Global Innovation and Technology Alliance (GITA)
India has emerged as a vibrant and resurgent economy with adequate capital formation, young and large human resource base, rapidly expanding and robust infrastructure, enviable information technology base, high GDP growth rates, rising and growing domestic demand and a vast network of public funded R&D institutions. In spite of such a fertile and conducive environment, the country has not been able to leverage its potential and strength towards technology and innovation driven sustainable growth path like many other economies in the world.
Israel spends more than 4% of GDP in Research & Development (R&D). Japan, South Korea, Scandinavian countries spend more than 3%. US, France, Germany spend more than 2%. China spends more than 1.50%. But the most important point is, in all these countries, industry spends more than government in R&D – in some countries 3 times more than Government spending. In India while total spending in R&D is around 1%, Government's spending is 2 to 3 times more than that of Industr's.
In the 12th Five Year Plan, Government has a set a goal to double India's Gross Expenditure in R&D from its current level of 1% of GDP. Hence at the end of 2016-17, Government will raise its own investment to 1% of GDP and will take enough stimulating measures to raise private sector's investment to 1% of GDP. This is a big challenge. It will need huge mind-set change of industry, Government's trust on industry and most importantly, a professional delivery mechanism of Government's support to industry for building its technology depth and stimulate its investment in R&D.
In order to stimulate private sector's investment in R&D, an innovative pilot project named Global Innovation & Technology Alliance (GITA) was initiated by CII and the Department of Science & Technology (DST), Government of India in 2007-08.
DST under its bilateral & multilateral Science & Technology Cooperation agreements with many countries (more than 70 countries) launched industrial R&D programmes with Canada and Israel, as Pilot Project where India and these countries allocated fund to support industries for joint industrial R&D projects. In these country-specific programmes, if one industry from India and one industry from the Canada and Israel proposed jointly to do R&D for developing a marketable product, both the governments provided financial support up to 50% of project cost to their respective industries, once the project is jointly approved.
Looking at the successful role played by GITA project and also based on the growing response from various countries for entering into bilateral industrial R&D collaborations with India, it was felt and considered necessary that GITA may be institutionalized as an independent legal entity to be able to address the innovation needs of Indian industry in a comprehensive manner.
The sub-committee of PM's council on Trade & Industry recommended that “The currently deployed project initiative ‘Global Innovation and Technology Alliance’ (GITA) could be launched as an ‘Alliance Initiative’ of the Government and the Industry. GITA could be developed into an industry-driven body for supporting competitive innovation clusters, administering a National Innovation Fund under a PPP model, promotion of venture capital industry, promotion of open source innovations for social inclusion, IP acquisition by the government for non-exclusive licensing for public and social good, sectors of R&D and promotion of innovation culture in centres of excellence.”
And finally, GITA has been institutionalized as a legal entity; and it was incorporated as a private limited company under Section 25 of the Companies Act 1956 on 29th November 2011, promoted jointly by CII and Technology development Board (TDB) of Department of Science & Technology, Government of India. CII and TDB hold 51% and 49% equity respectively in GITA.
Strengthen India's innovation ecosystem through supporting and enabling technology and innovation driven enterprises.
To be an effective institutional mechanism for providing end to end services and support for the emergence of an innovation ecosystem with demand pull for industrial innovation and technology start-ups.