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The Not-So-Missing Case of Indian Innovation and Entrepreneurship

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Photo by Anastasia Zhenina on Unsplash

Hitendra Singh and Gauri Noolkar-Oak*

Recently, an article published in Modern Diplomacy caught our attention. The author has cited Mr. Wozniak, co-founder of Apple, and found his famous statement on Indians lacking enterprise and innovation to be ‘music to his ears’. He has then gone on to paint Indians in broad strokes – ironic, for it is something he has accused Indians of doing – and labelled them as a nation lacking entrepreneurial and innovative spirit. While his reasoning certainly has an element of truth and an instant appeal, our response looks to add nuances to his argument and provide a more realistic and complete picture of enterprise and innovation in India.

To begin with, the terms ‘entrepreneurship’ and ‘innovation’ cannot be used interchangeably; not all entrepreneurs are innovators, and vice versa. There are more than 50 million medium and small businesses operating in India which contribute 37% of India’s GDP and employ around 117 million people. These numbers sufficiently prove that entrepreneurship is alive and kicking in the Indian society; Indians are running businesses not only in India but are leading and successful entrepreneurs in many countries of Asia, Africa and rest of the world. Hence, an argument that Indians lack entrepreneurship does not hold much strength.

In the case of innovation and creativity, a different story is emerging. It is slow but is happening and it is solving some of the largest social and developmental challenges in India – from grassroots, to research labs, to top-tier institutions such as ISRO and various DRDO labs. At a global level, India has not only moved up six places in its GII ranking in 2017, but is also ranked second in innovation quality. India has also won international acclaim for its innovative and cost-effective technology; such as its first mission to Mars in 2014, the Mangalyaan, was successful in the first attempt, made entirely with domestic technology, and cost less than the Hollywood movies ‘Gravity’ and ‘The Martian’. It is surprising that the author spots lack of innovation in a household broom but does not see innovation in a nation that sends a successful Mars mission on a budget that is less than that of a Hollywood movie about Mars.

At the national level, grassroots innovation and entrepreneurship are gaining more and more institutional recognition; the National Innovation Foundation (NIF) and the annual Festival of Innovation at the Rashtrapati Bhavan are perhaps the only high-level government initiatives supporting and celebrating innovation in the world. Additionally, many universities and educational institutes across the country host innovation competitions, festivals and incubators.

Several remarkable individuals are nurturing India’s growing innovative and entrepreneurial spirit.Prof. Anil K. Gupta founded SRISTI (Society for Research and Initiatives for Sustainable Technologies and Institutions) in 1993 and the Honey Bee Network in 1997 to connect innovators from all sections of the society to entrepreneurs, lawyers and investors. For more than 12 years, he has walked around 6000 kilometres across the country, discovering extraordinary grassroots innovations on the way. Dr. Raghunath Mashelkar, an eminent chemical scientist, has led multiple scientific and technological innovations in the country, earlier as the Director-General of Council of Scientific and Industrial Research, and now as the President of the National Innovation Foundation.

And then, there are thousands of common men and women, hailing from various walks of life, innovating continuously and creatively to solve pressing everyday problems in the Indian society. There are the famous Arunachalam Muruganantham, who invented a cost-effective way of manufacturing sanitary napkins, and Mansukhbhai Prajapati, who invented a clay refrigerator which runs without electricity. Then there are Mallesham from Andhra Pradesh, who sped up the process of weaving Kochampalli sarees and reduced the physical pains of the weavers, and Shri Sundaram from Rajasthan, who found a way to grow a whole tree in a dry region with just a litre of water. Raghav Gowda from Karnataka designed a cost-effective and painless machine to milk cows, while Mathew K Mathews from Kerala designed a solar mosquito destroyer. Dr. Pawan Mehrotra of Haryana has developed a cost-effective version of breast prosthesis for breast cancer survivors while Harsh Songra of Madhya Pradesh has developed a mobile app to detect developmental disorders among children.

Three women from Manipur, OinamIbetombi Devi, SarangthenDasumati Devi and Nameirakpam Sanahambi Devi invented an herbal medicine that is proven to promote poultry health. Priyanka Sharma from Punjab developed a low-cost biochip to detect environmental pollutants, while Dr. Seema Prakash from Karnataka revolutionised eco-agriculture by inventing a cost-effective plant cloning technique. AshniBiyani, the daughter of Future Group CEO Kishore Biyani, leads the Khoj Lab, which collaborates with the NIF to help commercialise grassroots innovations and ideas.

