Innovation Policy And Strategy - Indian Perspective Dr. PARVEEN ARORA DIRECTOR (SC-F), NSTMIS Department of Science & Technology (DST) Government of INDIA [email protected] -0 - OUTLINE ~ Initiatives for Promotion of Innovation – An Overview ~ Globalization of Innovation ~ Challenges ~ Strategies -1 - Initiatives for Promotion of Innovation – An Overview • Examine the policies, institutions and instruments that have shaped the national innovation system (to understand the National specifities) ~ Pre- Independence ~ Post – Independence (after 1947) • Broader definition of Innovation in developing context – to include knowledge its creation and commercialization for “new to world” and absorption and diffusion for “ new to market” -2 - SS&&TT PPOOLLIICCYY -- VVIISSIIOONN ‘ ‘ The Progress of Science its & offspring technology is changing the way man thinks of himself and the world……. Science shall put an end to FIRST PRIME MINISTER OF ‘ INDIA superstition, ritu‘als and dogma. JJAAWWAAHHAARRLLAALL NNEEHHRRUU -3 - DST- Policy making body for S&T SCIENTIFIC PROGRAMME SCIENCE & SCIENTIFIC TECHNOLOGY SERVICES POLICY DEPARTMENT OF SCIENCE & TECHNOLOGY PROFESSIONAL STATUTORY BODIES BOARD INTER-SECTORAL AUTONOMOUS ADVISORY COMMITTEE OF S&T GOVT DEPTTs/ INSTITUTIONS MINISTRIES -4 - Determinants of NSI knowledge support, commercialization of research, • collaborative research, financial support, regulation, IPR and ethical issues etc in the Indian context. –Pre – liberalization ( prior 1991) –Post - liberalization (post 1991) -5 - Innovation policy /Instruments Period Horizontal Vertical Regulatory Policies/Instruments Policies/Instru Framework ments 1947- 1980 SPR(1958), TPS(1993), Drug and IPA (1970) (Science Oriented Cosmetics Act (1940), Industrial Approach) policy( 1948 and 1956) 1980-1995 HGT, Industrial Policy( 1991) NBDB(1983), (Technology Centric Education Policy (1986) DBT(1986) Approach) 1995-2000 DPRP (1994), NIMTLI (2000) NBRI WTO(1995), Patents (Technology Centric Amendment(1999) Approach) 2000 beyond STP(2003), Tepp, NIF GLP Biotechnology Patents Amendment (Systemic Approach to NMCC(2005) Vision(2001), (2002 and 2005) , S&T Innovation) DNBS(2005), Ethical Guidelines SIBRI(2006) -6 - S&T Innovation Initiatives – Focus Pre- Reforms -1991 Post Reforms-1991 R&D incentives focus – generation of Private sector participation in R&D enhanced technologies in the public funded res. Labs for transfer in the industrial sector In-house R&D in industry was to encourage R&D driven business for absorption, adaptation and assimilation. Emphasis on self-reliance – indigenous Collaborative research ; Networked model, PPP tech. development Regulation and restrictions in trade and Ease on restrictions and regulations industrial development Horizontal S&T focus Sectoral focus – DBT, Health research, MoES - pharma, Auto, IT , BT Globalization of innovation - MNCs centers, FDI , M&A , Outsourcing of R&D etc S&T Missions, Science for Societal solutions -7 - India’s Innovative Performance -8 - NATIONAL R&D EXPENDITURE AND ITS PERCENTAGE TO GNP 40000 1.00 35000 0.95 S. 30000 0.90 R P N ( E G R 25000 0.85 F U) O S T E E I DR 20000 0.80 G NO A ER T PC N X 15000 0.75 E E C R D E & 10000 0.70 P R 5000 0.65 0 0.60 90-91 95-96 96-97 97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05 05-06 06-07* 07-08* YEAR R&D Expenditure GNP (%) -9 -