutional interest and activities.
A key element is that these sectors will benefit from
partnering with U.S. NTE technology companies to
commercialize and market those technologies. Once the key
sectors are selected, FCS will identify the universities,
innovation centers, incubators, and companies in those
sectors and reach out to the appropriate USEACs, State
Development Agencies, and other USG agencies to identify and
promote the program to NTEs. Further, FCS will coordinate
with the Embassy's Office of Defense Cooperation, the ESTH
section, and Public Affairs to promote this initiative to
their science and government contacts. FCS has developed a
list of leaders in each potential NTE sector and is in the
process of meeting with them. After those meetings, FCS will
assess the most viable sectors and proceed to make their U.S.
contacts.

POST POINTS OF CONTACT FOR NANOTECHNOLOGY
--------------


16. (U) Should the Department wish any further information
on nanotechnology in Hungary, post POCs for this subject are
Regional ESTH Hub Officer Camille Hill (HillCD2@state.gov,
tel 36-1-475-4956),ESTH Hub LES Tibor Kovacs
(KovacsT@state.gov, tel. 36-1-475-4439),and FCS LES Zsolt
Makai (zsolt.makai@mail.doc.gov).
Foley