These and thousands of such examples present a very encouraging picture of the creativity and innovation of Indians. The innovation that the author admires are rooted in a context. Apple and Google (or Lyft or Uber or Spotify) could be created because there was an end consumer who was looking to pay for their products. There are many India innovator-entrepreneurs, such as those mentioned above, who have created products for a necessarily less glamorous but useful India context. Products like brooms and packaged food add convenience to the time-stretched urban and middle and upper middle classes; with a large unskilled and semiskilled workforce competing vigorously for such jobs, does the Indian society have an incentive to invest in innovating them?

Having said that, it is true that upsurge of innovation in India is relatively recent, i.e. about two to three decades old. It is also true that the Indian society has been experiencing socio-economic affluence on such a broad scale only for the past three decades, since the market reforms of 1991. It has been 70 years since Indians have gained sovereignty and control over their resources. The top five innovative countries according to the GII – Switzerland, Sweden, Netherlands, USA and UK – have been sovereign states for about at least two and a half centuries. It would perhaps then be more accurate to compare India’s current innovation scenario with, for instance, the USA’s innovation scenario in the mid-19th century.

Further, given the economic and resource drain faced by the Indian society over centuries, Indian innovation was geared more towards surviving rather than thriving. This explains the ‘group mentality’ strongly rooted in mainstream Indian society; staying and cooperating in a group increased one’s capacity to cope with and survive through all kinds of adversity. Individualistic aspirations, beliefs and actions were then a price to be paid for the security blanket it offered. And yet, once relative stability and affluence began to set in, the innovative and creative instincts of Indians lost no time in bursting forth.

Long story short, both innovation and entrepreneurship are thriving in India. They might not be as “macro” or glamourous as Apple or Uber, but they are solving fundamental problems for the Indian masses. Undoubtedly, there is a lot of room for improvement and growth – India has a long way to go to be recognised as a global leader in innovation and entrepreneurship. However, the scenario is not by any means bleak, as these many examples point out. The trajectory of enterprises and innovation in India is only upward. The future is promising.

* Gauri Noolkar-Oak is Policy Research Analyst at Pune International Centre, a liberal think tank based in Pune, India.

Views expressed by the authors are personal and do not reflect those of the organisation.

Hitendra Singh is Head of Social Innovation Unit and Gauri Noolkar-Oak is Policy Research Associate at Pune International Centre, a liberal think tank based in Pune, India

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South Asia

Pakistan at a crossroads as Imran Khan is sworn in

Dr. James M. Dorsey

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Criticism of Pakistan’s anti-money laundering and terrorism finance regime by the Asia Pacific Group on Money Laundering (APG) is likely to complicate incoming Pakistani prime minister Imran Khan’s efforts to tackle his country’s financial crisis.

Addressing the criticism of the 41-nation APG, which reports to the Financial Action Task Force (FATF), an international anti-money laundering and anti-terrorism watchdog that earlier this year put Pakistan on a grey list with the prospect of blacklisting it is key to a possible Pakistani request for a US$ 12 billion International Monetary Fund (IMF) bailout.

A US demand that any IMF package exclude funding for paying off Chinese loans coupled with the APG/FATF criticism, against a backdrop of the Pakistani military’s efforts to nudge militants into the mainstream of Pakistani politics and the incoming prime minister’s mixed statements on extremism, could push Mr. Khan to turn to China and Saudi Arabia for rescue, a move that would likely not put Pakistan in the kind of straightjacket it needs to reform and restructure its troubled economy.

The APG criticism followed Pakistani efforts to demonstrate its sincerity by passing in February the Anti-Terrorism Ordinance of 2018, which gave groups and individuals designated by the UN as international terrorists the same status in Pakistan for the first time.

Pakistan, however, has yet to implement the ordinance by for example acting against Hafez Saeed, a leader of the banned group Lashkar-e-Taiba and the alleged mastermind of the 2008 attacks in Mumbai, who despite having been designated a global terrorist by the United Nations Security Council and having a US$ 10 million US Treasury bounty on his head, fielded candidates in last month’s election.

The APG, which just ended talks with Pakistani officials, has scheduled follow-up visits to Pakistan in September and October to monitor Pakistani progress in addressing its concerns, which focus on legal provisions governing non-profit and charitable organisations, transparency in the country’s beneficial ownership regime and the handling of reports on suspicious financial transactions.

Those concerns go to the heart of the effort by the Pakistani military and intelligence to mainstream militants who garnered just under ten percent of the vote in last month’s election but have a far greater impact on Pakistani politics. The military and intelligence have in the past encouraged militants to form political organizations with which mainstream political parties have been willing to cooperate and establish charity operations that have had a substantial social impact.

