Towards an Indian Innovation Movement

Dr. R. A. Mashelkar

We were one of the most innovative countries in the world. It was basic in our civilization, if we look at the remarkable town planning, the use of standardized burnt brick for building houses including the drainage systems, The dockyard at Lodhal regarded as one of the largest Amercian construction ever, was built by Brown Gates community. The story of zero, the decimal place, value system by Indian goes back to vedic time. Our pioneering efforts in Algebra, Econometric, Geometry were absolutely outstanding. The innovation in medicines for example not only aimed at the cure of disease but took a very holistic view including that of innovation of health and combining that of mind, body and spirit in a very very unique way indeed innovation in surgery including leprotomy, Duetotomy, plastic surgery.

I just want to recall that there is nothing wrong with our genes. I mean, if you really see it, we have led the rest of the world. We led the world but then what happened? There was a period of stagnation in India because of variety of reasons: they included development of highly realistic society, hierarchal approach, irrational subjective thinking built up on superstitions, superstitious ritualism and all these great traditions we have built up over period of time they were allowed to decay and it was in this state of society that India came under colonial domination and therefore at that time we had a big dip. In the colonial British period developing science happened because of the efforts of the large outstanding Indians who worked over 3 quarters of the century prior to Indian independence. It is remarkable by the way that even when India was not independent, there was a glorious period of 20 years where unbelievable work was done, if you look at JC Bose, SN Bose, I mean whole range of people and later Raman, I mean incredible I think these kinds of names have not appeared unfortunately in the post independent India and that’s a great pity, really!

I understand that as somebody has said we have to only think of the future because that is where we are going to spend the rest of our lives, so lets talk about the future. I have no problem on that but that is based on our present and our immediate past and that is where I believe that we have a huge opportunity. I always say that India’s first freedom came in 1947 and we talk about India’s 60 year. I mean there have been more discussions and we say India’s freedom is 60 year old and India is 60 has become kind of a force you know what I would like to say I would like to describe India not of 60 years but India of 6 years. I will explain why India is 16. If 2007 minus 16 is 1991, what happened in 1991? 1991 was the time when we went into our second phase, the economic phase, liberalization opening up. We got freedom to compete. Till that time we did not have freedom to compete. Since we talk about the body which represents the industry, let me be very frank. How did industry operate at that time? They created gums which did not stick but people bought them. They created plug which did not fit but people bought them. They created cars and everything other than the horn, made noise but people bought them because there was no competition. Competition was not allowed. In fact I remember JRD Tata’s statement in February 1978- “if I was allowed to make a car I would have”, Only in 1993 that Ratan Tata was allowed to and you saw what happened. He created Indica and the wheels turned the whole circle in 50 years. 50 years ago because British Model Oxford which was being sold as Indian Ambassador on Indian road and 60 years later it was Indian Indica, sold and treated on London road that would not have happened if 1991 had not allowed him to and I therefore, I believe that this second freedom that we have has created a kind of opportunity that we have referred. I mean if you remember that period July 1991. You remember. There was foreign exchange worth week before and from that we have made 60 – 70 billion dollar plus I do not know what is the latest figure today and we are fourth among the nations in terms of Foreign Exchange growth today.

Today, we applaud Indian industry for going out & acquiring companies abroad. Such things would not have happened if the second freedom had not come. As a matter of fact people should realize this can be the technology freedom that we can have. So 1947 the first freedom was the political freedom, 1991- The second freedom and of course currently we are on the verge of third freedom. Let us see how nation decides and embraces this freedom as we move along. I therefore, believe that this is a right time to think of an Indian Innovation Movement. We can actually look at what we have achieved and realize that we are speaking from the platform of strength together. I met a scientist and he asked me what is one of the easiest things to depend in India I would say India’s science and technology and the reasons is very simple, we have done so much. When one talks about the entire Indian science and technology budget, last year it was around 6 billion $, this is the budget of one company from United States of America say 5 years 6 billion $ and for that we have done so much, whether it is space, whether it is defence, whether it is atomic energy today we are able to design fabricate and launch our satellite not only our own way, but the way that of Germany & Korea a couple of years ago. It is incredible the kind of strength that we have. One of the things that are found about Indian innovators is that when they are challenged they perform.

