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Facts and Figures, 1st edition 2017

Holland Compared

By 2050 nearly 10-billion people will live on planetearth. Scarce arable land, precious water, andhealthy food sources are already at the forefront ofpressing global issues that must be addressed. The way we age and live together today will changerapidly. Self-sustaining eco-villages are an answer totomorrows challenges. This is not the future, it’s here, today! With partnership and innovation in their DNA, theDutch, through co-operation made it happen. In2016 the Netherlands took the lead to open the firstself-sustaining eco-village. Germany, Norway andSweden will follow soon and hopefully the rest ofthe world too. The entire community in this photo is self-sufficient, energy neutral – waste is converted into new energy or for other use in the village.

3CONTENT

Foreword 8

1. Holland: where tradition and innovation are one 10

2. Macro Indicators 16

3. Trade and Foreign Investment 28

4. Holland Digital Gateway 42

5. Top Sectors in Focus 52

6. Human Capital and Innovation 74

7. Infrastructure 90

8. Government 98

Content

Source: ReGen Villages / EFFEKT

76

Official nameKingdom of the NetherlandsForm of governmentConstitutional monarchy, parliamentary democracyHead of StateHis Majesty King Willem-Alexander, King of the Netherlands, Prince of Orange-NassauCapitalAmsterdamSeat of governmentThe HagueAdministrative structureTwelve provinces and the overseas territories of Aruba, Curacao and St. Martin. The overseas islands of Bonaire, Saba and St. Eustatius, all three of which are situated in the Caribbean, are ‘special municipalities of the Netherlands’Surface area33,800 km2

LocationWestern Europe, by the North Sea, bordering Belgium and GermanyNumber of inhabitants17,003,214 (November, 2016)Number of inhabitants per km2503 (November, 2016)Monetary unitEuroLanguagesDutch, Frisian

98 FOREWORD

The economy of the Netherlands (often called Holland) has a strong international orientation, and is one of the European Union’s most dynamic trading and industrial hubs. We have one of the world’s most open and prosperous economies and the Dutch engage in countless forms of business around the globe.

In recent years the Netherlands has gone from strength to strength, making it one of the 10 most competitive countries worldwide. In the past year it rose from fifth to fourth place in the Global Competitiveness Index published by the World Economic Forum. As the world’s fifth-largest exporter, second-largest exporter of agri-food products and eighth-largest foreign investor, our country occupies a prominent position in world trade.

Although a small country, the Netherlands punches above its weight in world business and politics. It has a thriving service sector and boasts outstanding achievements in science, engineering and industries like electronics, food, flowers, chemicals and water technology. Where did the Dutch get their attitude for business and innovation? Our country is situated in a low-lying delta at the confluence of three major rivers, so we have always lived in a challenging and risk-laden environment. We readily embrace new ideas and techniques, and we have an ethos of ‘boldly going where no one has gone before’ and making things happen.

One of the new challenges we face today, which also calls for innovation, is creating a sustainable economy. In a circular economy, the Netherlands will deal with its resources in a much smarter way. We will use and consume as little as possible, and maximise the recycling of raw materials. We will develop more durable products and find new, smart ways to produce them. And we will use them more intelligently by sharing and reusing them. In this way we will build a circular economy together.

Going where no one has gone before

Foreword

FOREWORD

By 2050, we aim to make this circular economy a reality in the Nether-lands. By developing cutting-edge, high-tech solutions in labs and clean rooms. By working with nature to optimise water management. And by supporting the start-ups of talented young entrepreneurs. Fostering sustainable economic growth in all these ways will ensure we achieve our objective: a circular economy.

Both at home and abroad, the Dutch welcome the opportunity to meet and work with new business partners. So by way of introduction, we are pleased to present the Netherlands through this new edition of Holland Compared.

Yoka Brandt Secretary-General of the Ministry of Foreign Affairs

AFBEELDING

1110 HOLLAND: WHERE TRADITION AND INNOVATION ARE ONE HOLLAND: WHERE TRADITION AND INNOVATION ARE ONE

1. Holland: where tradition and innovation are one

1312

1. Holland: Where tradition and innovation are one

The Dutch shaped their land, and the land in turn shaped their mind-set and approach to solving tomorrows challenges. Partnership and innovation is in the Dutch DNA, providing them with creative, sustainable solutions in the areas of health, food, water, energy and infrastructure. The Dutch highly value their traditions while keeping an open mind to exploring new opportunities, and embracing new challenges. The Dutch constantly seek collaborations in finding the best possible solution to the problem, going beyond known cultural and technological boundaries.

HOLLAND: WHERE TRADITION AND INNOVATION ARE ONE

In total 17.0 million people live on the relatively small piece of land that is the Netherlands, which makes the country one of the most densely populated in the world. However, population growth is slowing down in the Netherlands, as it is in many other Western countries. This slow-down, together with an increasingly healthy generation aged 65 and above, has resulted in an ageing population.

Source: Statistics Netherlands 2016.

Population by age (2015)

Brake on population growth

1. 0-19 22.7% 2. 20-39 24.5% 3. 40-64 35.1% 4. 65-79 13.4% 5. Older than 79 4.3%

1

23

45


1514

Source: IMD, 2016.

Whether visiting for business or pleasure, the Netherlands is home to a highly pleasant living environment. It currently ranks eighth worldwide in terms of quality of life. Leisure amenities are within easy reach and Dutch cities have much to offer, such as the centuries-old architecture of Amsterdam, Delft, Groningen and Leiden as well as cultural activities and world-famous museums such as the Van Gogh Museum and the Hermitage Amsterdam. Housing is also fairly affordable compared to other countries, according to IMD. In addition to the various internation-al schools in the Netherlands, a large and growing number of schools (130 in 2015) teach in two languages (mostly Dutch and English). Finally, the Dutch healthcare system officially ranks among the world’s best. According to the Commonwealth Fund, the Dutch healthcare system is the best in the world in terms of quality, access, efficiency, funding and the healthy lives, on average, of the general population.

Attractive place to live

Quality of life (2015)

9.73

9.31

9.24

9.51

9.57

9.25

9.21

9.17

9.36

9.38

Switzerland

Austria

Norway

New Zealand

Canada

Denmark

Australia

Netherlands

Germany

Sweden


Global Competitiveness Index (2016-2017)

Source: World Economic Forum, 2016.

According to a number of international league tables published by renowned institutes such as IMD and the World Economic Forum, the Netherlands is among the world leaders when it comes to favourable business climate. There are numerous factors that form the basis for the favourable position that the Netherlands enjoys, including its open and international outlook, its strategic location in Europe, its well-educated, multilingual and flexible workforce, and the high level of labour productivity. The competitive fiscal climate, top-level physical and technological infrastructure and quality of life are key contributors to the country’s success. The Netherlands is thus an attractive location for companies seeking a European base and for those wishing to invest.

One of the most competitive economies

5.81

5.53

5.48

5.7

5.72

5.49

5.48

5.44

5.57

5.57

Switzerland

Singapore

United States

Netherlands

Germany

Sweden

United Kingdom

Japan

Hong Kong, China

Finland


AFBEELDING

1716 MACRO INDICATORS

Source: HH

MACRO INDICATORS

2. Macro Indicators

GDP in the EU (2015)


2. Macro Indicators

The impact of the downturn in world trade as a result of the global economic crisis was immediately tangible in the Netherlands with its buoyant and open economy. However, the Netherlands continues to perform well on many fronts. For example, the Netherlands has one of the highest incomes per capita in the EU, Rotterdam is still Europe’s largest port and the Netherland’s high-quality ICT infrastructure ensures that the country remains the gateway to Europe.

MACRO INDICATORS

In terms of surface area and population size, the Netherlands is not a particularly large country and ranks 134th and 65th worldwide. In stark contrast, the country’s economic performance ranks much higher. The size of the economy, or the Gross Domestic Product (GDP), is 679 billion Euros in 2015. The Netherlands has the seventeenth-largest economy in the world and the sixth-largest in the European Union.

Millions of euros. Source: Eurostat, 2016.

Sixth-largest EU economy

3,025,000

678,572

427,737

2,183,631

2,568,941

444,235

409,407

337,162

1,081,190

1,636,372

Germany

United Kingdom

France

Italy

Spain

Netherlands

Sweden

Poland

Belgium

Austria

2120

98,328.5

MACRO INDICATORS

High average income

The Netherlands is one of the wealthiest nations in the European Union. The Dutch GDP per person employed is 47,146 US dollars (figure 2015, The Conference Board, 2015), in Luxembourg 50,499 US dollars and 42,123 in Germany. Compared with other, similar economies outside the European Union, such as that of Canada (50,488 US dollars), the Netherlands also performs as well. The high average income of the Dutch is the result of high labour productivity and a high level of labour participation.

