Welcome Address by Shri R.S. Lodha, President, FICCI, at the Inaugural Session

Shri Bachi Singh Rawat, Hon'ble Minister of State for Science & Technology
Dr R A Mashelkar, Secretary, DSIR & Director General, CSIR
Shri Jagdish Singh, Advisor, DSIR
Senior Officials from Government of India
Distinguished award winners
Distinguised Speakers
Delegates, Ladies and Gentlemen

Today, I have the privilege to welcome this gathering of eminent scientists, researchers, technocrats, industry leaders and Government officials. Sir, this year is particularly important for FICCI because we have completed 75 years. We are celebrating the platinum jubilee of FICCI. I am deeply honoured that Shri Bachi Singh Rawatji, Hon'ble Minster of State for Science & Technology and Dr. Mashelkar are here with us on this occasion. I would like to particularly welcome this year's 8 award winners. This award presented jointly by FICCI and DSIR is an acknowledgment and appreciation of their effort in pathbreaking R&D.

Ladies and Gentlemen, the theme of today's R&D conference is to " Create University - industry knowledge alliance"

• The first question to be asked is why do we need such an alliance? What benefit do we get out of this alliance? We need such an alliance because there is move towards market economy

MOTIVATING FACTORS

• Indian industry in global market platform needs new business paths
• Recognition of technology as an instrument for corporate strategy for deriving competitive advantage is dawning
• Industrial production in India needs optimum mix of technology and innovation driven manufacturing
• IPR protected world adds new demands on the manufacturing systems
• Higher investments in R&D in selected sectors are emerging.
• Outsourcing of skills and development of technology has been initiated

Therefore, our emphasis and endeavour should be to develop synergies and alliances to enhance Indian industry's competitive advantage and for it to gain a greater share of global markets.

DOMESTIC POLICIES 

Sir, there is a general view that capability built over decades, in manufacturing such as power, telecommunications, railways, cement, hydrocarbons and in some strategic sectors, would get weakened, if, in the wake of liberalization domestic policies on Science and Technology are not given proper direction. This is seen to be happening due to limitation of government resources for R&D.

Of course, in the US the university-industry alliances emerged only when federal resources for research started declining. These linkages involve novel functions and structures, including new roles for universities, e.g., as equity investors in faculty-owned firms, in new types of resources such as campus based ''incubator" facilities for start- up firms and in an unusual combination of participants, for example, venture capitalists in partnership with university professors.

In the case of Southeast Asian countries the basic research is usually funded by the government. However, in order to promote industrial funding, fiscal incentives are being given. Research grants are being given to encourage joint industry - university projects.

In our country, these linkages are still minuscule. There are, however, news reports about the changed global perception of India. India is being recognized as one of the few countries for R&D investment in physical sciences. This is happening across different sectors like telecom, software, biotech and pharmaceuticals. 

ISSUES & CONCERNS

Some of the major hurdles being faced in the growth of indigenous technology-based production are -

• The purchase procedures of government. Though the government is one of the largest customer across several areas of activity, its Purchasing Organization has stipulations which make it difficult for Indian companies to quote for their products. Thus a change in Purchase Procedures is necessary.
• Government funds in R&D are thinly spread over many institutions and agencies. This lack of focus and priority result in sub-optimal efforts and more often do not lead to specific products and services required by the customer.
• Even in conventional areas, R&D activity in majority of industrial units continues to be abysmally low due to dependence on the collaborators for updated designs even after several years of license agreements. 
• Lack of world-class testing and calibration facilities. 
• There is lack of interaction between national level R&D system, academics and industry on major project proposals that could be developed as part of our five year plans or annual plans

ACTION PLAN
 

• Friends, You are all scientists and therefore, you must be familiar with IEEE, a leading scientific association in the US. One of its report recently has noted that while economic cycles go up and down, there is need for steady investment by government and Industry in R&D otherwise you risk being swept away in the next wave of innovation. The report has observed that Government support in US has reduced from 70% to 50% in the last twenty years and is one of the causes for erosion in technological leadership. 
• Government would have to, therefore, continue to provide resources for indigenous development of technology with emphasis, however, on accountability of public funded S&T systems whether they are for stand alone R&D or in collaboration with industry.
• This brings in the issue of Intellectual Property Rights protection. Anybody who sets up R&D synergy, (university-industry linkage) would require the assurance that his invention will reap him substantial financial reward, which only a patent can guarantee. Here the government can pitch in to make Intellectual Property Rights structure stronger in India. 
• Showcasing of India based technologies. There are various technologies available with Government and its supported institutions such as IITs, IISc, CSIR and DRDO Laboratories. However, users are often not aware of these.
• New technologies need to be incubated along with upgradation and adaptation of already available technologies. 

The future holds promise for India. We no longer need to be silent assimilators of technology. With the right infrastructure support and the right training, our scientists will no longer have to move to the western lands to prove their mettle.

Ladies and Gentlemen, before concluding I would like to congratulate DSIR for structuring a comprehensive two-day programme, which addresses matters of urgent scrutiny in India. I am sure our speakers today, all eminent persons from industry and government will put the matter in the right perspective and guide us in not just acknowledging our needs but also in making efforts in meeting those needs.

With this I once again welcome you all.

Thank you.