I remember when the member of science and technology committee during Prime Minister Rajiv Gandhi’s time and I still remember he asked us I think first or second meeting what are we good at and some of us said we are good at this and then he said what did we do with it and I remember at that time the super computers was denied to us and some of us said we can do with super computers hence we require for weather prediction and so on and that is where CDAC was created, Centre for Development of Advanced Computer. 10 million $ at that time 27 crore I still remember and 3 years and we must have delivered it less than 3 years and less than 10 million $. I want to emphasise that because nothing happens in Government in time and the allocated money alright but it was delivered and then came Anupam and Anurag and so and so I still remember there was a headline not known as headline in Washington court there was a big write up and you know what was the title of that write up was “Angry India” – having been angered, having been denied this technology India developed in its own and I often ask why India is not permanently angry because I thing challenges will be delivered. I still remember I came back on 16th November, 1976, 30 years ago 32 K was a big memory at that time and just a month ago you must have seen Tatas developed the fourth fastest computer in the world.

I also believe that one of the factors that was missing because of lack of competition we got innovation in industry is coming in a big way and there are certain sectors of industry of course which we see at the fourth one. One of them is the pharmaceuticals. We had our protective intellectual property raising, we accepted product patterns, not product patents but not so after 01-01-2005 the right to copy is gone now. The right to so called reverse engineer is gone. We must forward engineering and you can see quite clearly the way things are moving on. In the morning I was in Nichole Piramal attending the Scientific Advisory Board Meeting what a brilliant work was happening there. You could see that the Research & Development Centre which have been created almost is outstanding and the young people and the great demand that has been created on structural biology, system biology, medicine, etc it’s the same thing in auto industry you are already aware of whats happening in the market or store. I believe that this will emerge over a period of time. The other part of the innovation in industry that is taking place in India is emerging as a major Global Innovation fact.

In the last count there are more than 300 companies which have set up their R & D centres. General Electric, IBM, Microsoft, Dove, DuPont, Shell you remember they are all here now why are they here you might ask well as Jackal’s put things it very simply I get the highest intellectual capital per $ here, being an engineer you know I like to put in consecutive terms so I said what is this intellectual capital per $, let me calculate it, so I took the debit and credit data which was published 3 years ago and calculated number of scientific for $ which was used, the number of citation that come up for $, the number of pattern that come up for $ and it is incredible you will find if we make the list on the basis of that table India No. 1 , China No. 2 and USA No. 3 should be very clear I think the answer is very clear that if you have a $ and if you want to get the maximum capital where will you invest that is why they are here. I was seeing the general R & D centre during the millennium science lecture about 1½ years ago and I remember out of the 2600 scientist and engineers that they have 700 has come back during the previous. 700 of them; IBM 400 have them and NASSCOM data shows that it goes to 30,000 scientist and engineers have come back in the during last years so. We always asked about our having suffered because of you know loosing some of our best talents abroad and is coming back and it is this particular coming back of those people, is extremely important for us. Why it is important because all what is called the Lotka’s law. How many of you have heard about the Lotka’s law because to me that is the most important law for the developing India, that’s the most important law for the human capital, movemenrt what is that law. If you have 00 and you ask yourself if they have the capacity to ride 1 how many will I ride you know - the answer is 25; how many will have the capacity to ride 4 – answer is 6; how many will have the capacity to ride 10 – the answer is 1.

Then in 1955 this was for semi conducted pattern – same law is there. I said to myself My Lord these laws are always applicable in Europe and US. Are they applicable in India?
Then only 1% who has the capacity to ride 1 feet. Newton, Einstein, Edison etc or 1% of the population carries 90% of intellectual that’s what it is we loose that 1% and we go for 90 % and therefore from IIT for example when we look at IIT 200,000 young students appear and 2000 get in, 1 out of 100 OK and then they all disappear, majority of them you feel it doesn’t matter, we use to satisfy ourselves by saying you know country of a billion if you loose 2000 what difference will it make you loose 90 % of the intellectual and where do they go? The sponge is United States land. Alright so we do the christening here, we pick up the best, we send them and they vanish OK.

