This document discusses talent development and aerospace opportunities in Puerto Rico. It notes that Puerto Rico Industrial Development Company (PRIDCO) promotes economic development by attracting businesses in biosciences, IT, and aerospace. PRIDCO offers incentives like tax exemptions for R&D and manufacturing. The aerospace sector in particular faces a looming talent shortage as the workforce retires. Puerto Rico aims to address this by expanding education programs in math, science, and engineering to develop a deep talent pool of over 2,000 career opportunities in aerospace.

1. Fomento al Talento
Marcos J. Polanco
Director
Information & Communication Technologies
Puerto Rico Industrial Development Company

2. What is the Puerto Rico Industrial Development Company?
• Puerto Rico’s official investment promotion
agency
• Manufacturing focus since 1942
• Generating jobs through the development of
a vibrant knowledge economy, particularly in
the biosciences, information technology and
aerospace sectors
• Offers business intelligence, facility selection,
project management support, investment
incentives and one-stop customer service
• Hosts over 1,400 client firms, responsible for
over 11% of Puerto Rico’s workforce

3. Capital
Follows
Talent

5. Talent for Aerospace

6. What is Aerospace?

7. Robust Growth…

8. …Threatened by Talent Crunch
Knowledge Work
Cannot Go Abroad
Retiring Workforce
Tight Talent Supply

9. Deep Source of Quality Talent

11. Over 2,000 Career Opportunities!

12. Navigating the Future

13. Puerto Rico
Economic Incentives …is a lucrative proposition
DIVIDENDS 0% Tax
4% general scenario INCOME TAX RATES
CDORH R&D Supply 25% Purchase of products
WIA Funds Training
50% Chain manufactured in PR
Up to 5K / job creation
SALARIES
during its 1st year operation
10% Electricity Tax Credit
UTILITIES 50% Renewable Energy
Tax Credit
100% deduction
of investment
MACHINERY & EQUIPMENT
INFRASTRUCTURE PRIDCO Match Funds
LEASE $3-$8 p2
Rico…
Investing in Puerto Rico… PRIDI
FINANCING 100% Exempt Bonds

15. Math & Science Schools – Caguas & Carolina

16. Operación Éxito

17. NSF/UPR Math & Science Partnership Program

18. PUPR Puerto Rico Institute of Robotics

19. PRIDCO Scholarships for Teachers & Students

20. National Science Foundation Engineering Research Centers

21. PRIDCO for Entrepreneurs

23. Inspecting the Data

29. Undergraduate & Graduate Enrollment in Selected Institutions
Undergraduate Graduate
Degrees Degrees
U. of Michigan 1068 762
Georgia Tech 1475 747
Cornell 714 579
U. of Florida 851 532
Puerto Rico 631 51
Source: American Society for Engineering Education, 2006-2007

31. Aerospace Challenge - Tools
• 50% tax credit for research & development
• 100% tax exemption (capped) for top university researchers attracting
federal funding
• Special Fund for Economic Development (Act #73, Section 17)
– 17(1) Special incentives for scientific and technical research and the
development of new industrial products and processes, which may be
carried out, among others, directly or in agreements with government
agencies or public and private universities or with any natural or juridical
persons with knowledge and experience…
– 17(8)Provide special incentives for research and development directed to
bioscience, information technology, bio-medics, and aeronautical
engineering.
– 17(10)(e)The establishment of educational programs at all levels with
emphasis on languages, sciences and mathematics.

32. Marcos Polanco
Director
Information & Communication Technologies,
Engineering & Aerospace
Puerto Rico Industrial Development Company
787-759-7578 (PR)
mpolanco@pridco.com
www.pridco.com