Transcript Innovation: Indian Experience and Challenges Ahead

Innovation: Indian Initiatives and
Challenges Ahead
R. Kumar
Department of Chemical Engineering
Indian Institute of Science
Bangalore 560 012, India
Pre 1991 Scenario
Command economy (Highly controlled)
Inward looking, limited interaction with global
economy
 Production primarily through imported
technology, controlled, limited capacity
 Sellers market, hardly any competition

Pre 1991 Scenario….
Indigenisation for simple, nonavailable, or
sensitive technologies

Significant success in pesticides & drugs, aided
by patents act 1970, permitting only process
patents
Immediate Impact of
Globalization
Major opportunities because of access to
world markets. However, stringent green
specifications
Industry had to compete with imported
products (Many had to close down)
 Foreign players could invest in both
manufacturing and service sectors

Immediate Impact of Globalization ..
Had to initiate compliance with TRIPS
requirements
 Reverse engineering difficult for patented
products

Compliance with TRIPS
Two amendments to 1970 Patent Act passed
in 1999 and 2002, but Product Patent still
not allowed
Complete compliance including product
patent from January 2005
Third amendment in final stages of expert
scrutiny. To be placed in Winter session.
Compliance with TRIPS …..
Will give policy on Product Patent,
compulsory licensing, Parallel imports, etc
Available Strategies
Purchase contemporary technologies
(Generally not available). If at all available,
conditions may apply
- Territory restrictions
- Available in segments
- Stake holding
- Product swap etc.
Available Strategies …..
Joint ventures (Mixed experience)
Use lower man power cost for enterprises
based on freely available knowledge (IT)
Purchase IPR and develop it
Innovate: Generate IP, protect it,
commercialize it, and market it
Innovate in collaboration with other
industries, Institutions etc
Initiatives: Generate and Protect
IPR
Awareness and Assistance (DST, DBT, UGC,
CSIR, DOD etc. )

Effect on patents from Educational institutions
1995 - 35, 2002 – 315
Innovation as mass movement (National
Innovation Foundation)
CSIR: Special Patent Policy, NIF
Initiatives: Generate and Protect IPR
…..
Concessions to industry having R&D
IP generation through networking (> 50
Programs)
IP generation through Industry – Industry
collaboration
Rewards for IPR
Commercialization of IPR
Bringing innovators & Business together
TIFAC
 Drug Development Board
 DST’s Drug Support Program
– Incubators in Universities, Enabling rules
– GOI’s NMITLI
– Biotech parks
– HRD Ministry’s TDM Initiative

Commercialization of IPR …..
Assistance in commercialization
– TDB
– Venture capital
– Banks including IDBI
Initiatives for New Opportunities
President’s initiative on nano technologies
Golden triangle for traditional systems of
medicine
Sector wise committees for long term
strategies (Pharmaceuticals, Information
technology etc)
Challenges Ahead
Integrating existing initiatives, adding new
ones, and accelerating
Changing mindset from depending on
proven technologies to proving new
technologies
Innovations for Global marketing
collaborate with International players.

Catalysts, solid-state condensation: GE, DuPont, Ciba Geigy,
Oxychem, Exxon, Novartis, Boeing, Praxair etc
Challenges Ahead ……
Feeder startups
Initiative through GB of CEFIPRA
Sector wise long term forecasting along
with Industry’s perspective
Networking
From Science towards Functional Science
Effective, prompt legal system
Make educational system innovation
oriented
Conclusions
India has taken many steps towards
becoming a generator of IPR, and
converting it to economic activity
Some industrial sectors particularly
Pharmaceuticals, Chemical and
Biotechnology, have set up their own R&D
Centers. Others are following suit
Conclusions ….
India also has a significant intellectual
capital, ready to be tapped. But we are still
at the beginning stage. Even then we see
remarkable upsurge in her economic
performance
As she completely integrates in the world’s
economy, both physically and attitudinally,
the results could indeed be spectacular