Now it is extremely important to realize that this population is extremely important for a country and it will become more and more important as India becomes more and more competent and therefore, their coming back is going to be very very important and why are they coming back now? They are coming back for a very simple reason. They are coming not just coming back for physical income. They are coming back for psychic income and what is the psychic income. The latest internship is not designed in US it has been designed in Bangalore, the latest Aero engine of zeep is not being designed in US it is designed here, the latest tuberculosis drug breakthrough has taken place in India by an Indian company by the way. First drug after 1 963. All these things are basically happening here so the second point I want to mention when we talk about the innovation agenda is really this 1% of population carrying 90 % of intellectual they are getting an opportunity in India. It is extremely important to realize that India’s one of the greatest advantage that we are going to have is 55 % of our population is less than 25 years they are young and the beauty of our young is that they are the innovators. What is the good definition of innovators? Innovator is one who does not know that it cannot be done. All of us know that it cannot be done young people do not know it cannot be done and they are very very critical and for them its important that we create an opportunity if that opportunity is created you will see the world will just turn around.

I believe that India is becoming that land of opportunity why did people leave because they didn’t see the opportunity. I believe those opportunities for innovations are really emerging. There are 2 other points I want to say the other point is globalization of Research & Development is yet to take place. All these companies are here you find that substantial part of their intellectual property is getting generated in the country. I did the analysis for Bangalore by the way if you look at United States pattern 91% of the US pattern hired from Bangalore are for the foreign country and who generate these, it is young Indians. So it is Indian IQ generating IP for these companies in India. I think what is very important and that should happen I have no problem for that you know it’s a open world but what I would like to see is Indian IQ generating IP from India Intellectual Properties from India and that is going to be extremely critical

I want to emphasise on this particular part that competitiveness finally is going to depend upon generating that intellectual property. One more point with regard to innovation that if I want to make and that is we have to look at India and I am very glad we use the word inclusive. I think its not just the growth you are very happy with 9.6% growth and 8.4% average, etc. Those are wonderful things during the last 4 years just wonderful but how do we create inclusive growth - how do we create an India which has a pyramidal structure – The top of the pyramid, the middle of the pyramid, the lower middle of the pyramid and the bottom of the pyramid. In the world there are 400 million people with income level less that 2 $ a day. In India substantial number of people are having income which is less then 1$ and that is of course reducing. When it come to Indian innovative talents I would say our talent are going to be, how do we create products for the top of the pyramid, for the middle of the pyramid, lower middle of the pyramid and bottom of the pyramid. How do we create those price performance envelope which actually fail that is where our challenges is. Therefore we will find that in product innovations we will find Indian industry creating product with 6 or 5% very low prices. It should not surprise you that 90% of the shampoo market are not in big bottles but in the sachet It’s a different product, not in the rest of the world how do we create this product and therefore when you hear about 1 lakh car will you hear about 100$ – PC when you hear about sort of products and services of that kind these are the innovations which will be very special for this and for this the Indian mind will have to work in a way like no where.

So the challenge is can you make Re1 diaper or Re1 sanitary napkin amazingly this has been done by Shri Amrutsar Institute in Andhra Pradesh its already in production and the process is one which is not centralized, decentralized even in villages you can create Re1 diaper, Re1 sanitary napkin. Can you see what difference it can make to all? You know just last year Abhay Bhang gave the oration in the memory of Bhanu Koyaji, currently the chairman of KEM Research centre after Bhanu Koyaji passed away. Very interesting I was talking to him and he works in Gadchiroli and travel through villages and tribal areas. He told me something very interesting when I was describing these to him. You know for a tribal women the challenge is that she is holding the child and infant is born, she can neither leave it nor hold it. We told me if you can design a Re1 diaper for example for that little child so that she can wrap that little child around with Re1 napkin and it will grow naturally. She will be able to work without affecting her economic activity and what difference it makes. Now Re diaper, Re sanitary napkin is not something United States of America is going to design but these innovations have a potential to transform society.

