Session 1: The role of government in developing science

and technology parks

Indian Experience

Dr. Sapana Kaushik, Scientist

Innovation & Entrepreneurship (I&E) Division,

Department of Science and Technology

Government of India

“The Asia-Pacific Forum on Science and Technology Parks"

• Capital

• Machinery

• Management

• Land

• Labour

• Natural

Resources

• Science & Technology

• Innovation

• Entrepreneurship

Industrial Economy

Knowledge-based

Economy

Agricultural Economy

RETRACING HISTORY OF GROWTH

Winning Edge

➢Population Aprox. 1344 million in Nov 2017 (2nd highest in world)

➢States & UTs 29 & 7

➢Geographical Area 3.3 million sq.kms (Seventh largest in world)

➢Languages (recognized) 22

➢Per capita income US$ 1861

➢GDP US$ 2.44 trillion

➢Internet usage by Indian: 462 million (2nd highest in world)

Idea

generation

Idea

Validation

Marketable product/

process

Formal

HEIs

Univ.

R&D Labs & centres

Companies

Informal

NGO’s

Individuals

Unrecognisedindustries

BIRTH SURVIVAL GROWTH

SUPPORT MECHANISMS

STEPs/TBIs

TDB, VC Funding

Sector Specific funding

INDIAN INNOVATION SYSTEM

Issues and Challenges Opportunities

• Time to Market

• Linkages between industry, R&D institutions

and academic institutions.

• Engagement of private sector in India

innovation system.

• Availability and accessibility of funding

pipeline

• Awareness on intellectual protection regime

• Focus on innovation and entrepreneurship in

the fundamental education system.

• Mindset orientation towards entrepreneurship

and skill development

• Mapping of database for technologies

available with various Government / private

agencies

• Diversity in culture

• Rural-Urban divide

• Utilization of demographic dividend

• Highly skilled manpower availability

• Huge base of mobile phones and internet

users

• Dominance in Information and

Communication Technology sector

• National initiatives i.e. Make in India,

Smart Cities, Skill India, Clean India

Thrust on solar energy, food, water and

energy for inclusive growth

• Global R&D hub

CHALLENGES & OPPORTUNITIES FOR PROMOTING INNOVATION & ENTREPRENEURSHIP

• Formulation of Science, Technology & Innovation Policy and other enablingPolicies for the R&D Sector

• Strengthening Basic Research & Expanding R&D base - Human Capacity &Institutional Capacity

• Implementing Technology Development Programs

• Societal Interventions through S&T

• International S&T Co-operation/ Partnerships and Alliances

Department of Science and Technology (DST) is the arm of the

Government , Ministry of Science and Technology for the promotion of

science and technology

It plays a participative and proactive role in coupling S&T sector to the

developmental growth agenda of the Nation

DST: OBJECTIVES AND FUNCTIONS

• Synergizing Science, Technology and Innovation

• Faster, Sustainable and Inclusive Growth

• Risk, Rewards and Recognition

• Institutional and Enterprise level Research

• Engagement of Private sector in areas of societal & economic

relevance

• New Partnership Models

❖Serving India through S&T by connecting performance with excellence

& relevance

❖A strong and viable Science, Research and Innovation System for High

Technology-led path for India (SRISHTI) is a policy goal.

SCIENCE TECHNOLOGY AND INNOVATION POLICY 2013

NATIONAL SCIENCE AND TECHNOLOGY

ENTREPRENEURSHIP DEVELOPMENT BOARD (NSTEDB)/

I&E DIVISION

➢ Set up in 1982 by DST, GoI

Mandate:

➢ To promote & develop entrepreneurship through use of S&T

➢ To convert "job-seekers" into "job-generators" through S&Tinterventions

➢ It supports establishment of STEPS and TBIs

➢ Plans are made to scale up this initiative

➢ To act as a policy advisory body with regard to entrepreneurship

How we did Technology

Business Incubation at our

S & T Parks ?

???

Initial Years (1982-1990) !!!!

