Introduction to our context
Conventional models of mass diffusion of technologies, products and services have essentially been “Trickle Down” in their approach. Mostly technologies are matured considering the needs of the buyers who can afford to pay for the huge front-end R&D expenses. This is true particularly in case of private enterprises, where economic bottom-lines are sacrosanct. On the other hand, public sector R&D in a country like India has not been able to deliver quality and quantity as expected due to several structural bottlenecks. In the process, technological needs of large cross-sections of society particularly those in developing nations are mostly not met and, if met, not adequately either in terms of proper functionality, affordability or so on. Even if sufficiently suitable technology was developed, it was not able to penetrate beyond a minimal level, except for a few examples of success in certain private, public and non-government organizations.
The long term sustainability of this model and worldview is limited because of a fundamental disconnect between the cost economics, knowledge systems and institutions at the grassroots level vis- -vis those existing in the formal sector. It is therefore imperative that future sustainable growth, both economically and ecologically, will happen when the formal sector plays the role of a facilitator for the evolution, development and dissemination of products and services based on grassroots innovations and indigenous knowledge systems.
Key Characteristics of Grassroots Innovations
Grassroots technological innovations by definition are need-based, simple, cost-effective and sustainable. The possibility of these technological solutions addressing local constraints in an effective way is reasonably high, simply because these solutions originate from someone who has first-hand experience of the issues involved. On the other hand, given the lack of financial and technical resources present with the grassroots innovators, many grassroots innovations are rudimentary and limited in terms of design. The experience of NIF shows that quite often people at the grassroots develop solutions without any or with very limited external assistance. The magnitude of demand also varies depending on how widespread the need is, how important the element of regional specificity is and so on. This describes the challenges and opportunities for grassroots innovations.
In essence, these innovations address the key needs of grassroots consumers, which have not been met or satisfied by the existing Trickle-Down products and services. Hence, there is ample scope for wealth creation by linking grassroots need-based technologies with formal sector technical & commercial knowledge, to make them scalable and commercially attractive. There is a lot to be done on this front.
Therefore, there is a need to build a value chain around these innovations and to provide incubation support, if the benefits from these innovations have to be disseminated to consumers far and wide.
The Honey Bee Network (www.honeybee.org) through its constituents - National Innovation Foundation (NIF) (www.nifindia.org), Society for Research and Initiatives for Sustainable Technologies and Institutions (SRISTI) (www.sristi.org), Grassroots Innovations Augmentation Networks (GIANs) (www.gian.org) and its various network partners like National Institute of Design (NID), Council of Science & Industrial Research (CSIR,GoI), technological institutes (e.g. IITs), management institutes (e.g. IIMs) along with the vast network of collaborators, mentors and volunteers has been working towards incentivising grassroots innovations by scouting, documenting, incubating and commercializing them.
In part execution of the mandate of National Innovation Foundation of generating wealth for the grassroots innovator and practitioners of tradition knowledge the Business development section facilitate incubation of green grassroots innovation and example of traditional knowledge, in the process generating wealth for the innovator, practitioners of tradition knowledge and supply change stakeholders. It covers five sets of activities mainly positioning of grassroots innovation and example of traditional knowledge across application domains, scouting entrepreneurs, selling business opportunities, providing handholding support to new enterprise when it is most susceptible to various market risk and facilitation diffusion of socially relevant technologies.
Business Development division at NIF primarily undertakes the following activities:
GIANs have been set up by NIF, with geographical jurisdiction, for incubating and commercializing various grassroots innovations. The first GIAN was set up at Ahmedabad to incubate innovations from the western state of Gujarat (with inclusion of Maharashtra and Goa later on). Subsequently GIANs were set up at Guwahati, for the innovations from north-eastern states and at Jaipur, for the innovations from the northern states. In addition, two GIAN cells have been set up at Madurai (Tamil Nadu) and Tumkur (Karnataka) in South India, to incubate innovations from the southern states. GIANs, in a short period of time, have been successful in converting a number of innovations into products and setting up enterprises based on them.
The role GIANs is to provide innovations with, linkages to modern science and technology, design institutions, funding organizations and market research. The objective is to generate new models of sustainable development through poverty alleviation, rural development, employment generation and conservation of natural resources without impairing the ecological balance.
Since inception, the BD Team along with its incubation partners have successfully licensed and commercialized a number of grassroots technologies to different entrepreneurs in India and across the globe.