I think the point I am trying to make is it is that not just enough to talk about inclusive growth we must talk about innovation on how we can innovate to include those that are excluded. We talk about IT today Information technology. We exaggerate sometime by using the word super power I would not like to use that word we have done well certainly. We have 600,000 software professionals generating almost 25 to 30% of export. That’s a great deal. It is a great news also is that their average is 22 ½ it is amazing that 0.06% of Indian population whose average is of 26 ½ generating 25to 30% of export. Thanks to our higher educational system. The same Tata Consultancy Services create will that’s wonderful but again their heart is in the right place because they look at that excluded part of India which is 200 million illiterates. Challenge before India therefore scan those 200 million illiterate they don’t have to wait for 15-20 years for illiteracy to vanish but can do they do it in years. Can we do it in 5 years? Now Sir Francis Backon has said something very interesting when you want to achieve results which are not achieved before its an unwild fancy to think that you can achieve this by using methods which are not used so far. Therefore standard methods will not do. What is current method 600,000 villages, 600,000 teachers or may be 1200,000 teachers where are they you don’t have them so you are going to take 20 years. So standard methods won’t work as Sir Francis Backon say that’s what Kolly did he created what you called a computer based functional source where an illiterate women can read a newspaper in 68 years just takes Rs 100 by the way knockdown computers, to be given free and there are 200 million of knockdown computers around the world can be made available no problem at all and it has been demonstrated over sample of 1 lakh in 7 states and 7 languages. OK we need to launch this as a national mission.

I have mentioned this while I was in Delhi but some or the other it has not been picked up. Issue is the point issue is Tata - present not only innovation but compassion and that compassion has made them think of these 200 million illiterate OK so when you talk about technology that technology can not only work at top of the pyramid creating well, creating riches, but also at the bottom of the pyramid in lifting those 200 million illiterates and making them sort of and it can not only help India, the world. I remember earlier this year 8th February I was in Washington, World Bank and I gave the inaugural speech I still remember Mukumbh right here sitting on this side who was then the World Bank President, I mentioned to him that about 800 million illiterate in this world and I said you spend just $2 ½ on them just $2 billion and you can make the world lift it that is the technology. I our heart is in the right place and if we with the compassion pick up that then we will be able to do for different section of society make with Rediaper, Resanitary napkin $100 computer which is already on. I must tell you in India that 1 lakh car and so and so then we can talk about real inclusive board and that is going to be a special feature of Indian innovation. The last point I want to talk about is in innovation there is in attitudinal change we need to make and that has to do with risk taking. Risk taking is a part of innovation infact somebody told me, a friend of mine from United States of America who had just returned he told me we don’t shift people who make mistakes but we do shift who don’t take risk. What do you do in India I said we shoot people who take risk. How do we change that is going to be the issue whether it is while doing science or whether it doing technology or what else. I believe that requires mental attitude change.

I remember when I was at National Chemical laboratory as a director I created what is called the Kite Flying point you know what was the idea of that, the idea was if you can have any idea with chance of success will be 1 in 1000, I will support you. Ofcourse, kept 1% of budget only. I could not blow away all my budget but just giving the freedom that you are allowed to fail created such a big difference when I went to Delhi CSI which was the chain of 40 laboratories I created what is called the new idea for them. School, colleges Kite Flying points because parliament is just km away they would say who is this fellow flying a kite but something. You know its amazing what impact it has again a small budget just 1% meant such a difference, people were allowed to fail. Then at the national level we created new millennium Indian technology leadership initiative long title, told the government we must give funds to the Private Sector let them work in a completely different zone because private sector had always worked in areas where products were certain, markets were certain and technology were certain.