POLICY

MAKER

INCUBATOR

MANAGER

SCIENTIST

TECHNOLOGIST

POLICY MAKER’S

PERSPECTIVE

• STABILITY, MAINTAIN STATUS, EQUILIBRIUM

• GROWTH, CHAOS, DIVERGENT,

UNCONVENTIONAL

• WE NEED BOTH

INNOVATORS & ENTREPRENEURS

PERSPECTIVE

• THERE EXISTS THIS WORLD OF THEIR OWN

• THEY HAVE TO THINK & ACT DIFFERENTLY

EVERY TIME, EVERY DAY

• SUPERFICIAL TENSION

• INCUBATORS OPERATE HERE

Why did we support business incubation/ S&T

parks ?

A ENTREPRENEUR ABILITY UNKNOWN

B IDEA/TECHNOLOGY POTENTIAL UNKNOWN

C MARKET DEMAND UNKNOWN

D FINANCE AVAILABILITY UNKNOWN

E TEAM (EMPLOYEES) CONFIDENCE UNKNOWN

Formula for Success: A + B + C + D + E = UNKNOWN

THAT MEANS THAT WE IN A HIGH RISK SITUATION

WE THEREFORE NEED ENABLING MECHANISM

AND INCUBATORS/PARKS ARE ONE OF THEM ??

It’s not the destination, it’s the journey……….

• Scheme initiated in 1984 by NSTEDB, DST, GoI

• To convert job seekers to job generators

• Other Promoters

• Host Institution( H.I)

• National level Financial Institutions

• Concerned State Government

• 17 STEPs promoted so far

• STEP- An independent identity from the H.I , autonomous society

• STEP Model- Strikes a balance between development

and sustenance

SCIENCE & TECHNOLOGY ENTREPRENEURS PARK

( STEP)

➢ To promote entrepreneurship among S&T persons

➢ To forge close linkages amongst academia, R&D institutions and industry

➢ To provide R&D support to SMEs

OBJECTIVES OF STEP

• Initial development :0-5 years

• Consolidation :5-8 years

• Sustenance : 8-10 years

• Reorientation and new approaches : after 10 years

STAGES IN STEP PROGRAMME

Facilities Provided & Services offered by STEPs

• Nursery Sheds > Technical Support

• Testing & calibration > Business Facilitation

• Central Workshop > Training

• Prototype development > Consultancy

• Business facilitation > Testing & Calibration

• Computing > Documentation

• Library > Product development

• Communication > Certification for quality

• Conference room / environment standards

• Common facilities

• Number of enterprises promoted – 850

• Direct Employment Generated - 6400

• Capital Mobilised – 15 million USD

• Total Yearly Turnover – 22 million USD

SIGNIFICANT ACHIEVEMENTS IN STEP PROGRAMME

LESSONS LEARNT

• Commitment from H.I.is critical

• Dedicated and motivated CEO – a prerequisite

• Competent and committed management team

• Linkages and networking is vital

• Creating awareness and visibility is essential

• Involvement of sponsors is a must

• Orientation of activities to suit local needs

• Be innovative and experimental

• Offer total solution to entrepreneurs

• Run it as a profit center

• Regular monitoring and well laid out evaluation system

NEED OF TECHNOLOGY BUSINESS INCUBATION

• Emergence of Technology and knowledge driven products

• Significant contribution of knowledge driven services to GDP

• Rapid changes in technology & innovations leading to shorter product

cycle

• Emphasis on quality, environment standards, IPR and other issues

• Better financing options available for technology led enterprises

• Improved prospects of survival of start-ups

• For speedy commercialization of R&D outputs

FACTORS INFLUENCING GROWTH OF

TECHNOLOGY BASED ENTERPRISES

❖ Access to skills & competencies

❖ Access to financing

❖ Access to the market

❖ Environment for innovation

INITIATION OF TBI PROGRAMME

• Initiated in the year 2000 by NSTEDB, DST with 15 years of runningSTEP Programme.