US dollars, corrected for Purchasing Power Parity. Source: OECD, 2015.

GDP per capita (2014)

46,171.4

44,985.5

54,639.9

57,246.3

45,152.5

44,889.1

36,236.9

47,634.8

47,795.8

Luxembourg

Switzerland

United States

Ireland

Netherlands

Austria

Sweden

Germany

Denmark

Eu-28

MACRO INDICATORS

High productivity per hour

The working population in the Netherlands is highly educated, employ-ees have an international outlook, and many speak more than one foreign language. This high level of education and the strong economic structure (enabled by the physical and the knowledge infrastructure, for example) allow employees to be productive. Labour productivity per hour is among the highest in the world. It is noteworthy that the Netherlands has combined this high level of productivity with a high level of labour participation, also among semi-skilled and unskilled workers.

US dollars. Source: The Conference Board, 2015.

GDP per hour, corrected for purchasing power parity (2015)

Belgium

United States

Netherlands

Ireland

Germany

France

Denmark

Switzerland

Sweden

Austria

67

64

61

65

67

63

60

56

64

65


Compared to many other EU Member States, the Netherlands has a highly open economy, which is why the country was hit hard by the sharp downturn in world trade in 2008 and 2009. When considered over a longer period of time, the Netherlands shows reasonable economic growth compared to other prosperous EU Member States and the US. This is a good performance for a highly developed economy with a high standard of living (see also GDP per capita). The structural reforms that have been implemented in areas such as the labour market and the social security system, have created conditions for potentially healthy economic growth that offers room for investments in knowledge and innovation, for example, so that the Netherlands will remain a prosper-ous, sustainable and enterprising nation.

Source: OECD, 2016.

Growth in GDP in % (2007-2015)

Prosperous, sustainable and enterprising

1.6

1.0

0.7

1.3

1.4

0.9

0.4

-0.1

1.1

1.2

Switzerland

Sweden

United States

Germany

United Kingdom

Belgium

Austria

Netherlands

Euro area

Denmark

MACRO INDICATORS

Moderate inflation

The Netherlands enjoys a good reputation in monetary terms. Long before the introduction of the euro, price rises in the Netherlands were at a moderate level, thanks to sound monetary policies on the part of DNB (the Dutch Central Bank). The product and labour markets also operate relatively well, which helps to moderate price increases. According to the IMD (2016), the Netherlands ranks fifth worldwide in the fight against unfair competition.

Average annual price increases as a percentage. Source: OECD, 2016.

Average annual inflation (2007-2015)

0.0

1.6

1.8

1.3

1.3

1.6

2.0

2.5

1.5

1.3

Switzerland

Euro area

Germany

Netherlands

Luxembourg

Belgium

United States

Denmark

Austria

United Kingdom


High labour participation rateIn the period 1990-2015, the level of employment in the Netherlands has increased by 35% (in persons, 23% in labour years). The strong growth in jobs is largely due to the structural economic reforms that have been implemented. The relative stability of the labour market - there are relatively few strikes in the Netherlands - can also be attributed to maintaining a favourable business climate. Thanks to the firm growth in employment, a large proportion of the potential working population is employed. Indeed, the proportion is considerably greater than the average of the OECD- and Euro–area countries (member states of the EU that use the Euro as their currency).

Source: OECD, 2016.

Employment rates (2015)

80.2

73.2

68.7

74.1

75.5

71.1

68.7

66.3

73.5

74.0

Switzerland

Sweden

Netherlands

Germany

Denmark

United Kingdom

Austria

Finland

United States

OECD-countries

MACRO INDICATORS

Many part-time employees

A relatively high proportion of Dutch people work part-time. This is often a deliberate decision, allowing employees to combine work with caring for their family. From an international perspective, the number of people - and particularly women - in the Netherlands who work part-time is high: nearly 75% of all Dutch part-time workers are women. Nevertheless, the average working week for full-time employees is more or less on a par with most other Eurozone countries. The same applies to the number of hours worked in a year by full-time employees.

Measured as a percentage of employment as a whole. Source: OECD, 2016.

Part-time work (2015)

38.5

21.0

18.7

24.0

26.8

20.0

18.2

14.9

22.4

23.3

Netherlands

Switzerland

United Kingdom

Ireland

Germany

Austria

Denmark

Italy

Belgium

Luxembourg

26 MACRO INDICATORS

Relatively low unemployment The rate of unemployment in the Netherlands is one of the lowest in Europe. From 2007 to 2015, an average of 5.5% of the potential working population was unemployed, while the corresponding rate in the euro countries was 10.0%. As a result of the crisis the unemployment in the Netherlands increased. In September 2016 it amounted to 5.7% (Eurostat, 2016), compared to an average of 10.0% in the euro countries. Moreover, youth unemployment is also still low in the Netherlands. In September 2016, the portion of Holland’s potential working population aged under-25 that was unemployed amounted to 10.5%. In the euro countries, the average was 20.3%.

Measured as a percentage of the working population. Source: OECD, 2016.

Average unemployment (2007-2015)

Switzerland

Austria

Netherlands

Denmark

Germany

United Kingdom

United States

Sweden

Belgium

Euro area

4.1

6.9

7.6

5.5

5.1

7.2

7.9

10.0

6.3

6.2

27MACRO INDICATORS

Source: Brainport Summerschool Eindhoven / photo Bram Saeys

AFBEELDING

2928 TRADE AND FOREIGN INVESTMENT

Source: KLM Dutcch Royal Airlines

TRADE AND FOREIGN INVESTMENT

3. Trade and Foreign Investment

3130

3. Trade and Foreign Investment

The Netherlands plays a prominent role in the world economy due to its exports, imports, attracting foreign investors, and investments abroad. Its favourable location in relation to the European hinterland and its world-class infrastructure – such as the Port of Rotterdam and Schiphol Airport – have helped the Netherlands become an important distribution centre.


Open economy

The Netherlands has traditionally always had an open economy and the level of trade with other countries is very significant. According to research carried out by the Netherlands Bureau for Economic Policy Analysis, the Netherlands earns some 33% of its income from the export of goods and services. In 2015, the value of exports was 81.8% of the Netherlands’ GDP.

Measured as a percentage of GDP. Source: CPB, 2016.

Dutch exports of goods and services as a proportion of GDP in %

1970

1975

1980

1985

1995

2000

2005

2015

62.1

70.1

44.8

56.1

69.6

81.8

52.3

49.8


Top 10 exporters of goods 2015

2,281,856

526,901

498,558

1,331,194

1,503,870

506,130

465,922

458,751

625,025

567,700

14.0

3.2

3.1

8.2

9.2

3.1

2.9

2.8

3.8

3.5

China

United States

Germany

Japan

Netherlands

South Korea

France

Hong Kong, China

United Kingdom

Italy

Millions of US dollars Share in world exports (%)

3332

As the fifth-largest exporter of goods in the world, the Netherlands occupies a prominent position when it comes to world trade. In 2015, the Netherlands exported goods worth a total of almost 668 billion US dollars, which is about 3.5% of the world’s total exports. The Netherlands is also a significant exporter of commercial services - exports of commercial services amounted to 180 billion US dollars (162 billion Euros) in 2015, which placed the country sixth in the world rankings.

Source: International Trade Organisation, 2016.

World’s fifth-largest exporter of goods


Source: World Trade Organisation, 2016.

Strong in agri-food productionThe Netherlands is the world’s second-largest exporter of agri-food products. For decades, the Dutch agriculture sector has succeeded in maintaining its lead over international competitors through continual investment in innovation in agri-food value chains. The Netherlands is a hotbed of R&D in the area of agri-food, due largely to the excellent knowledge infrastructure and close collaborations between knowledge institutes, government and the private sector, the so-called “golden triangle”. Key R&D centres include Wageningen University and Research Centre (WUR), the Top Institute Food & Nutrition and the public-private innovation program FND+. Some 12 out of the 40 largest Food & Beverage companies in the world have R&D facilities located in the Netherlands. WUR is the foremost university in Europe in the field of agriculture, and second in the world, according to the Higher Education Evaluation & Accreditation Council of Taiwan.

