Lok Sabha Question No. 179 (UNSTARRED), answered on 2015-11-30
Subject: India&#39;s Ranking in Global Innovation Index
Ministry: COMMERCE AND INDUSTRY
Asked by: JAYAKUMAR JAYAVARDHAN

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT OF INDUSTRIAL POLICY & PROMOTION

## LOK SABHA

UN STARRED QUESTION NO. 179.

TO BE ANSWERED ON MONDAY, THE 30 TH  NOVEMBER, 2015.

## INDIA'S RANKING IN GLOBAL INNOVATION INDEX

## 179. DR. J. JAYAVARDHAN:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

वाणिज्य एवं उद्योग मंत्री

- (a) the position of India's ranking in the list of Global Innovation Index during the last three years and the current year;
- (b) whether India's ranking has slipped further in the list of Global Innovation Index as compared to the year 2014;
- (c) if so, the details thereof and the reasons therefor; and
- (d) the corrective steps taken/being taken by the Government in this regard?

## ANSWER

## वाणिज् यएवंउद्योगााज् यमंत्रीस् वतंंत्र्रभााा(स्ीमतंीिरममलााीीतंाामि( THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF COMMERCE & INDUSTRY (SHRIMATI NIRMALA SITHARAMAN)

- (a): 'The Global Innovation Index' (GII) is a publication brought out by Cornell University, INSEAD, and the World Intellectual Property Organization (WIPO) as co-publishers, and their Knowledge Partners. The Confederation of Indian Industry (CII) was their knowledge partner from India for the year 2015. India's position in the GII rankings during current year and last three years is as under:
- (b): The Global Innovation Index (GII) 2015 covers 141 economies around the world and uses  79  indicators  across  a  range  of  themes.  The  rankings  are  based  on  data collected during earlier years and thus do not truly reflect the status in the country in 2015. For example, the data for India's overall R&D spending pertains to the year 2010, and the significant amount of spending done by Industry and Government on R&D in last 5 years has not been captured and does not get reflected in the ranking. The  GII  Report  itself  states  that  there  are  certain  areas  where  data  could  not  be captured  because  of  the  non-availability  of  standard  international  indicators,  and even if some of these areas have produced good innovation advantage for a country like India, it does not translate into ranking.  At the same time, the Report states that India still needs to implement substantial reforms in its innovation policy in order to further improve its innovation performance.
- (c): Though India's ranking for the year 2015 stands at 81 as against 76 in 2014, this is not a true reflection of the status in the country in 2015. The Report itself identifies India as the top economy in GII rankings in Central and Southern Asia and also as one  of  the  middle  income  group  countries  which  is  narrowing  the  gap  in  the innovation  quality  due  to  improved  quality  in  higher  education  institutions.  The  GII 2015 report states that over the years, India has developed a stable foundation for scientific, technological, and business education by setting up centers of excellence such as the Indian Institutes  of  Science  (IISC), the  Indian  Institutes  of  Technology (IITs), and the Indian Institutes of Management (IIMs). The Report further notes that the strength of scholarly publications from India has been a key proponent for driving innovation  capacity.  The  Report  acknowledges  that  India  has  leapfrogged,  leaving others in its category behind, in areas like mobile networks, information technology, and broadband. This revolution in communications has affected a pace of knowledge creation and dissemination in the economy that is unprecedented in Indian history. It has  helped  to  transform  innovation-driven  entrepreneurship  from  the  point  of aspiration to the point of reality for the people of India.
- (d): The Government has taken various measures for promotion and growth of scientific research  in  the  country.  These  measures  include  successive  increase  in  plan allocations  for  Scientific  Departments,  setting  up  of  new  institutions  for  science education and research, creation of centres of excellence for research and facilities in emerging and frontline S&T areas in academic and national institutes, establishment  of  new  and  attractive  fellowships  for  both  research  students  and scientists, recent substantial revision of fellowships for research students, strengthening  infrastructure  for  Research  and  Development  (R&D)  in  universities, encouraging public-private R&D partnerships, recognition of R&D units and national awards for  outstanding  R&D  for  industries  and  setting  up  of  Technology  Business Incubators and Innovation and Entrepreneurship Development Centers.

| Year            |   2015 |   2014 |   2013 |   2012 |
|-----------------|--------|--------|--------|--------|
| India's Ranking |     81 |     76 |     66 |     64 |

The GII: 2015 also recognizes the strides being made by India in this regard. The report states, inter alia, that Government of India has 'established an aligned Ministry for  Skill  Development  and  Entrepreneurship.  This  is  a  step  forward.  With  the intervention of the government and the private sector, the level of innovation in Indian industry  is  also  growing  and  more  and  more  Indian  SMEs  are  coming  forward  to invest in collaborative R&D.' Citing an example, the report further states that publicprivate partnership platforms such as the Global Innovation and Technology Alliance, a not-for-profit organization, are opening up opportunities for Indian companies to join with  their  foreign  counterparts  and  develop  products  and  technology  through  joint R&D programmes. The report also acknowledges that 'In India's most recent Union budget presented in February 2015, the government placed considerable emphasis on  rapid  development  in  the  SME  sector  by  addressing  the  funding  issue.  It  has created  a  fund  of  Rs.  20,000  crore  with  a  credit  guarantee  of  Rs.  3,000  crore  for entrepreneurs in this sector. In addition, it set aside Rs. 1,000 crore for a TechnoFinancial,  Incubation  and  Facilitation  Programme  to  support  all  aspects  of  start-up businesses,  and  other  self-employment  activities,  particularly  in  technology-driven areas. The Ministry of Micro, Small & Medium Enterprises has launched Intellectual Property Facilitation Centres in different parts of the country with the aim of creating an  intellectual  property  culture  within  SMEs  by  looking  at  protection,  capacity building, information services, and counselling and advisory services regarding IPR.'

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