1. The Community Innovation Survey (CIS) collects information about innovative activities carried out in a specific three-year period in the business sector. The target population is the minimum coverage requested, namely total enterprises with 10 employed persons or more.

2. The Survey is conducted in accordance with the Implementing Regulation (EU) 2022/1092 pursuant to the Regulation (EU) 2019/2152 of the European Parliament and of the Council, and the Oslo Manual (2018 edition).

3. The following activities (NACE Rev. 2) are included in the target population:

• Mining and quarrying (NACE B: 05-09);
• Manufacturing (NACE C: 10-33);
• Electricity, gas steam and air conditioning supply (NACE D: 35);
• Water supply; sewerage, waste management and remediation activities (NACE E: 36-39);
• Wholesale trade, except of motor vehicles and motorcycles (NACE 46);
• Transportation and storage (NACE H: 49-53);
• Information and communication (NACE J: 58-63);
• Financial and insurance activities (NACE K: 64-66);
• Architectural and engineering activities; technical testing and analysis (NACE 71);
• Scientific research and development (NACE 72);
• Advertising and market research (NACE 73).

Additional coverage was also conducted for the following non-core activities:

• Agriculture, forestry and fishing (NACE A: 01-03);
• Construction (NACE F: 41-43);
• Wholesale and retail trade and repair of motor vehicles and motorcycles (NACE 45);
• Retail trade, except of motor vehicles and motorcycles (NACE 47);
• Accommodation and food service activities (NACE I: 55-56);
• Real estate activities (NACE L: 68);
• Legal and accounting activities (NACE 69);
• Activities of head offices; management consultancy activities (NACE 70);
• Other professional, scientific and technical activities (NACE 74);
• Veterinary activities (NACE 75);
• Administrative and support service activities (NACE N: 77-82).

4. Enterprises with innovation expenditure by industry and type (table 2):

4.1 Research and Development (R&D) Intramural Expenditure reported (table 2) is collected from the CIS 2022, which due to difference in the coverage of the survey is to be used only for the compilation for the total innovation expenditure for 2022. Actual R&D expenditure for 2022 should be taken from News Release 131/2024 – Research and Development in Malta: 2022.

4.2.1 Other manufacturing includes NACE divisions:

• Manufacture of beverages (NACE 11);
• Manufacture of textiles (NACE 13);
• Manufacture of wearing apparel (NACE 14);
• Manufacture of chemicals and chemical products (NACE 20);
• Manufacture of other non-metallic mineral products (NACE 23);
• Manufacture of motor vehicles, trailers and semi-trailers (NACE 29);
• Manufacture of furniture (NACE 31);
• Other manufacturing (NACE 32);
• Repair and installation of machinery and equipment (NACE 33).

4.2.2. Other non-manufacturing includes NACE divisions:

• Fishing and aquaculture (NACE 3);
• Electricity, gas, steam and air conditioning supply (NACE 35);
• Water collection, treatment and supply (NACE 36);
• Waste collection, treatment and disposal activities; materials recovery (NACE 38);
• Civil engineering (NACE 42);
• Sale of motor vehicles (NACE 45);
• Water transport (NACE 50);
• Air transport (NACE 51);
• Motion picture, video and television programme production, sound recording and music publishing activities (NACE 59);
• Programming and broadcasting activities (NACE 60);
• Real estate activities (NACE 68);
• Other professional, scientific and technical activities (NACE 74);
• Rental and leasing activities (NACE 77);
• Employment activities (NACE 78);
• Travel agency, tour operator reservation service and related activities (NACE 79);
• Services to buildings and landscape activities (NACE 81).

5. Definitions:

•  Total enterprises:
  
  • Enterprises with innovation activity
    
    • Product and/or business process innovation
      
      • Product innovators only
      • Business process innovators only
      • Both product and business process innovation
    • Enterprises with completed, abandoned and/or ongoing innovation activity and/or R&D
  • Non-innovative enterprises
    
    • Enterprises which did not record any innovation activity in the reference years

• A product innovation is a new or improved good or service that differs significantly from the firm’s previous goods or services and which has been implemented on the market. It includes significant changes to the design of a good and digital goods or services while excludes the simple re-sale of new goods and changes of a solely aesthetic nature.
• A business process innovation is a new or improved business process for one or more business functions that differs significantly from the firm’s previous business processes and which has been implemented within the firm.
  
  Business Innovation Expenditure
  
  
• R&D performed in-house is undertaken by the enterprise to create new knowledge or solve scientific or technical problems. This includes current expenditures (i.e.) labour costs and capital expenditures on buildings, machinery, equipment and software specifically for R&D.
• R&D contracted out: The enterprise contracted out R&D to other enterprises (including enterprises in same group) or to public or private research organisations.
• Other innovation expenditure consists of all other activities related to the development of new or significantly improved products and processes. This includes own personnel working on innovation; services, materials, supplies purchased from others for innovation; capital goods for innovation (acquisition of machinery, equipment, software, IPRs, buildings etc.); and other expenditures.

6. More information relating to this news release may be accessed at:

Statistical Concepts
Metadata
Classifications

7. A detailed news release calendar is available online.

8. References to this news release are to be cited appropriately. For guidance on access and re-use of data please visit our dedicated webpage.

9. For further assistance send your request through our online request form.