160,797

86,422

95,358

80,000

68,925

10.3

5.5

6.1

5.1

4.4

United States

Netherlands

Germany

Brazil

France


Top 5 exporters of agricultural products (2015)


2,306,822

572,693

506,972

1,056,341

1,681,671

547,568

436,548

418,801

629,229

626,083

14.0

3.5

3.1

6.4

10.2

3.3

2.6

2.5

3.8

3.8

United States

China

Germany

United Kingdom

Japan

France

Hong Kong, China

Netherlands

South Korea

Canada


3534

Major importer of goods and services

Source: International Trade Organisation, 2016.

Top 10 importers of goods (2015)

As well as being a major exporter, the Netherlands also imports large quantities of goods: 507 billion-US-dollars-worth in 2015. With a 3.1% share of the global total, the country is the eight-largest importer of goods in the world. The Netherlands is also a significant importer of commercial services - imports of commercial services amounted to 157 billion US dollars (118 billion Euros) in 2014, which placed the Nether-lands seventh in the world rankings.


Most significant trading partner: Western Europe

Geographical destination of Dutch exports (2015)

Values in billions of euros. Source: Statistics Netherlands, 2016.

The role of the Netherlands as a key distribution location is also indicated by the volume of import and export activities. Almost 79% of Dutch exports remain within Europe, especially Western Europe. Germany is easily the Netherlands’ most significant trading partner, followed by Belgium, the United Kingdom and France.


1. Europe 329.5 2. Africa 14.23. North America 21.24. Middle and South America 10.2 5. Near and Far East 13.46. Asia 34.47. Oceania 2.7

1

2

3

45

6 7

3736

Gateway to Europe


Geographical origin of Dutch imports (2015)

The Netherlands has become a key hub for distribution in Europe because of its favourable location in relation to the European hinterland and the country’s world-class air and sea ports such as the Port of Rotterdam (Europort) and Amsterdam Airport Schiphol. The Netherlands is home to more distribution centres than anywhere else in Europe and has the largest inland shipping fleet in Europe.


1. Europe 231.92. Africa 11.53. North America 34.34. Middle and South America 11.65. Near and Far East 9.86. Asia 77.57. Oceania 1.4

7

1

2

3

4

6

5

Dutch paints add a touch of colour to the worldThe Netherlands is the second-largest exporter of agricultural products worldwide, after the United States. Horticulture is by far the most impor-tant segment within the agricultural sector. Other significant Dutch exports include chemical products (e.g. Sikkens paint), machinery (e.g. ASML lithography systems) and vehicles (DAF trucks and Scania trucks). The Netherlands is also a well-known exporter of high-quality aerospace components and systems (Fokker), ships (IHC Merwede), yachts (Royal Van Lent Shipyard) and busses and car parts (VDL Group).


Composition of Dutch exports (2015)


1. Food and livestock 56.42. Drinks and tobacco 6.1 13. Non-edible resources 19.84. Mineral fuels and oils 57.05. Oils and fats of animal and plant

origin 3.56. Chemical products 78.27. Manufactured goods 36.9 8. Machinery and transportation

devices 119.09. Other manufactured goods 45.910. Others 2.7

1

2

3

4

5

67

8

910

3938

Biggest trading partner: GermanyIn 2015, 17.2% of all imports into the Netherlands originated in Germany. Almost half of all products purchased by the Netherlands in Germany were related to chemical products and machinery. Of all of the cars imported into the Netherlands, more than 90% came from Europe, particularly Belgium, France and Germany. Belgium (9.8% of total imports of goods) and China (9.1%) and were respectively second and third Dutch import partner.


Composition of Dutch imports (2015)


1. Food and livestock 37.2 2. Beverages and tobacco 4.13. Non-edible resources 13.74. Mineral fuels and oils 64.25. Oils and fats of animal and plant origin 4.06. Chemical products 53.77. Manufactured goods 36.98. Machinery and transportation

devices 115.69. Other manufactured goods 47.710. Others 1.0

12

3

4

5

6

7

8

910

Seventh-largest foreign investor in the world Dutch businesses are truly international in their orientation. Dutch-based multinationals, such as AkzoNobel, Heineken, KPN, ING, Philips, Rabobank, Unilever and Shell have made substantial foreign invest-ments in the past. The total amount of Dutch investments in other countries is considerable. In late 2015, investments overseas totaled in excess of 1,074 billion US dollars, making the country the ninth-largest foreign investor in the world. According to the Dutch central Bank (DNB) Dutch investment amounted 1,019 billion Euros in 2015 (DNB, 2016).

Most important foreign investors in the world, in billions of US dollars. Source: UNCTAD 2016.

Foreign investors in the world (2015)

United States

China (incl. Hong Kong)

Germany

United Kingdom

France

Japan

Switzerland

Canada

Netherlands

Ireland

1,583

1,227

5,983

1,314

1,138

1,078

1,074

793

1,812

2,496


4140

In 2015, foreign companies made inward direct investments worth 707 billion US dollars. As a result, the Netherlands is the world’s ninth-largest recipient of foreign investment. In 2015 inward Dutch FDI stock amounted to 667 billion Euros or 88.3% of the Netherlands’ GDP (DNB, 2016). Foreign investors provide 15% of Dutch employment in the private sector (935,310 jobs).It is remarkable that a small country such as the Netherlands attracts so much foreign investment. In all, more than 6,300 foreign companies have established over 8,110 operations in the Netherlands. Among the many prominent international companies that have taken advantage of NFIA (the Netherlands Foreign Investment Agency) services as they located their operations in the Netherlands, are North American companies like Abbott Laboratories, Boeing, Bombardier, Cisco Systems, Dow, Eastman Chemical, Heinz, Medtronic, NCR Corporation and Reebok. They also include European companies such as Bosch, Danone, Siemens and RWE. Additionally, NFIA assisted a large number of companies from Asia and the Middle East in their location selection, companies such as Astellas, BenQ, Daewoo, Fujifilm, Giant, Hitachi, Huawei, ICBC, LG Electronics, SABIC, Samsung, Saudi Aramco, Tata Consultancy Services, Teijin and Yakult.

Attractive for inward foreign investments

Stocks, in billions of US dollars. Source: UNCTAD, 2016.

Main recipients of foreign investment (2015)

United StatesChina (incl. Hong Kong)

United KingdomGermanySingaporeSwitzerlandFranceCanadaNetherlandsAustralia

1,121

833

5,588

978

772

756

707

537

1,457

2,794


Foreign Investors in the NetherlandsWhat companies say about the Netherlands

Strategic location“Opening a base at Schiphol is an important strategic move for easyJet. easyJet is already the second largest airline at Amsterdam - one of Europe’s leading airports serving a large and growing aviation market with strong passenger demand both to and from the Dutch capital.”easyJet (UK) Digital Gateway“Now, this is just the European Headquarters, but it is a matter of time before this office will serve as the headquarters for Africa and the Middle East as well.”Netflix (USA) Superior logistics and technology infrastructure“Aside from the great infrastructure and the Netherlands excellent location in Europe, the Netherlands also appeals to us because of developments in the fields of smart cities, smart environments, and smart mobility.”Huawei (China)

investinholland.com


AFBEELDING

4342 HOLLAND DIGITAL GATEWAY HOLLAND DIGITAL GATEWAY

4. Holland Digital Gateway

44 HOLLAND DIGITAL GATEWAY 45

4. Holland Digital Gateway

The Netherlands is a leading ICT innovator and a digital gateway to Europe. It has strong ICT infrastructure and an open innovation model that leads to high-level research. Moreover, the Dutch are keenly focused on cyber security and have developed vaarious centres of expertise such as The Hague Security Delta. The Netherlands plays a key role in global Internet traffic. About a third of Europe’s Internet traffic with the US goes via the Amsterdam Internet Exchange. The quality of ICT infrastructure and security in The Netherlands makes it an attractive location for foreign investors: 25% are ICT related.

HOLLAND DIGITAL GATEWAY

4746

• The Netherlands are an international internet hub. It has the most competitive internet market and the second highest online connec-tivity in the world: 96% of households are connected to (broadband) internet compared to the European average of 78%.

• ICT works through all the top sectors and every other sector as well. Big data, cybersecurity as safe internet, and open access are big issues for the Team ICT. In the Kennis- en Innovatie Agenda ICT 2016-2020, are the challenges and solutions for the coming develop-ments on these ICT issues. NWO, TNO and the ministry of Economic Affairs has committed themselves to this Agenda to the amount of 40 billion euros in the coming years in the programme Commit2Data.

• The Dutch are active internet users: 91% of Dutch aged 16-74 compared to average 75% of Europeans in the same age group. 75% of Dutch between 16-74 years have basic ICT skills. The European average is 59%.

• Nearly every business in The Netherlands uses internet to do their work. According to 2016 Statistics it is closer to 100% usage, and of that, 98% is done with a fixed broadband connection. Also, 65% of the mobile phone users have mobile internet as a part of their subscrip-tion.