Similarly, Mr. Khan, who earned the nickname Taliban Khan, is likely to have to counter his past record of allowing government funds to go to militant madrassas, his advocacy for the opening in Pakistan of an official Taliban Pakistan office, and his support of the Afghan Taliban. His Tehreek-e-Insaf (PTI)-headed government in Khyber Pakhtunkhwa, gave in February US$2.5 million to Darul Aloom Haqqania, a militant religious seminary.

Dubbed a “jihad university,” Darul Aloom Haqqania, headed by Sami ul-Haq, a hard-line Islamist politician known as the father of the Taliban, counts among its alumni, Mullah Omar, the deceased leader of the Taliban, Jalaluddin Haqqani, the head of the Haqqani Network. Asim Umar, leader of Al-Qaeda in the Indian Subcontinent, and Mullah Akhtar Mansoor, Mullah Omar’s successor who was killed in a 2016 US drone strike.

Those may be policies that, at least initially, may be less of an obstacle in assistance on offer from China and Saudi Arabia to replenish Pakistan’s foreign exchange reserves that have plummeted over the past year to US$ 10.4 billion, enough to cover two months of imports at best. Pakistan’s currency, the rupee, has been devalued four times since December and lost almost a quarter of its value.

Chinese loans have so far kept Pakistan afloat with state-owned banks extending more than US$5 billion in loans in the past year. PTI officials said this week that China has promised the incoming government further loans to keep Pakistan afloat and enable it to avoid reverting to the IMF, which would demand transparency in the funding of projects related to China’s US$50 billion plus investment in the China Pakistan Economic Corridor (CPEC), a crown jewel of its Belt and Road initiative.

And that is where the rub is. Despite Chinese officials reportedly urging Pakistan to reduce its deficit, neither China nor Saudi Arabia, which has offered to lend Pakistan US$4 billion are likely to impose the kind of regime that would put the country, which has turned to the IMF 12 times already for help, on a sustainable financial path.

Relying on China and Saudi Arabia would likely buy Pakistan time but ultimately not enable it to avoid the consequences of blacklisting by FATF, which would severely limit its access to financial markets, if it fails to put in place and implement a credible anti-money laundering and terrorism finance regime

Moreover, relying on China and Saudi Arabia, two of Pakistan’s closest allies could prove risky. Neither country shielded Pakistan from FATF grey listing in February. A Chinese official said at the time that China had not stood up for Pakistan because it did not want to “lose face by supporting a move that’s doomed to fail.”

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South Asia

The problem of pellet guns in Kashmir

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Jammu and Kashmir is the only northern state of the Indian union dogged with an overridden unhealthy political atmosphere. The valley of Kashmir is beset with a major governance deficit which has given renewed impetus to the dissenting voices of the masses day in and day out. Dissent is the hallmark of a democracy which acts as a medium for the expression of the masses against the system. There are certain rights and duties guaranteed by the Indian constitution for the citizens, including the right to freedom of expression and right to life. Caught in the quagmire of a political crisis that has deeply permeated the society, the people in Kashmir from time to time vent up their dissent. Hartals are the tools for the masses through which they ventilate their pent up emotions. Kashmir is not a different case. It is also amuck with crisis and caught in a looming distress day in and day out. Kashmir is the most sensitive zone of the whole Asian sub-continent, where situations turn awry with the passage of time, like the seasons of the year and is the only state of the Indian Union where there has been a reckless use of the pellet guns without any regard for the precious life of the common man. This is a sort of dichotomy.

The use of pellet guns is a major problem which has not only maimed, blinded and killed the masses, but also shaken the collective conscience of the people, who have fallen prey to a different approach of dichotomy of the government. The killing of militant commander Burhan Wani in 2016 brought about a volcanic eruption in valley which not only deteriorated the situation in Kashmir, but also increased the massive alienation of the masses. The waves of grief and anger against the day-to-day killings and maims that the people felt increased with each passing day. In order to control the crisis, the security agencies used the deadly pellets which caused heavy damage to the sufferers. More than 1200 people lost their vision in 2016. According to a report of State Human Rights Commission (SHRC), more than 75% people suffered injuries due to pellet guns, ranging from minor to major in 2016.There was a heavy loss of life.

Although small in size, these black metallic balls have deteriorated our young generation. The use of pellet guns has wreaked crisis in Kashmir. For the security agencies, it is meant to disperse the crowds, but, for the common masses, it is a problematic affair. Pellet guns are pump-action shotguns which fire a cluster of small, round, metal pellets with high velocity over a broad range.

