An advanced technology institute with up to 700 staff will be established if the Government wins a second term, Prime Minister John Key says.
The plan is to double the size of state-owned Industrial Research Limited and turn it into a "high-tech HQ" at a cost of up to $150 million over the next five years.
Mr Key says the Government won't have to borrow to do that and the science sector boost will lead to increased exports and productivity.
"We already have successful companies in this sector, particularly in areas like ICT, biotechnology and medical technology," he said on Thursday when he launched National's science policy.
"We need more of them and we need them to be bigger."
Mr Key says the advanced technology institute will be a natural home for engineering and applied sciences graduates.
"Our brightest and best engineers and scientists will stay here in New Zealand," he said.
The institute will have facilities in Auckland and Christchurch, and will retain the existing Gracefield site in Lower Hutt.
NZN