• As a result, a third main-port of large economic importance has come into being: the digital hub. This hub has created 140,000 jobs (Research by Deloitte). In comparison, Schiphol airport has 166,000 jobs and the Port of Rotterdam, 184,000.

• Media and entertainment have become digital and on-demand, with an abundance of choice for consumers, made possible by massive digital infrastructure.

The Dutch and ICT

Strong in innovation, security and connectivity

HOLLAND DIGITAL GATEWAY HOLLAND DIGITAL GATEWAY

• Almost everyone (86% in general and 97% of all aged 20-29) has a smartphone and is connected everywhere at anytime. The smart-phone has become the most personal device people have.

Twente Childeren and Science / source: University of Twente / photo: Gijs van Ouwerkerk

4948

Most advanced ICT economies (2015)

Singapore

Finland

Sweden

Netherlands

Norway

Switzerlands

United States

United Kingdom

Luxembourg

Japan

5.80

5.70

6.00

5.80

5.60

5.60

5.60

5.60

5.80

6.00

Source: World Economic Forum, 2015.

Everyone’s into ICT Research done in 2015 by the WEF (“Global IT Report 2015”) into network readiness, awarded Holland with an excellent score: 4th place (in 2013 and 2014) in a list of 143 countries. The WEF-Networked Readiness Index (NRI) is one of the most comprehensive and authoritative assessments of the impact of ICT on competitiveness of nations and the well-being of their citizens. The NRI assesses the preparedness of an economy to fully leverage ICT in terms of: (1) ICT infrastructure, cost of access and the presence of the necessary skills to ensure an optimal use; (2) Uptake and use of ICT among govern-ments, business and individuals; (3) Business and innovation environment, and the political and regulatory framework; (4) Economic and social impacts accruing from ICT., And, according to the International Telecommu-nication Union, the Netherlands ranks 7th among the world’s most advanced ICT economies, above countries such as Japan and the United Kingdom. ITU’s ICT Development Index ranks 166 countries according to their level of ICT access, use and skills.

HOLLAND DIGITAL GATEWAY HOLLAND DIGITAL GATEWAY

50

Number of broadband connections (2015)

Switzerland

Denmark

Netherlands

France

South Korea

Norway

United Kingdom

Iceland

Germany

Belgium

40.4

39.4

51.9

39.6

37.9

37.7

37.6

36.8

41.3

42.4

Measured per 100 inhabitants. Source: OECD, 2016.

In December 2015, the Netherlands had the third-highest number of broadband connections per 100 inhabitants in the world. Almost every household in the Netherlands is served by a cable or DSL connection. With the world’s second-largest digital data distributor, the Amsterdam Internet Exchange (AMS-IX), the Netherlands also has an outstanding data connection network, which is essential for businesses such as banks, insurers, Internet-based companies and computer and advertising companies.

Leading the field in broadband

HOLLAND DIGITAL GATEWAY 51HOLLAND DIGITAL GATEWAY

Source: Istock

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5352 TOP SECTORS IN FOCUS

Floating Greenhouses at Flora Holland/Naaldwijk

TOP SECTORS IN FOCUS

5. Top Sectors in Focus

54 TOP SECTORS IN FOCUS 55

5. Top Sectors in Focus

In its economic policy, the Dutch government isfocussing on nine business sectors that are key to Holland’s international trade and investment. These are sectors that are leading the way in innovation and sustainability, collaborating with Holland’s knowledge institutes on world-class research and development. Expertise and products from these Dutch sectors is on demand around the world. Together, these sectors are the drivers of the Dutch economy.


56

Agriculture & Food Sector

World-leading supplier of agri-food products


• For edible vegetables Holland is second in world exports. Only China is a greater exporter for vegetables. The Netherlands is the fourth largest exporter for fruits. Only the USA, Spain and Chile export more.

• The total value of the Dutch agricultural exports was 82.4 billion euros in 2015. Germany is the single largest consumer of Dutch agricultural goods (with 11.1 billion euros in 2015).

• Three out of the world’s top-25 food and beverage companies in 2015 are settled in The Netherlands.

• NIZO food research is a leading global center in proteins, bacteria, and processing. It is an independent company and one of the most advanced contract research centers in the world. “The latest food technologies are brought to life in our own food grade processing plant.”

• The sales of organic food has grown considerably faster than the regular food-sector.

• The demand for sustainably produced meat is grown in the Netherlands and abroad .

• The top sectors, Agriculture, Horticulture and High tech have developed the theme: “sustainable production of healthy and safe food” within the National Science Agenda (Nationale Wetenschaps Agenda). They have defined eight game changers to beat the challenges for having more sustainable production of food.

More information

Agri-food: www.dutchfoodinnovations.com

57TOP SECTORS IN FOCUS

In 2015 the Netherlands was ranked number one in the world in the export of seed potatoes and fourth in fresh or chilled potatoes source: ITC Trade map

Source: University of Twente / Photo Gijs van Ouwerkerk

58

• Holland is one of Europe’s leading suppliers of chemical products and services.

• The competitiveness of the Dutch chemical industry lies in its internal and inter-company integration. Chemical companies work together on innovation and production, and take advantage of regional clustering.

• Holland is also home to world-class R&D institutes for fundamental and applied research such as TNO, Delft University, Twente University, Wageningen University and Eindhoven University. Some 1.25% of the turnover goes toward internal R&D

• The fine chemicals segment was the market’s most lucrative in 2015, with a total revenue of $291.2bn, equivalent to 31.1% of the market’s overall value.

• Within the strong chemical community, the Dutch have formalized and structured the approach to co-operation. This is done through formal, long-term public-private partnerships (such as BE-Basic, the Institute for Sustainable Process Technology and the Dutch Polymer Institute) as well as through ‘open innovation’ in so called Centres for Open Chemical Innovation (COCI). The five COCIs are: 1.Chemelot 2. the Green Chemistry Campus 3. Plant One 4. Biotech Campus 5. Green Polymer Application Valley.

• The goal for 2030 is to be in the top-4 of the Europe chemical sector.• In the area of advanced materials (polymers, composites, etc.), the

Netherlands consistently punches above its weight, producing world-renowned innovations in materials such as Twaron, Dyneema and Glare, as well as the folding tires for the automotive industry.

More information

Chemical Industry: www.vnci.nl/english

Chemical SectorChemical portal to Europe

TOP SECTORS IN FOCUS 59TOP SECTORS IN FOCUS

6160

Creative Industries

Masters in architecture, design, fashion, gaming and electronic music


• The Dutch creative industry ranks among the world’s top 10 for trade, jobs and brands. Holland’s creative industry influences innovation in other sectors, like health, security and energy. The sector also creates solutions for environmental challenges such as plastic pollution in oceans and new ways to build cars.

• Dutch architects are commissioned to design prestigious buildings around the world, such as the Mercedes Benz Museum in Stuttgart, the CCTV Headquarters in Beijing and Battery Park in New York. Renowned Dutch architects/agencies include Rem Koolhaas (OMA), Francine Houben (Mecanoo), Ben van Berkel and Caroline Bos (UNStudio).

Source: Flickr / photo: Stefan Ijzerman

• Dutch fashion designers with international acclaim are Viktor & Rolf, Spijkers and Spijkers, Iris van Herpen, Sjaak Hullekes and Studio Jux. World-famous Dutch fashion brands include G-Star, Sandwich, Gsus and Supertrash.

• The gaming industry is experiencing an increase in the procedures required in order to have serious games validated. The validation of a game becomes time consuming with too many procedures and becomes a threat to new game developed , a problem when trying to stay ahead of the competition.

• TKI CLICKNL, the innovative consortium for the creative industry, has accomplished more private equity is participated in innovative and development partnerships in the sector. More than 400 private partners had been part of research or innovative projects.

• The Creative sector works together with the top sector, Energy in two programs: Create energy and the Green deal smart energy cities.

• The Creative sector iIn cooperation with the top sector, High tech, works on the program Field Lab smart industry.

• Six Dutch DJ’s: Martin Garrix, Tiësto, Armin van Buuren, Hardwell, Afrojack and Camiel Daamen are in the top50 DJ list of DJguide.nl

More information

Creative Industry: www.creativeholland.com/en


Photo: Jorrit LousbergSolar panels on the roof of the Arena, Amsterdam

6362

Energy SectorInnovative, sustainable energy solutions


• The Netherlands distribution network for gas is the densest in Europe and of a very high standard. The reliability is 99,995%. In 2013 Dutch households have gone without electricity for 23 minutes and gas for 1 minute due to breakdowns.