• Primary target : Academic and R& D institutions

Objectives of TBI

❖To offer conducive environment for growth of new knowledge basedand technology driven enterprises

❖To provide platform to nurture innovative ideas

❖To speed up the process of technology commercialization

SERVICES OFFERED

• Business facilitation and common facilities

• Consultancy-technical, legal, financial, marketing and other assistance for start –ups

• Training and Human resource development

• Collaborative services with the host institution including design,development and testing / Library/ faculty support

PROJECT IMPLEMENTATION

• TBI project to be implemented

in one year

• Self –sufficiency

: within 5 years

: Revenue generation from

first year

• Profit sharing:

To be shared between TBI &

the host institution on mutually

agreed terms after attaining

self sufficiency

GROWTH OF INCUBATORS /STEPS

410 12 16

2432 35

110

0

20

40

60

80

100

120

1987 1992 1997 2000 2002 2004 2005 2017

DST SUPPORTED INCUBATION IN INDIA –A SNAPSHOT

INCUBATION SPACE

~ 120,00,00 sq.ft. of dedicated area

INCUBATION CAPACITY

~2700 hi-tech ventures can be physically incubated

GRANT from NSTEDB, DST

~ 66 Million USD

Av. Support from DST/TBI ~ 1 million USD

Max. support : 2.3 million USD

No. of STEPs/TBI supported by NSTEDB, DST till Nov. 2017

…110 out of which 3 CLOSED DOWN

4000 Start ups incubated …… 1500 graduated ……. 450

patents/copyright…turnover of 23 Million USD in 2014-15

IIT KANPUR

9 Ss of Innovation & Entrepreneurship Ecosystem

SEARCHING & SCOUTING POI, IEDC, NIF, NIDHI GC

SUSTAINING EAC, EDPs, FDP, ISTED, NIDHI IEDC, TBI

SEEDING & SUPPORTING NIDHI SEED FUND, PRAYAS, EIR

Securing TIFAC, MSME, TBI

SCALING TDB, IAF, BIRAC, VC, FIs. NIDHI COE

SYSTEMATISING CAP. BLDG(WEDP) , POLICY INITIATIVES

SHOWCASING PRESIDENT EST. , TECH EXPO

Innovation, Entrepreneurship and Incubation….

National Initiative for Developing

and Harnessing Innovations …

NIDHI

Launched in the Year 2016

A Programme to convert Knowledge back to

Economic Growth and Societal Good

Source: NSTEDB

NIDHITechnology

Business Incubators

(TBI)

Center of Excellence

(COE)

Seed Support System

PRAYAS

Idea -Prototype Support

Grand Challenges

EIR

Fellowship for Entrepreneurs

Accelerator Program Support

DST NIDHI: AN UMBRELLA PROGRAM

NEW UMBRELLA INITIATIVE OF DST-NIDHI

1. PRomotion and Acceleration of Young and Aspiring Innovators and Startups (PRAYAS) -

Support from Idea to Prototype :

2. Entrepreneur In Residence (EIR)-Fellowship for aspiring Entrepreneurs: To encourage graduating student to take to entrepreneurship amongst available career options.

3. Technology Business Incubator (TBI) – Facilitating and nurturing tech. innovations led start-

ups:

4. Accelerator. Fast tracking a start-up ..deep engagement model of mentoring, coaching and

investment.

5. Seed Support System (SSS) for startups in TBIs: Providing seed stage investment to startups

in Incubators:

6. Centres of Excellence (CoE): Incubators of Excellence with state of the art facilities to help

startups go global.

7. Research Park – An initiative driven by MHRD , though DST fully supporting RP at IIT

Gandhinagar

8. Six new programs supported for tapping and supporting innovators, student product ideas,

women entrepreneurs and hardware startups etc under various National Initiatives..