Recently, after the killing of a militant from Pahalgam area during the anti-establishment protests, a number of people were injured due to pellet A nurse working in the same area personally told me that we healed at least 100 plus pellet injured victims. The bloody Sunday of this year’s April and the subsequent clashes of the protestors with the security agencies left many injured, with multiple cases of pellet injuries to the eyes of the protestors.

Naseer Ahmad Bhat of Seer Hamdan, Anantnag was killed by the security forces during the post-Burhan phase of 2016 protests in Kashmir. He was an able worker and a good cricketer who fell silent to the pellets. Not only the collective conscience of the people was shaken, but also a state of disparity ensued. These deadly pellets have not even spared the school going children and snatched the power of seeing of the victims. Insha, a pellet victim who passed her matriculation examination last year despite odds is an inspiring hope for the likewise victims.

Pellets cause a number of biological ramifications in the victim, like the loss of vision, the state of paralysis, in case, the damage is caused to the spinal cord, defacements, and death in case of damage to the vital organs of the body, like, heart, kidneys, lungs, brain, etc. Moreover, the pangs of guilt that a victim suffers in silence dishearten one and all. The use of pellet guns as a crowd-control method during protests, whether in case of cordon and search operations (CASO) or common protests has added a volley of questions to the psyche of the common man? Being a part of the Indian union, that two acing the crown, Kashmir has been treated otherwise all through the passing times. People have got million queries, but, there are no solid answers to their problems and subsequent tactful solutions.

The substitution of pellet guns with PAVA shells can in no way control the crisis. The way people of other parts of the country are treated should form a close semblance in case of protests in Kashmir. Why the security forces are using pellets and bullets against the people whom the system claims with a sense of belonging. There can be other alternatives, like the use of water cannons without any damage and subsequent ensuing crisis that engulfs the society and creeps the psyche of the common men. If this is the notion of the system to punish dissent, then dissent itself takes a u-turn of additions and alterations with the passage of time. The bleeding valley is giving a close call for one and all to unite and ensue a state of peace and order. There is an urgent requirement of the administrative and political will to stop the use of pellet guns in Kashmir.

Whatever is happening to the people of Kashmir has not been experienced by the other people of the country. After all, it is a question of humanity. People suffer out of the ways as circumstances decide or may be destined otherwise. But to expect a peaceful valley without the intervention of a political will would be an underestimation of statements. There is a dual intolerance in Kashmir, one from the people and next from the system. The systematic targeting of the protestors from a point blank range irrespective of regard for the human life has shattered several families in Kashmir

Kashmir is passing through the phases of testing times with each passing day. The ugly turn of the situations and recurring events and the amateur dealing of the same has created an unhealthy atmosphere everywhere, where people have lost faith in the governance systems. The safety and security of every Tom, Dick and Harry is the looming question of the hour. Exits from dwellings and adieus from home don’t guarantee the safe return of the leavers. The interlocutor of the centre in vale, Mr. Dineshwar Sharma once reiterated that, ‘the priority is to prevent Kashmir turning into Syria’. The imbroglio has crippled the educational scenario, down slowed the economy, increased the unemployment, but, above all, the ultimate question is the redressal of the problem at stake, which for God sake can erupt into a lava-laden volcano one day and engulf the whole peace, stability and order of the South Asia, if not tactfully handled in the current times by the government.

The victory of BJP at the centre with the thumping majority after the 2014 Lok Sabha elections with the slogan of ‘minimum government, maximum governance’ falls short of words and has partially failed in the state of J&K.The killings of the common masses are in no way remedies to the political ailments. There should be the ultimate regard for the human lives. Why has the blood of the people become so cheap .When will peace return to the valley of Kashmir? The government of India had constituted an expert committee in July 2016 to explore other possible alternatives to pellet guns as non-lethal weapons. Although, the committee submitted its report and the recommendations were taken into account by the government for implementation. But, what happened afterwards lies in the public domain for discussion. The use of pellet guns is tantamount to the violation of rights of the people.

In order to direct the valley towards the state of peace and development, the role of multiple players of India, Pakistan and Valley is necessary. This way the government can make a significant contribution in the restoration of normalcy. The need of the hour is the unity of all the stakeholders of the society, like government, non-governmental parties, NGO’s, etc. to help these pellet victims via financial or other means.