• 7.6 million tons of municipal waste is converted in thirteen efficient and clean waste incinerators to power, heat and reusable resources from the ashes.

• Holland has an international reputation for research in renewable energy, for instance, in the field of solar energy, with institutes such as FOM and ECN, as well as various universities. The Dutch team from Delft University of Technology has won the World Solar Challenge, the

biennial competition for solar cars, in 2001, 2003, 2005, 2007 and 2013, 2014 and 2015 (NUNA 8). In 2016 the solar team won again with the NUNA 8S and has set a new world record by driving more than 4700 km in a solar car.

• The Dutch have leading expertise in offshore wind energy, co-com-bustion of biomass in coal-fired power plants, pretreatment methods of biomass, the use of landfill gas, and the use of heat pumps combined with heat and cold storage. Due to the FLOW program Dutch companies in the offshore wind park-industry have taken a leading role in the international market for wind-energy.

• For electric transport and charging of batteries, charge-stations for cars is expanding throughout the Netherlands. A good example is the Snellaadstation on the highway A2 (called Power by the sun) where sunlight is transformed into energy; what’s not used for charging electric cars is stored for later use.

• The Netherlands is establishing itself as leader in green gas. ‘Green gas’ technology, the gasification of biomass, has been patented by Dutch energy company ECN. Due to higher costs for biomass and lower pricing for the electricity of warmth from the biomass is the market less booming business than a few years ago. Driving on bio-LNG is an opportunity for the energy sector and subsidy for bio gas is still necessary.

• The five oil refineries in the port of Rotterdam form the core of the petrochemical cluster in the port area. The oil refineries manufacture products such as gasoline, diesel, kerosene, heating oil and feed-stock for the chemical industry. Rotterdam makes up one of the three largest fuel hubs in the world, next to Antwerp and Gelsen-kirchen. In 2015 the total production for mineral oils is 89.1 billion tons, and crude oil 103.1 billion tons.

More information

Energy: www.cleantechholland.com


6564

• Holland’s high-tech sector is a world leader in the development of new technologies and materials for use in communication systems, aircraft and automobiles, medical devices, energy generation and semiconductor production.

• Dutch companies invented WiFi, the CD and the DVD. Philips came with Blu-ray discs. Bluetooth was invented by Dutchman Jaap Haartsen. And, high-tech equipment from Dutch companies is used in 90% of all silicon chips produced worldwide.

• The Netherlands is also world leader in designing, developing and making high-tech equipment and Micro/Nano components. Characteristic features of this equipment are: highly intelligent embedded systems, software, sensors; very precise Nano electronics, high precision manufacturing, and highly efficient mechatronics and smart electronics.

• The slow export growth can be compensated through faster, better and more applicable innovative ideas and products. Companies can evolve to a more circular business model.

• Currently digital manufacturing is experiencing a big revolution in the high-tech and manufacturing industries. From 3D-printers to the internet of things, cloud computing and big data to smart robots, these will change the way of manufacturing in the future.

• More than 600 SME’ers are involved with the HTSM roadmaps. These companies deliver financial support and 30% are partners in public-private partnership model -projects within the TKI HTSM.

• Holland High-tech branding is a successful formula for promoting and exporting international research cooperation.

• The top sector HTSM plays a major part in European innovative programs like JTI ECSEL, Eureka-programms ITEA3 and PENTA, and in Horizon2020.

High Tech Sector

New technologies for health, mobility, energy and security


More information

High Tech: www.hollandhigh-tech.nl/int


Source: ASML

Leon Ammerlaan has a pot plant nursery in Pijnacker. The geothermal he uses to inflates his company inflatable structure also provides 470 apartments with energy.

6766

Horticulture Sector

World’s leading supplier of flowers, plants and trees

Photo: Hans Roggen


• The Dutch horticulture sector is a global trendsetter and the undisputed international market leader in flowers, plants, bulbs and propagation material.

• Holland has a 44% share of the worldwide trade in floricultural products, making it the dominant global supplier of flowers and flower products. Some 77% of all flower bulbs traded worldwide come from the Nether-lands, the majority of which are tulips. 40% of the trade in 2015 was cut flowers and flower buds.

• The sector is the number 1 exporter to the world for live trees, plants, bulbs, roots and cut flowers. For cut flowers the competition in export has grown because of Colombia, Kenia, Ecuador and Ethiopia. Italy, Ecuador and Kenia have seen market growth in exports to Russia for cut flowers, this has had a negative impact on the Dutch export growth to Russia in the cut flower-sector.

• Dutch horticultural innovations include intelligent greenhouses that can float on water, moving platforms, robots, innovative lighting, water and waste recycling, and greenhouses that generate more energy than they consume and thus contribute to a reduction in CO2. Office premises in the Netherlands, which are not in use are being transformed into urban agriculture sites, like GreenNest Amsterdam or urban vineyards.

• Worldwide, the Dutch horticulture sector has 6% of all the patent applications on nutrition. SME’s have the most technological innova-tions.

• The new trend in vegetables is the so-called “snack-groente”: little paprika’ s, tomatoes or cucumbers. This is a growing market, in volume as well in market value. In the vision Greenports 2040 there is a prediction that 50% of all the horticulture companies have one or more international offices. To work together in a chain is one of the options to be future-proof.

• The Dutch greenhouse-sector has an export-rate of 75% and is therefore vulnerable to international value changes. But the market is still growing (1-2% yearly).

More information

Horticulture: http://greenportholland.com (Dutch language)


68

Life Sciences and Health Sector

Helping to advance health worldwide

• The Netherlands ranks 8th worldwide in patent applications for technology and 2nd in patent applications for biotechnology, according to OECD figures.

• Expertise in healthcare infrastructure is characterised by a turn-key plus approach: Dutch companies are able to cover all aspects from hospital design & engineering, financing, waste management, medical equipment etc. while paying special attention to energy efficiency and ‘healing environments’.

• Brain port Eindhoven spends 9 % of the gross national product on R&D. Brain port Eindhoven is the only region in the Netherlands which hits the target of 3%.

• Philips is the world leader in medical imaging and patient monitor-ing; DSM is a biomaterials leader.

• The Dutch public-private partnership model, such as the Netherlands Genomics Initiative (NGI) and the three top institutes (TI Pharma, CTMM and BMM), have set an international standard.

• The top sector had participated in several worldwide export events like the Grüne Woche, Antalya Floriade, PMA VS, Greentrade Fair in Iran, WOP in Dubai and the Innovation Expo in Japan.

• In cooperation with the top sector horticulture, the programme “Energy and CO2” has set the Netherlands circular economy ambition for 2050: the horticulture sector must have a 100% sustainable and economically viable energy-household without any CO2-emissions.

More information

www.health-holland.com/portal


Source: Philips Benelux

70

• According to the World Economic Forum, the quality of the Dutch infrastructure is among the best in the world, reflecting excellent facilities for maritime, air, road and railroad transport, ranked 1st, 4th, 2nd and 7th, respectively in 2015.

• One of the goals of the top sector is to have a number 1 ranking on the World Logistics performance Index in 2020. In 2016 the Nether-lands ranks number 4 in this Index.

• The port of Rotterdam is eighth in the world in terms of tranship-ment volume for overseas transport.

• Dutch inland shipping accounts for 54% of all trade shipping in Western Europe. The Dutch fleet is, with 7,000 vessels, the biggest and most modern in Europe. Seventy-nine percent of all containers transported via inland navigation in the EU-28 countries passes through Dutch territory.

• Foreign companies generate almost 13% of the employment in the Netherlands; 66% has European owners, 23% has owners from the United States.

• From April 2016 the Holland Logistics Library (HLL) is available to the sector. In this online public library you can find information about the Dutch proposition of the logistic sector in comparison with the world market. Professionals from the sector have the maintenance of the databank Holland Logistic Library.

• Top sector Logistic has financial partnership to the Green Deal Zero Emission City-distribution.

More information

www.hollandlogisticslibrary.com

Logistics SectorStrategic gateway to Europe and the world


7372

Water Sector

World leaders in hydraulic engineering, water treatment and shipbuilding

• The Dutch are renowned for their integrated water management and multi-disciplinary approach to balancing social, economic, environ-mental and engineering needs (‘Building with Nature’).

• 40% of the freely accessible market for water management is in Dutch hands.

• The Dutch began using innovative waste water treatment techniques in the 1970s. Some 99.9% of Dutch households have access to clean, entirely chlorine-free drinking water. Additionally, the level of recycling of industrial waste water is high, and this recycled water is of such high quality that it can be used in the food and beverage industries.