Lev

el o

f su

pp

ort

-ve

cash

flo

w+

veca

shfl

ow

Angel Investor

Venture Capital

Friends,

Family

Public

Technology Startups - High Risk

Startup Ecosystem

R&D

Stages of Startup development

& Fools

Lev

el o

f su

pp

ort

-ve

cash

flo

w+

veca

sh f

low

IEDC TBI

EIR

DST – Innovation & Entrepreneurship division

: Providing Handholding support through Valley of Death

COE

PRAYAS

Entrepreneurial

Capacity

building EIR: Entrepreneur In Residence

IEDC: Innovation &

Entrepreneurship Development

Centre

PRAYAS :PRomoting and

Accelerating Young and ASpiring

innovators & startups

TBI : Technology Business

Incubator

CoE: Centre of Excellence

Public Private Partnership Programs

34

IIGP 2.0 with focus on Industrial and Social

Innovations launched on 10th March 2017 during

‘Festival of Innovation’ at The President's House

DST-Lockheed Martin –Tata Trust -India Innovation

Growth Program 2.0 (Make-in India)

The Economic Times Power of Ideas is an entrepreneurial

platform in association with the DST to seek, reward, nurture

and groom business Ideas by connecting them with relevant

evaluators, mentors and investors...

September October November December January February

18,500+ 11,500+ 500+ 75 50+

➢Women Entrepreneur’s Quest Program: Partnered with Anita Borg Institute , USA

For scouting and supporting Women Entrepreneurs in Technology .

➢DST-Intel “Innovate for Digital India (Digital India)

Offer easy and effective innovative technology solutions in the hands of citizens to help

them enhance the quality of life.

➢ India -Russia Bridge for Innovations (IRBI): The program is the first bilateral exchange

• initiative between India and Russia

• focus on S&T based entrepreneurship for exploring technical and commercial tie-ups

bilaterally in respective markets.

➢ India –Rwanda Innovation Growth Program 2017

• Commercialize Made in India technologies and innovations in Rwanda (Africa),

generate skill and entrepreneurship development to create successful enterprises

➢ India-Innovation Challenge- DST-Texas-IIMB (Make in India)

• Promoting entrepreneurship in engineering students

Empowering Women Entrepreneurs (Standup India)

❖emPower- Positioned as the India’s First Accelerator Program for women

startups in Technology

• Implemented by Zone startups, a DST supported Incubator hosted at

Bombay Stock Exchange

• 15 women led startups underwent 6 weeks intensive mentoring and coaching

program by stalwarts of startup ecosystem

❖WEE-Women Empowerment and Entrepreneurship 2016 by IIT Delhi for

an accelerator program for nurturing and mentoring women startups

❖Women Entrepreneurship Quest (WEQ) 2016: Partnered with Anita Borg

Institute, USA for scouting and supporting 10 Women Entrepreneurs in

Technology Entrepreneurship Training and experiential learning to Silicon

Valley

NASSCOM (National Association of Software & Services Company) report on Indian Startup ecosystem

Role of Government in

Strengthening the Innovation

Ecosystem

Nurturing innovation through education

Provide the enabling policy intervention

Provide a mechanism for funding business

innovations at all levels especially small and medium

scale enterprises (SMEs)

Improve inter-institutional collaborations

Provide vision through a national level road map for

innovation

Strengthen human capital

LINKING: EDUCATION…… …..INNOVATION…………ENTREPRENEURSHIP

National Science &TechnologyEntrepreneurshipDevelopment Board

• NSTEDB is the nodal body under the aegis of Department of Science &

Technology established by the GoI

• Aim to promote knowledge driven and technology intensive enterprises.

National InnovationFoundation (NIF):

• NIF is an autonomous body under the DST, GoI

• Aim to support grassroot innovations and outstanding traditional knowledge, to

help the innovators to develop technologies by providing the risk capital, helping

in development and documentation, value addition, Intellectual property right

(IPR) protection, business development, commercialization and social diffusion.

Technology DevelopmentBoard (TDB):

• TDB was set up in 1996 by the DST, GoI .

• It provides soft loans and equity to Indian Companies to commercialise

indigenous technologies and also for adoption of foreign technologies.

• Sectors focussed are: medicine and health, drugs, pharma, engineering,

chemicals, agriculture and transport.