Although, there has been a strong criticism of the use of pellet guns not only at the local level ,but also at the international level, but the main part of the problem resolution lies with the government of India and the state. Although, much has been said and written about the people of Kashmir with the flow of waters of the river Jhelum, but the stability of the region is a farfetched dream. Here, comes the role of the government into play. The use of pellet guns against the dissenting masses has wreaked havoc and wounded the collective psyche of the people, particularly those who have lost their near and dear ones due to the deadly metallic balls. Those who have fully or partially lost the vision and are living in dark suffer in silence. The government should review the situation and put a full stop for the future use of pellet guns. Those who have lost their dear ones should be financially compensated or by provision of bread and butter. However, the clarion call of the people is the complete ban and stoppage of these pellet guns in order to prevent the further damage and restore the faith of the people in the system. The government of India should pass a resolution to put a terminal pause to the use of pellet guns in the state of Jammu and Kashmir.

The vital task for the current times is to build a consensus for the total pellet ban. The use of non-lethal methods by the security agencies like water cannons could be the best alternatives. This will not only restore the faith of the people in governance, but also generate a feeling of belongingness among the masses. The bruised scars of the pellets have defaulted the trust of the people in the political system. Although, the situation is worrisome for one and all, but, in which direction the boat sails lies with the future course of action. After all action speaks louder than the words.

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South Asia

Pakistan not a Threat for Israel: Clearing Misconceptions

Uzge A. Saleem

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Ever since 1998; the beginning of Pakistan’s nuclear age, the state’s self-defense mechanism has been a source of worry and unrest for India and the US. Both these states never really accepted that a small state like Pakistan could develop the prestigious asset and was now well capable of defending itself against external threats. US opposed the program on the grounds that it had been tested after the signing of NPT and that it is an “illegitimate” program. Their basic concern was Pakistan not being a party to NPT and US non-proliferation efforts failing. India, though very much against the program, could not openly oppose it on the same grounds because its own Nuclear Program had the same issue i.e. it was tested after the signing of NPT and they had also not signed the treaty.

There  are  a  lot  of  ambiguities  surrounding   Pakistan’s  nuclear  program  which  are  there intentionally for the benefit and security of the program and state. However, there is one thing which has been kept very clear since day one and that is the Indo centric nature of Pakistan’s nuclear program. The program was developed because the conventionally strong next door neighbor had developed their program. Pakistan, in an attempt to ensure territorial security, had to develop its own program as well. US, China, Russia, France or the UK were never a threat to Pakistan nor was Pakistan on their attack agenda. India on the other hand was in close territorial proximity, a historic enemy, conventionally stronger and now also a nuclear power. After evaluating all these factors any national strategist would suggest a nuclear program for Pakistan and that is exactly what the state did.

There have been news in an Israeli newspaper,  Haaretz, that Pakistan is more of a threat to Israel than Iran. This was published on 20 May, 2018. The grounds for this allegation have been identified  as  Pakistan’s  growing  arsenal  and  other  similar  reasons  which  have  always  been popular in the western policy circles. Iran, a conventional enemy, one with which there have been numerous conflicts, has been ruled out as a threat to Israel since they do not have a nuclear arsenal.

However, there are many concrete facts that have been ignored in this propagating debate. For instance Pakistan has had no wars with Israel. Both the states have never even been on the verge of an all-out war. The states have never even had a conflict that could’ve led to war. Although Iran does not have  a nuclear arsenal at present but that did not stop the states from indulging into conflicts before and although initiating a nuclear war might not be a possibility for Iran but a conventional war is very much within their skill set.

Pakistan is already indulged in a two front defense strategy on its eastern and western borders. The Taliban threat from the west and the ever present Indian threat from the east, particularly along the  line of control is already consuming most of the state’s energy, attention and resources. Under such circumstances, jumping into any sort of venture as far as Israel without any apparent or direct conflict seems like an amateur move which is not expected from Pakistan whatsoever. If any linkages are being made based on the fact that Iran and Israel have cordial ties then they are weak to begin with. On the other hand India and Iran have more than friendly ties and India’s nuclear arsenal is growing rapidly with the US help. However, this does not mean that just because India is a nuclear state and a friend of Iran, it will be inclined to attack Israel.

Pakistan’s nuclear program is solely for the safety and security of the nation against any external threat.  The program  is not for the state  to pick  and choose  enemies  and start  non-existing conflicts. That is definitely not how Pakistan intends to use its resources and deviate from the real agenda which is to protect the state of Pakistan. The only condition under which Pakistan would use its nuclear weapons against any state would be if they choose to attack the territory of Pakistan in a nuclear or non-nuclear manner. The state has been absolutely clear about this from the very beginning of its  nuclear era.

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