• The Dutch maritime cluster comprises 12 subsectors and 12,000 companies, which employ 224,000 employees. The cluster has a strong international focus; 60% of the seagoing ships produced in the Netherlands are destined for export – sustainability standards of the ships are higher each year.

• The Dutch invest heavily in innovation and R&D through public private partnerships. These include renowned institutes such as Deltares, MARIN, Wetsus and KWR Watercycle Research Institute. TNO and large Dutch private firms are also recognised for their water R&D.

• Deltares has introduced the “ Deltagoot” (DeltaFlume). It’s a very great and unique research tool in which waterwaves above 4 metres can be simulated for testing on dikes, dunes and breakwaters before they are be built, allowing for cost-efficiency, futureproof and best design.


• The top sector has the goal of greater export growth. To do that, the sector invests in Dutch projects, like the Markerwadden, a series of islands in the Markermeer creating a “paradise” for water birds, and improving the water quality in the Markermeer.

More information

www.dutchwatersector.com

Source: production hal Damen Shipyards Gorinchem


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7574 HUMAN CAPITAL AND INNOVATION

Source: HH

HUMAN CAPITAL AND INNOVATION

6. Human Capital and Innovation


6. Human Capital and Innovation

Dutch products are ‘typically’ highly innovative. The Netherlands provides solutions to keep rising water levels in check, create islands in the sea and make waterways navigable. Apart from solutions for use in the natural environment, the Dutch also have the knowledge and the skills to develop products such as navigation systems with worldwide appeal (TomTom). This capacity to innovate is evidenced by the large number of patents that are applied for every year, and by the presence of several world-renowned knowledge and research institutes in the Netherlands.

77HUMAN CAPITAL AND INNOVATION


The internationally-oriented working population of the Netherlands is well educated, with many people able to speak more than one foreign language (European and their languages - European Commission, 2014). According to the EF English Proficiency Index 2016 the Netherlands ranks first out of 63 countries. In addition to English, and in comparison with neighbouring countries, a good proportion of the population also speak German and French. Besides, according to the OECD the Dutch labour force is well equipped for the dynamic, fast changing IT-society of the 21e century (OECD Skills Outlook 2013). In comparison to other OECD-countries the Dutch employees have leading positions at literacy proficiency, numeracy proficiency and proficiency in problem solving in technology-rich environments. Moreover, according to the European Commission, the Netherlands has a world-class vocational education and training (VET) system, with built-in mechanisms to adapt to current and future skills needs so that training is more demand-driven.Furthermore, compared to many other EU member states, life-long learning is commonplace in the Netherlands: adults regularly engage in further education in order to continually improve their skills and knowledge levels.

Well-educated working population

Education level: upper secondary education (2015)

Measured as percentage of population (25-64 years old) that has attained upper secondary education. Source: OECD, 2016.

United States

Switzerland

Finland

Germany

Austria

Sweden

Denmark

Ireland

France

Netherlands

87

82

90

85

80

80

77

76

87

88


Singapore

Canada

Estonia

Finland

South Korea

China

Ireland

Germany

Netherlands

New Zealand

523

514

552

519

509

508

507

506

524

524

Dutch schoolchildren are sixth in the EUDutch schoolchildren achieve good scores in the OECD Programme for International Student Assessment (PISA): eighth position within OECD, and sixth place in the EU. The PISA survey is conducted every three years among 500,000 school pupils across 72 countries, and evaluates the capacity of 15-year-old schoolchildren to understand and solve academic problems. According to the OECD this is a valid indicator for the economic potential of a country. PISA 2016 provides a detailed picture of how well schoolchildren all over the world are prepared for a knowledge-based society.

Measured as PISA scores (points). OECD average = 492 Source: OECD, 2016.

PISA Score


Norway

Australia

Switzerland

Denmark

Netherlands

Germany

Ireland

United States

Canada

New Zealand

0.923

0.916

0.944

0.922

0.916

0.915

0.913

0.913

0.930

0.935

Fourth most prosperous country According to the UNDP, the Netherlands is the fourth most prosperous country in the world. In determining ‘prosperity’, the UNDP takes into account a country’s GDP as well as other aspects of human well-being, such as life expectancy, public health, literacy levels and educational standards. The Netherlands ranks fifth out of a total of 188 countries listed in the UNDP index.

Source: United Nations Development Programme, 2015.

Human Development Index (2015)

81HUMAN CAPITAL AND INNOVATION

Source: Rotterdam Image Bank

82

Switzerland

Sweden

United Kingdom

United States

Finland

Singapore

Ireland

Denmark

Netherlands

Germany

61.4

59.16

66.28

59.9

59.03

58.45

58.29

57.94

61.93

63.57

Source: INSEAD-WIPO, 2016.

The Netherlands scores well on the Global Innovation Index (GII) 2016. The GII ranks 128 countries on parameters such as ‘institutions’, ‘human capacity’ and ‘business sophistication’, so as to arrive at a global innovation ranking for each country. The Netherlands scores particularly well on parameters such as ‘knowledge diffusion’, ‘online creativity‘ and ‘creative goods and services’.According to the Innovation Union Scoreboard 2015 (IUS) the Nether-lands ranks fifth in the EU (European Commission/UNU-MERIT, 2015). The IUS distinguishes between 3 main types of indicators (enablers, firm activities and outputs) and 8 innovation dimensions (as human resources, research systems, finance and support, intellectual assets), capturing in total 25 different indicators.

Most innovative countries (2016)

Worldwide Innovation index: fourth position

HUMAN CAPITAL AND INNOVATION 83HUMAN CAPITAL AND INNOVATION

Nuna8 brought the world trophy for the sixth time to Delft. With a total time of 33:26:12 over 3022 km with Solar Team Twente 3 minutes behind. The Bridgesto-ne World Solar Challenge has never been this exciting. The Nuon Solar Team placed itself first on the fourth day and stayed there until the finish.

Source: Nuon Solar Team / Delft University of Technology

8584

Finland

Sweden

Denmark

Austria

Germany

Belgium

France

Netherlands

United Kingdom

Ireland

2.87

2.46

3.17

2.87

2.26

1.97

1.70

1.52

2.99

3.16

Modest R&D expenditure At 2.0% of GDP in 2014, Research & Development expenditure in the Netherlands is modest from an international perspective (EU-average was 2.0% in 2014). However, this can partly be explained by the Dutch sector structure because the services sector, which ‘naturally’ has a low R&D intensity, accounts for a relatively large share of the Dutch economy. Public-private partnerships in scientific research are a major factor, and the Netherlands is ranked sixth worldwide in this area, according to the Netherlands Observatory of Science and Technology (NOWT).

Source: Eurostat, 2016.

R&D expenditure (2014)


Home-grown knowledge multinationals The Dutch economy has a broad and solid base. Leading multinationals with worldwide operations such as AkzoNobel, ASML, DAF Trucks, Heineken, NXP Semiconductors, Philips, Shell and Unilever have their roots in the Nether-lands. Dutch industry includes a large number of innovative and knowl-edge-intensive companies that enjoy a sound reputation the world over and that carry out a great deal of R&D (including the aforementioned multina-tionals). In addition, there are also many other global businesses that conduct R&D activities in the Netherlands, such as Danone, Dow and Yakult.

*Calculated by TW. Source: Technisch Weekblad, 2015.

Top 10 innovative Dutch businesses (2015)

770

132,3

67

475

768

87

64

61,7

262

230

4,404

882

521

1,525

4,038

878

520

232

1,221

1,285

ASML

Royal Philips

KPN

NXP Semiconductors

Royal DSM

DAF Trucks

VDL Groep

Rijk Zwaan

Friesland Campina

Synthon

R&D expenditure (millions of euros) R&D personnel (FTE)


8786

Large base of knowledge and research Dutch universities score relatively highly for teaching and research in a number of international rankings (see: www.vsnu.nl/Focus-areas/Key-objectives/Top- research/TopresearchNew.htm en Dutch Scientists frequently cited). Wagenin-gen University (WUR), for example, is a global leader in green biotechnology, and Leiden University leads the way in the biomedical life sciences. In addition, the Netherlands is home to a significant number of renowned knowledge and research institutes such as ECN and TNO, which play an important role in the government-initiated public-private innovation programmes.

Source: Technisch Weekblad, 2016.