Why market were certain because you can see the boost, why technology were certain because you could copy them from that to move to an area where market were uncertain, technology were uncertain you know that means possibility of a failure and we said we will write off that money in case things did not work. But today that programme has more than 80 private sector companies and more than 200 institution working together this tuberculosis breakthrough that I talked about came through this mobilizers which will be almost $100 I cannot promise that, sort of computer, mobiles, person computer came out of that it is getting picked up at the moment you know and Brazil had already placed an order it is incredible some of these products that came out of start happening within industry that’s extremely sort of important. That attitude change is very very important as we basically move around. I find myself in very interesting position at the moment both at the top of the pyramid, middle of the pyramid and the bottom of the pyramid

At the bottom of the pyramid you know there is a national innovation foundation which looks at grass root innovators – artisians, farmers because innovation just does not take place in laboratories, it takes place in laboratories of life at home, in farms and so on. And we give awards every year. First year when we began 10,000 applications came last year 100,000 and we picked up the top 30 people and the President of India gave the award and last year when we gave – out of 30, 50% of them were illiterate people, illiterate. So that is bottom of the pyramid I see such innovations. At the middle of the pyramid you know there is a Merico innovation foundation of which I am the chairman currently and we look at innovation all around small, medium enterprises, social innovation like “Kudumbhshree” you know Kerala how they lifted up people from below the poverty line to above the poverty line. Social innovations are extremely important and at the top of the pyramid again I am involved with many industries like Reliance innovation council that has been just now created with global audience and so on by Mukesh Ambani, I chair it at the moment. Looking at the top of the pyramid a company which has doubled up every 3 years for the last 20 years you know and innovation let growth is a mantra wonderful. But when I look at the top of the pyramid, middle of the pyramid and the bottom of the pyramid because of the special privilege one has of looking at that I understand the complexity of India so as to say how model is not going to hit. How we will have to create more models to hit the and that I believe is a big challenge of India. Infact I would consider this diversity is one of not only a challenge but a great sign. I would like to end by just commenting on the future.

I believe the future is fantastic. But I believe that India will have a great great future indeed and that is because of I would say a special attribute that India has which will promote innovations way too. When I speak around the word you know I am always during question answers 99% - 1question always come – Comparison between India and China. People will ask me so I have standardized the answer now I have standardized and the answer is like this I say India will eventually win because of 3D’s – 3 factors the first is Democracy, the second is Diversity and the third is Demography and let me explain. Democracy is allowing you think things act things, eventually that’s the spirit. Diversity – the kind that I talked about is an incredible diversity that and to deal with that diversity whether it is language we require innovations creating. Infact India is a laboratory for rest of the world if you see the dais and finally Demography – don’t forget China, Shanghai will be in the next 5 years one third of Shanghai will be more than 60 years so we have that strength of course we too will be by the way mirror by 2020, 20 crore will belong to my club insurance club you know we should not forget that but we have an window of opportunity because of this so these 3D’s as I said Democracy, Diversity and Demography are going to be the winners for us of course I wish sometime there was a 4th D – Discipline something that we sort of miss that could have made a difference.
All these factors promote innovations and creativity and therefore, I feel extra ordinary confident about the future. Let me end by just saying something which is not like a scientist, you know on st January I will be celebrating, my family will be celebrating my 64th birthday in Pune. I thought fast my mind what will be India like in 200. In the great city I wont be there to see that and I feel sad you know and I was thinking of negotiating with God I don’t know how many years I am left with maybe 5 years, 10 years or 15 years, one does not know but I wanted to have a negotiation with Him. You know what is negotiation mean. Negotiation means God take away 5 years or 10 years of my life doesn’t matter and give me a week and allow me to come back in 2050 just for a week and what a fantastic India I see my own dream is to see an India not only an economic super power, will be technological super power but also a moral super power. It is extremely important moral that combination. If you don’t have the 3rd being a technological super power or economical super power you know Nazzi, Germany was also technologically super power, economically super power but was a failure. USSR was a failure I hope that will be new India that one will see in 2050 I do hope and you should help me to negotiate with the God that my negotiations succeed. Thank you.