The proceeds of which was shared with the innovators and other stakeholders as per the Prior Informed Consent Framework.
Technology licensing:
Aaruni Cart
This is an innovatively designed bullock cart to overcome the shortcomings of traditional carts by having an additional wheel to balance the load, along with a tilting mechanism, based on a rope and pulley system which can be controlled by a lever located alongside the cart driver.
This innovation was developed by Mr. Amrutlal Agarwat of Gujarat and exclusive marketing and manufacturing right was licensed to three different entrepreneurs, M/s Shiva Iron works of Ahmedabad, Gujarat for Ahmedabad district, M/s Ambica Agro Industries of Bhavnager for Bhavnager and M/s Kishan Industries of Mehsana, for the three districts of Mehsana, Bansakantha and sabarkantha for a consideration of Rs 21000, 23000, 40,000 respectively.
Air Kick Pump
It’s a device to inflate tyre tubes of two wheelers or any vehicle having kick start or auto start mechanism so as to enable the rider to reach nearby help station or repair shop. In this device air inside the compressor, while kicking, is utilized and transferred to the tube. Also a pinch of polymer granules is inserted to seal the leakage in the tube. This innovation was developed by Mr. Arvindbhai Patel
All India license for the technology has been sanctioned to M/s Mouldwell Enterprise, Maharastra for Rs 37,500 down Payment + 2 % Royalty for the first five years / 1% for the next five year /0.5 for the nest five.
Beauty Care Umbrella
This umbrella helps in protecting the user from UV radiation (up to 85 per cent), thus effectively guarding against darkening of the skin and sunburns while adding a glow to the skin of the user.
The technology for the muga silk based beauty care umbrella has been transferred for an upfront fee of Rs 2 lacs for marketing rights in India and Rs 3 lacs for abroad along with 6 per cent royalty. Also a benefit sharing arrangement has been finalised in which a share equivalent to 10 per cent and 5 per cent would accrue to the Innovator and GIAN- NE respectively on future sales. In addition, the licensee has agreed to purchase the “muga “cloth from the innovator at market price.
Cassava Peeling Machine
A Peeling machine for cassava made out of stainless steel and food grade rubber components. It has peeling capacity of 5-6kg per minute. Machine is easy to operate and maintain.
The technology was transferred for an upfront technology transfer fees of Rs 85,000 and 2 per cent royalty in addition to a share of 30 per cent and 3 per cent national equity stake for the innovator and GIAN-NE respectively.
Foot Sprayer
This technology was developed by Mr. Prabhatbhai Vaghani from Gujarat wherein Where in spraying pressure is generated though conversion of energy derived from the movement of ones feet, with the help of a cylinder and piston mechanism. The technology was licensed to M/s International Technologies, C/o William Wilkinson, P.O. Box 73, Salem, NJ 08079 for a consideration of USD 5000, having exclusive market and manufacture sprayers for the whole world except India right.
Gas Conversion Kit For Four-Wheelers
The technology developed by Mr. A.N. Manoharan from Madurai for using LPG gas as fuel, has been licensed to an entrepreneur from Mumbai. An upfront fee of Rs. 33,000 has been paid to the innovator and remaining amount will be given after successful validation of the technology. The entrepreneur and the innovator are working together on the technical validation and initial response has been highly encouraging. Further the entrepreneur has plans to get the technology certified by ARAI, Pune.
Natural Water Cooler:
A low cost, energy efficient, environment friendly water cooler, which cools water naturally based on principle of heat exchange. The cooling process does not require external power source for operation. The technology has tremendous potential in dry and hot climatic conditions (i.e. tropical) where electricity is not available.
The non-exclusive manufacturing and marketing rights for the Natural Water Cooler for the states of Gujarat and Rajasthan were transferred to a young entrepreneur from Mehsana for a down payment of Rs. 1 lac. and a royalty of 2.5 per cent of sales for a period of five years.
Sprayers (Hand-driven sprayer, Khushal sprayer, Auto Compression Sprayer)
A portfolio of three sprayers developed by Mr. Gopalbhai Sutariya, Mr. Khemjibhai , Mr. Arvindbhai R Patel to an entrepreneur Mr. Nileshbhai Satyasia, Satyasia Industries for Rs 1,58,000 down payment + 5 % royalty for 5 year.