A selection of knowledge and research institutes (2015)

518.4

73.3

47.5

110

138

66.7

46.1

26.4

108

108

2,935

610

595

2,639

435

358

46.1

223

1,019

2,323

TNO

ECN

Deltares

FOM

NLR

KNMI

MESA +

MARIN

J.M. Burgercentrum

TI Food and Nutrition

Budget in millions of euros Personnel in FTE


TNO OrganisationforAppliedScientificResearchECN Energy Research Centre of the NetherlandsESTEC European Space Research and Technology CentreStichting FOM Foundation for the Fundamental Research on MatterDeltares Institute for DeltatechnologyNLR National Aerospace LaboratoryKNMI Royal Netherlands Meteorological InstituteMESA+ Institute for Nanotechnology MARIN Research Institute in Hydrodynamics and Nautical

ResearchCTIT ICT research centre at University of Twente that make

the societies of today and tomorrow smart Brainport Eindhoven Region is a top technology breeding ground for innovation and home to world-class businesses, knowledge institutes and research institutions. The five key target sectors are High Tech Systems & Materials, Food, Automotive, Lifetec and Design. Brainport Eindhoven Region is a powerful innovative player in a European and global context. It accounts for a third of all Dutch private R&D expendi-ture, and is one of Europe’s top three regions in terms of patent density. In 2011 the Intelligent Community Forum declared Brainport the world’s smartest region. In 2012 Fortune magazine suggested that this region could be the new Silicon Valley.

Energy Valley is the energy cluster in the north of the Netherlands. The Energy Valley Region is an incubation zone for clean, reliable and innovative energy. The region is strategically positioned, centrally in the European gas and power grid, and directly at the North sea with excellent harbour facilities for transport of raw materials and offshore wind developments. Companies, knowledge institutes and governments work closely together to create a sustainable energy economy and new green jobs. Currently there are over 3,000 companies en 22,500 employees in the Northern energy cluster.



Dutch scientists frequently cited The citation impact score is a key indicator of scientific quality. The score refers to the number of times a scientist is cited by other scientists. These citations indicate how much they value each other’s work. The global average citation impact score is ‘1’. Dutch scientists are cited above the global average and claim third place in the world. Furthermore, Dutch scientists score highly for joint publications, which is evidence of the international significance of research taking place in the Netherlands.

Source: WTI2, 2015, data processing: Netherlands Enterprise Agency, 2015.

Citation impact (2009-2012)

Denmark

Netherlands

Switzerland

United Kingdom

United States

Ireland

Finland

Norway

Sweden

Belgium

1.5

1.44

1.64

1.49

1.44

1.42

1.37

1.37

1.56

1.6


Refreshing business approachPCT (Patent Cooperation Treaty) patents are patent applications that are registered with the World Intellectual Property Organisation (WIPO). The Netherlands has the second highest (first in the EU) number of patent applications per million inhabitants in the world. Patents are in many cases the result of R&D activities which, if successful, can lead to greater labour productivity and an advantage over foreign competitors. This high score means that Dutch industry is an attractive potential partner - one that is innovative, inviting and dynamic.

*Number of patent applications per million inhabitants. Source: European Intellectual Property Organisation, 2016.

Number of PCT-patent applications (2015)

Switzerland

Netherlands

Sweden

Finland

Denmark

Germany

Austria

Belgium

Japan

France

365

307

873

346

230

180

169

162

392

419

AFBEELDING

9190 INFRASTRUCTURE INFRASTRUCTURE

7. Infrastructure

93INFRASTRUCTURE92 INFRASTRUCTURE

7. Infrastructure

The Netherlands has a number of key logistics hubs such as the Port of Rotterdam and Schiphol Airport, as well as a high penetration of broadband Internet. This provides the country with a sound physical infrastructure and consequently enables it to be a top performer in terms of logistics.

Navigable inland waterways The Netherlands has a good physical infrastructure, with the world-class (main)ports and the navigable inland waterway system being prime examples. The extensive network of inland waterways has excellent connections to the waterways in the rest of Europe. The Netherlands has the best water transport infrastructure in the world. The country also has an extensive road transport network and is second in the world as regards road network density (IMD, 2015). According to IMD (2016), the Dutch energy infrastructure also scores well, taking the seventh place overall.

Harbours, canals, etc. Source: IMD, 2016.

Quality of water transportation (2016)

94 INFRASTRUCTURE

Netherlands

Denmark

Singapore

Hong Kong, China

Finland

Norway

Iceland

Sweden

UAE

Germany

9.26

8.81

9.65

8.87

8.78

8.76

8.59

8.49

9.27

9.31

95INFRASTRUCTURE

Strong in logisticsThe Netherlands’ strong position in terms of logistics is due to the favourable geographic location of the country in the heart of Europe, a sound infrastructure that includes the Port of Rotterdam, the Port of Amsterdam, Amsterdam Airport Schiphol and a sophisticated logistics sector. This is reflected in the World Bank Logistics Performance Index 2016, where the Netherlands is ranked fourth. The Netherlands came out on top in terms of the efficiency and effectiveness of its Customs and other border procedures, the quality of its transport and IT infrastructure for logistics, the ease of use and affordability of its shipping, and the level of professionalism in the Dutch logistics industry.

Source: World Bank, 2016.

Logistics performance index (2016)

Germany

Luxembourg

Sweden

Netherlands

Singapore

Belgium

Austria

United Kingdom

Hong Kong, China

United States

4.19

4.11

4.23

4.14

4.10

4.07

4.07

3.99

4.20

4.22

1,993

1,861

1,621

1,497

60,900

65,700

58,200

75,000

Frankfurt am Main Germany

Paris Charles de Gaulle France

Amsterdam Airport Schiphol Netherlands

London Heathrow United Kingdom

Cargo transport x1,000 tonnes Passenger transport x1,000 passengers

Third-largest airport in EuropeIn 2015 Amsterdam Airport Schiphol was Europe’s fifth-largest airport in terms of passenger numbers and third in cargo volumes. In 2015 the Airport welcomed 58.2 million passengers, processing 1.6 million tonnes of cargo. More than 100 airlines offer direct flights from Schiphol to 295 destinations. This makes Amsterdam Airport Schiphol one of five most important Main Ports (or hubs) in Europe. It is one of the two European home bases of Air France-KLM and the SkyTeam alliance. As an important contributor to the regional economy, Schiphol provides direct employment for around 65,000 people at the airport. The contribution to the national economy is about 26 billion euros, and a total of 290,000 jobs nationwide. Schiphol is also renowned for its inspiring passenger facilities and innovative technical solutions like its extensive baggage handling system. The airport has won over 200 national and international awards since 1980. Recently, Schiphol was awarded Best Airport Western Europe 2014 (SKYTRAX), and Best Airport for Business Travellers 2015. Schiphol houses a museum, which is the first of its kind in the world and features exhibits that include paintings by Dutch masters, and the first airport in the world with a library and an airport park.

Source: Schiphol Group, 2016.

European airport traffic and transport (2015)

96 INFRASTRUCTURE

Largest port in Europe

The port of Rotterdam is the largest port in Europe. The trans-shipment in Rotterdam added up to 466.4 million tons in 2015. The number of contain-ers handled amounted 12.2 million TEUs in 2015. Rotterdam is the largest port in Europe. Businesses often choose to locate in-and-around the Port of Rotterdam because of its strategic location in north-west Europe, depth of its harbours, the many port facilities, and its excellent transport links with the hinterland. An entirely new freight railway route, the Betuwe Line, connects the Port of Rotterdam with the German Ruhr valley. Many companies from America and Asia use Rotterdam as a base for the distribution of their goods throughout Europe. A significant number of large European distribution centres are located in the immediate vicinity of the container terminals, and these ensure that products can be dispatched efficiently to anywhere on the contingent or to overseas destinations, such as the United Kingdom, Scandinavia and the Baltic region. The combined activities of the port account for about 5% of GDP. In other words, five cents out of every euro are earned in the port. More than 90,000 people work directly for the Port of Rotterdam. Work on the ‘Maasvlakte 2’ project is almost completed. This historic land reclamation project has expanded the area of the Port of Rotterdam by 2,000 hectares (20%). Maasvlakte 2 provides Rotterdam with an excellent springboard for the future.

Source: Port of Rotterdam, 2016.

Trans-shipment of goods (2015)

466.4

208.4

137.8

12.2

9.7

8.8

Netherlands Rotterdam

Belgium Antwerp

Germany Hamburg

Trans-shipment (in millions of tonnes) Containers (in millions of TEU)

97INFRASTRUCTURE

AFBEELDING

9998 GOVERNMENT GOVERNMENT

8. Government

100

8. Government

The complex of buildings known as the ‘Binnenhof’ [‘Inner Court’] in The Hague is the seat of the Dutch government, which enjoys a good international reputation and functions effectively. The Netherlands is one of the most stable nations in the world with a competitive fiscal climate. Besides, government finances are relatively healthy.