Biotechnology IndustryResearch Assistance Council(BIRAC)

• BIRAC is a not-for-profit Public Sector Enterprise, set up by DBT, GoI

• It is an Interface Agency to strengthen and empower the emerging Biotech

enterprise to undertake strategic research and innovation, addressing nationally

relevant product development needs.

Specialized Organizations of GoI

START UP INDIA

Startup Definition (Department of Industrial Policy & Promotion,

DIPP)

Startup means an entity, incorporated or registered in India :

• Not prior to seven years, however for Biotechnology Startups not

prior to ten years,

• With annual turnover not exceeding INR 25 crore in any preceding

financial year, and

• Working towards innovation, development or improvement of

products or processes or services, or if it is a scalable business model

with a high potential of employment generation or wealth creation

Startup India is a flagship initiative -GoI

Aims : to build a strong eco-system for nurturing innovation and startups in the

country for economic growth and generate large scale employment opportunities.

• To empower startups to grow through innovation and design.

Salient features of Startup India

❖Simplification and Handholding

• Self-certification by startups

• Launch of Mobile app and Portal for compliance and information exchange

• Startup India Hub to handhold startups

• Legal support and fast-tracking patent examination at reduced costs

• Relaxed norms of public procurement for startups

• Faster exit for startups

STARTUP INDIA ACTION PLAN

❖Funding support and Incentives

• Providing funding support through a Fund of Funds with a corpus of 1.54 billion

USD

• Credit guarantee fund for startups

• Tax exemption on capital gains invested in Fund of Funds

• Tax exemption to startups for 3 years

❖Industry-Academia Partnership and Incubation

• Organizing Startup Fests to showcase innovations and providing collaboration

platforms

• Launch of Atal Innovation Mission (AIM) with Self –Employment and Talent

Utilization (SETU) Program of NITI Aayog (AIM is an innovation promotion

platform in the National Institution for Transforming India (NITI) Aayog, with an

initial fund of 1.5 billion INR ( 22.58 million USD) for research and development.

• 500 Atal Tinkering Labs and 35 Established Incubation Centres (EICs) for scale-up

support

• Harnessing private sector expertise for setting up incubators

• Setting up of research parks

• Research Park-MHRD-DST-9

• Software Technology Parks-42 (Department of

Communication & Information Technology)

• Bio-tech Park-DBT-7

Initiatives of various State Govt.

• Techno Park

• Info Park

• Industrial Park

• Tidel Park

• Agro Park

VARIANTS OF SCIENCE AND TECHNOLOGY PARKS

Objective:

Promotion R&D by the institute in partnership with industry, assisting in the

growth of new ventures, and promoting economic development.

• Set up in academic Institutions like IITs, IISc

• Research park at IIT, Gandhinagar being setup by DST

RESEARCH PARKS

•IIT Madras

•IIT Bombay

•IIT Kharagpur

•IIT Delhi

•IIT Kanpur

•IIT Gandhinagar

•IIT Guwahti

•IIT Hyderabad

•IISc Bangalore

• Objective: Promotion of Biotech start-up companies and the promotion of Public Private Partnerships.

• 7 biotech parks are setup by DBT

• Lucknow Biotechnology Park, Uttar Pradesh

• Biotechnology Incubation Centre, Genome Valley, Hyderabad, A.P

• Chennai, Tamilnadu, Assam, , Karnataka, Kerala

BIOTECH PARKS: DBT

• Set up by the Department of Communication & Information Technology.

•Objective: Encouraging, promoting and boosting the Software Exports from India.

• 42 STPI Centers all over the country.

SOFTWARE TECHNOLOGY PARKS OF INDIA (STPI)

RESULT OF ENABLING MEASURES /POLICY INTERVENTIONS

❖ National strategy to make development more inclusive. The

emphasis is on shaping a national-level innovation System across

all sectors & facilitate innovation by micro, small and medium

enterprises.

❖ Government has taken several steps to overcome the challenges

faced by innovators and entrepreneurs to ease the process for

business.

❖ The country’s 30-notch jump in the World Bank’s ease of doing

business ranking to 100th place is the result of Governments

efforts.

sapana.kaushik@nic.in