Unique Coupling Device
The device enhances the efficiency of power transmission, which can be integrated in automobiles, pumps, generators as couplers in power transmission system or any other equipment where energy is transferred from a driver shaft to a driven shaft.
The technology know how of the Power disc, has been transferred to a local entrepreneur, Mr. Deepak Das of Guwahati for an upfront payment of Rs. 80,000 to the innovator. He contributed a sum of Rs. 20,000 towards Innovation Promotion Fund initiated by GIAN NE. The GIAN-NE and the Innovator are supposed to get ten per cent share in the equity as a part of a goodwill agreement.
Vanraj Tractor
The 10 HP tractor is a small, low cost and highly efficient tractor which has the potential of filling a vital demand gap which exists in the Indian market today. While the smallest tractors currently available in the market are in the 24 HP range and generally cost upwards of Rs. 2.25 lacs, there is a large chunk of farmers, especially those owning small land holdings, who cannot afford to buy these tractors.
The Technology has been acquired by M/s Parmal Farmatics Pvt, Ltd, Gujarat for an upfront transfer fee of Rs 3 lacs and 2.25 per cent royalty with 20 per cent equity stake in the proposed marketing company to be set-up for distribution and exclusive dealership to innovator for two districts in Gujarat. Further a confirmed order of Rs 1.25 lacs for producing the first tractor has been given to the innovator.
Zero Head Water Turbine
A low cost, energy efficient design to harness energy of flowing water current to pump water and generate electricity. Linear flow of the river current is converted into centrifugal force, which drives the turbine. The product generates electric energy from flowing river water and simultaneously pumps the water for irrigation or other like purposes.
This technology was developed by Mr. Nirpen Kalita and supported by NIF through MVIF, has been was transferred to a local entrepreneur, Mr. Kailash Agarwal of Tinsukia for an upfront payment of Rs. 1 lac, along with Rs. 1,000 per piece sold. He contributed a sum of Rs. 20,000 towards Innovation Promotion Fund at GIAN NE.
Commercialization Of Innovation:
Bamboo Splinting Machine
A small device which increases productivity of bamboo labourers engaged in making bamboo splint making device, developed by Mr. Usman Shekhani was test marketed with MVIF support in one of largest bamboo producing states of India i.e. Assam. A total of 100 units were sent to GIAN-NE for exhibition and test marketing. Several product demonstrations were conducted in the International Bamboo Festival during December 13-17, 2004. Based on the high demand estimation, Viraasa, a NGO joined hands with GIAN-NE in further commercialization of the technology in NE region. Lately a demand of 10,000 units has been indicated by GIAN NE, which innovator will not be able to meet. Hence, licensing arrangement to manufacture units in North East is being worked out.
Garlic Peeling Machine
An innovatively designed machine for peeling of garlic, an essential ingredient in pickle and herbal formulation. 20 such machine has been sold in the southern part of the country, with few business queries coming from Pakistan and United states.
Improved Treadle Printing Machine
The innovator was supported for business development under MVIF by NIF. GIAN-NE facilitated the appointment of marketing franchisee in Assam to an entrepreneur Mr. Ishan Baruah for an upfront fee of Rs 25,000 and 4 % royalty to GIAN-NE. Innovator has already supplied five machines in NE.
Lemon Cutting Machine
A cost effective, food grade, machine for the pickle industry having innovative design for continues feeding, to facilitate cutting of large quantity of lemon in uniform shape and sizes in the process increasing efficiency. It can be operated by one person. The machine is designed to optimize safety. Incubation support was provided under MVIF through SEVA. By the end of December, 2004, three machines were commissioned and accordingly innovator repaid Rs 15,000. Five more orders are under process.
Milking Machine
A manual operated, low cost milking machine which has been receiving attention from the rural community engaged in animal husbandry. Substantial business query has been generated for the purchase of the machine, which has been forwarded to innovator, who is capable of manufacturing 25 machines in a month.
Remote Operated Device For Fire Cracker
A remote operated device for firing fire-cracker developed by Mr. Balram Singh Saini was identified by Mr. Bharat Bhai Vyas for a new application. Therefore; he contracted a project to the innovator for the development of a special purpose fire cracking device for occasions such as marriage, festivals etc. He has signed an agreement to acquire marketing rights of this technology for national market through a separate agreement. He has given a signing fee of Rs 11000 and remaining Rs 14000 on completion of the task. The initial prototype development was supported by NIF through MVIF