GOVERNMENT 101

Effective government According to the World Bank, the government of the Netherlands is one of the most effective in the world, thus making it easier for companies to make medium and long-term decisions. The figures for government effectiveness capture the perceptions of the quality of public services; the quality of the civil service and the degree of its independence from political pressures; the quality of policy formulation and implementation; and the credibility of the government’s commitment to such policies.

Source: World Bank, 2016.

Government effectiveness (2015)

Singapore

Switzerland

Norway

Hong Kong, China

New Zealand

Finland

Denmark

Canada

Netherlands

Sweden

1.9

1.8

2.3

1.9

1.8

1.8

1.8

1.8

1.9

2.o

GOVERNMENT

103102

One of the least corrupt countriesAccording to the Transparency International Corruption Perception Index, levels of corruption and nepotism in the Netherlands are among the lowest anywhere in the world. Among the aspects of corruption that were examined were the degree to which people in authority - such as customs officers, police officers, politicians, judges and other officials – misuse their position for personal gain (financial or otherwise). IMD (2016) also concludes that bribery and corruption are rare in the Netherlands: the country ranks fifth worldwide.

Source: Transparency International, 2016.

Corruption perception index (2015)

Denmark

Finland

Sweden

New Zealand

Netherlands

Norway

Switzerland

Singapore

Canada

Germany

89.0

86.0

91,.0

86.0

85.0

83.0

81.0

81.0

89.0

91.0

GOVERNMENT

Moderate level of government debt The Netherlands was able to dramatically reduce its level of government debt in the years preceding the global economic crisis thanks to a stable economy and a reasonably stringent fiscal policy. In 2008, there was even a budget surplus for the third consecutive year. Dutch government debt as a percentage of GDP was higher than the EMU standard of 60% in 2015 (65.1% (CPB, September 2016)), but it was still well below the average for the Euro zone (90.7%) (Eurostat, 2016). According to the CPB – Netherlands Bureau for Economic Policy Analysis – the budget deficit will amount to 1.1% of GDP in 2016 and 0.7% in 2017. The government debt will amount to 63.3% of GDP in 2016 and 61.8% in 2017 (CPB-forecast, September 2016).

Source: Eurostat, 2016.

National debt as a percentage of GDP (2015)

Luxembourg

Denmark

Sweden

Finland

Netherlands

Germany

Austria

United Kingdom

Euro area

Ireland

63.1

71.2

21.4

64.4

86.2

89.2

90.7

93.8

43.4

40.2

GOVERNMENT

105104

Competitive taxation climateThe Netherlands offers a supportive fiscal climate for international companies: a moderate statutory corporate income tax rate of 25% (20% over first 200,000 Euros), a participation exemption, a wide tax treaty network, special measures for highly-skilled expats and certainty in advance of future tax positions — just a few of the features that help multinational companies to thrive in the Netherlands.

Source: IMD, 2016.

Corporate tax rate on profit 2016 (%)

Ireland

Finland

United Kingdom

Switzerland

Denmark

Sweden

Austria

Netherlands

Luxembourg

Germany

21.2

22.0

12.5

22.0

25.0

25.0

29.2

30.2

20.0

20.0

GOVERNMENT

107106 EXPLANATORY NOTES

Explanatory notes regarding this publicationThis publication is intended to provide a concise and representative picture of the state of the Dutch economy. Every attempt has been made to carefully and judiciously select indicators from internationally renowned and reliable sources. In the case of most of the indicators, the Dutch economy has been compared with surrounding countries and the United States, many of which are similar in terms of their economic structures. Comparisons have also been made in a number of cases with other countries, such as with various worldwide rankings.

SOURCES

Amsterdam Airport Schiphol www.schipholgroup.nl

The Conference Board www.conference-board.org

Economist Intelligence Unit www.eiu.com

European Commission www.ec.europa.eu

Eurostat www.epp.eurostat.ec.europa.eu

IMDwww.imd.ch

IMF www.imf.org

INSEAD www.globalinnovationindex.org

Ministry of Foreign Affairswww.government.nl/ministries/bz

Netherlands Bureau for Economic Policy Analysiswww.cpb.nl

The Netherlands Observatory of Science and Technology www.nowt.nl

The Netherlands Organisation for Applied Scientific Researchwww.tno.nl

OECDwww.oecd.org

Port of Rotterdam Authority www.portofrotterdam.com

Social and Cultural Planning Office of the Netherlands www.scp.nl

Statistics Netherlandswww.cbs.nl

Technisch Weekblad www.technischweekblad.nl

Transparency International www.transparency.org

UNCTAD www.unctad.org

United Nations http://comtrade.un.org/

United Nations Development Programme www.hdr.undp.org

World Bankwww.worldbank.org

World Economic Forumwww.weforum.org

World Trade Organization www.wto.org

Sources

109108 INFO

Other sources of information

Ministry of Foreign Affairswww.government.nl/ministries/bz

Statistics Netherlands www.cbs.nl

General information about the Netherlands

More detailed information is available on the websites below, almost all of which include sections in English.

http://www.studyinholland.nl/

Statistics Netherlands www.cbs.nl

Netherlands Bureau for Economic Policy Analysiswww.cpb.nl

Ministry of Social Affairs and Employmentwww.government.nl/ministries/szw

Benelux Office for Intellectual Propertywww.boip.int


Ministry of Economic Affairswww.government.nl/ministries/ez

Association of Universities in the Netherlandswww.vsnu.nl

Netherlands Organization for International Cooperation in Higher Educationwww.nuffic.nl

Netherlands Patent Officewww.agentschapnl.nl/ octrooicentrum

Netherlands Enterprise Agencywww.rvo.nl/innovatie

Trendwatchers for Innovation and Technologywww.rvo.nl/en/nost

Information regarding innovation

Information regarding the labour market and higher education

INFO

Ministry of Economic Affairswww.government.nl/ministries/ez

Netherlands Foreign Investment Agencywww.nfia.nl

Netherlands Enterprise Agency, focus on sustainability, innovation and internationalwww.hollandtradeand invest.comwww.rvo.nl

Ministry of Finance www.government.nl/ministries/fin


Chambers of Commerce www.kvk.nl

Information regarding enterprise (including internationally), investing and partnerships in the Netherlands

Food Tech Hollandwww.foodtechholland.nl

Dutch Federation of Agriculture and Horticulture (LTO)www.lto.nl

Association of the Dutch Chemical Industrywww.vnci.nl

Dutch Design Fashion Architecture Programme (DFA)www.dutchdfa.com

Dutch export platform for Dutch clean tech companieswww.cleantechholland.nl

Energy Research Centre of the Netherlandswww.ecn.nl

Association of Suppliers of Environmental Technologywww.vlm.fme.nl

Holland High Tech Sectorwww.hollandhightech.nl

Plantum (Dutch Association for Plant Propagation Material)www.plantum.nl

Dutch Flower Auctionwww.floraholland.com

Information regarding Top Sectors

110

Imprint 2017 1st Edition

This publication, Holland Compared 1st edition, is published by the Netherlands Enterprise Agency on behalf of the Ministry of Foreign Affairs. For further information please contact the Dutch embassy, consulate or Netherlands Business Support Office in your area, or visit www.hollandtradeandinvest.com to learn even more about Dutch commerce.

Editor-in-ChiefHielke Venema

EditorsRon Hogenboom, Eline van Veen-KunstBryan Nerone

Production coordinatorElles van Egmond

CopyrightArticles may be reprinted or reproduced only with acknowledgement of the source: Holland Compared 2017

No rights may be derived from the contents of this publication.

Photo front: with permission of ReGen Villages / Source: EFFEKT.

Editorial addressHolland ComparedNetherlands Enterprise Agency Intelligence UnitP.O. Box 201052500 EC The HagueThe Netherlands

111

Rotterdam has quite a few skyskrapers. The Maas Tower is 164.75 meters high, the New Orleans 160.50 meters, Montevideo and Delft Gate just over 151 meters. Just across the border in Capelle aan den IJssel, on the other side of the A16, now runs a windmill that is almost as high: 150 meters. The colossus 3 Megawatts provides electricity and saves over 5,000 tonnes of CO2.

Photo: Micha Keijzer

112 [SECTION]

Connect with the Dutch to create smart, sustainable solutions for a more liveable, prosperous and secure world.

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facts and figures, 1st edition 2017 holland compared€¦ · 5.81 5.53 5.48 5.7 5.72 5.49 5.48 5.44...

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