29 October, 2021
India is increasingly being recognised as a global innovator being in the top 50 innovating countries in the World Intellectual Property Organization (WIPO)’s Global Innovation Index (GII). However, The Economic Survey of the Indian Ministry of Finance published in 2021 shows that the majority of patent applications in India come from non-residents. Are you expecting initiatives from the Indian government to boost national R&D efforts?
You are right, the Indian Government is concerned that Indian residents file only 34% of patents, and foreign companies file the rest. The India economic survey of 2021 published by the Ministry of Finance highlighted this fact to explain that self-reliance and economic growth are linked to accelerating innovation. The Economic Survey also highlighted how China through a 15-year “Medium to Long Term Plan (MLP) for the development of Science and Technology” became an “innovation-oriented society". The Indian Government has in the last ten years taken several initiatives to encourage entrepreneurs, start-ups and small to medium enterprises to focus on innovation. A few schemes floated by the Government to promote innovation are listed below:
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ATAL Innovation Mission – The Atal Innovation Mission (AIM) is a flagship initiative set up by NITI Aayog to promote innovation and entrepreneurship across the length and breadth of the country.
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Ambedkar Social Innovation Incubation Mission (ASIIM) – ASIM is a Venture Capital Fund for a particular group of individuals termed Scheduled Castes (SC) to promote innovation and enterprise among SC students studying in higher educational institutions.
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National Initiative for Development and Harnessing Innovations – National Initiative for Developing and Harnessing Innovations (NIDHI) is an umbrella programme conceived and developed by the Innovation & Entrepreneurship Division, Department of Science & Technology, Government of India, for nurturing ideas and innovations (knowledge-based and technology-driven) into successful start-ups.
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New Gen Innovation and Entrepreneurship Development Centre (New Gen IEDC) – The Department of Science and Technology has initiated this programme. New Gen IEDC has a mission to promote knowledge-based and technology-driven start-ups by harnessing young minds and their innovation potential in an academic environment.
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Software Technology Park (STP) Scheme – This scheme is a 100 percent Export Oriented Scheme for the development and export of computer software, including export of professional services using communication links or physical media.
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Support for International Patent Protection in Electronics & Information Technology (SIP-EIT) – This is a scheme to provide financial support to MSMEs and Technology Start-up units for international patent filing, to encourage further innovation and recognize the value and capabilities of global IP and capture growth opportunities in the ICTE sector.
Also, recently the Indian Government during the COVID phase, realized that India is heavily dependent on imports in specific sectors and needs to attract manufacturing activity. Therefore, to harness innovation, the Government has put together production-linked incentive schemes in industries such as renewable energy, automobiles, telecom, pharmaceuticals, and others to attract investment for setting up manufacturing unitsCu. The incentive-linked plans draw well-known international companies to set up production units in India to manufacture goods for domestic sale and export from India in 13 sectors. The Government of India envisages that with the setting up of these large-scale manufacturing units, employment will increase in technology sectors. There would be more investment in R&D locally which will promote innovation culture.
Recently, Global Innovation Index has ranked India as 46th most innovative economy and India has moved four places in one year. India had attributed its improved performance to the catalyst role played by the Department of Atomic Energy, Science and Technology, Biotechnology and Space. The consistently growing innovation initiatives and rise in the ranking in the innovation index is indicative that the Government is serious about R&D efforts and building an Innovation culture in India.
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Ranjan Narula, Managing Partner, RNA Technology and IP Attorneys
