Innovation and Patents Sectore Report - December 2016

11DECEMBER 2016

INNOVATION AND PATENTS

For updated information, please visit www.ibef.orgDECEMBER 2016

22DECEMBER 2016 For updated information, please visit www.ibef.org

Executive Summary………….…….………….3

Advantage India…………………….…………4

Market Overview and Trends……….………..6

Porter’s Five Forces Analysis …………...…27

Strategies Adopted…………………….…….30

Growth Drivers………………………………..33

Opportunities………………………………….41

Success Stories………………………………45

Useful Information……………………..…….51


DECEMBER 2016


EXECUTIVE SUMMARY

Source: Reserve Bank of India, R&D Magazine, International Monetary Fund, World Bank,

CIA Fact Book, OECD, TechSci Research

Note: R&D - Research and Development;

Figures mentioned are as per latest data available


Sixth-largest R&D

investor

• In 2015, India’s R&D expenditure increased to USD66.49 million from USD61.85 billion in

2014.

• In 2015, India became the world’s sixth largest annual R&D spending country, accounting

for 3.53 per cent of global R&D expenditure

• R&D spending in India is anticipated to grow from 0.9% to 2.4% of the country’s GDP from

2014 to 2034 respectively

• As per the latest World Intellectual Property Organization (WIPO) report published in

September 2015, India’s position moved up from 85th to 61st in the Global Innovation Index

Pharma sector driving

R&D growth

• India’s pharmaceutical industry, which accounts for about 1.4 per cent of the global

pharmaceutical industry in value terms and 10 per cent in volume terms, is expected to

remain a major R&D growth driver

Rapidly growing

overseas investment

• Cumulative overseas direct investments by India grew at a CAGR of 38.78 per cent,

during FY08-16, reaching USD289 billion during FY16 from USD21 billion in FY08, global

car makers are also looking to move their R&D investments in India

ADVANTAGE INDIA


55DECEMBER 2016

Growing demand

For updated information, please visit www.ibef.org

ADVANTAGE INDIA

Source: R&D spending estimate by Battelle and R&D Magazine, TechSci Research

Notes: F - Forecast, E – Estimated, IPR - Intellectual Property Rights, CoE - Center of Excellence, PPP - Public Private Partnership, TRIPS - Trade Related Aspects

of Intellectual Property Rights, NMITLI - New Millennium Indian Technology Leadership Initiative, NIC - National Innovation Council;


Robust demand

• Rising income and evolving lifestyles have led to higher demand for aspirational products

• Indian companies’ investments in R&D is not surprising given the importance of innovation to sustain competitive edge

• Indian players are set to benefit from expiration of patents

Attractive opportunities

• Indian Computer Emergency Response Team (CERT-In) and Cisco have signed a MoU for strategic cybersecurity cooperation, which aims to enhance digital security readiness and awareness.

• India is the top exporter of IT products and has the third largest pharma sector with a fast growing contract research segment

Policy support

• PPP for promoting exchange of scientific knowledge and R&D

• Strengthening educational infrastructure

• Amendments to the Patents Act (1970) to make it TRIPS-compliant

• Setting up of NIC in 2010

• Adoption of Science, Technology and Innovation Policy 2013

High ratings

• Establishment of CoEs in various areas; NMITLI initiative on PPP basis

• Increased investments by private players; setting up of R&D centers

• During FY10–15, increase in Intellectual Property Rights (IPR) applications witnessed at a CAGR of 26.9 per cent, with the number increasing from 79,697 to 262,638

2015E

R&D

spending:

USD66.49

billion

2016F

R&D

spending:

USD71.48

billion

Advantage

India


MARKET OVERVIEW AND TRENDS



EVOLUTION OF INNOVATION AND R&D IN INDIA

Source: Zinnov, Korn/Ferry International, Asia-Pacific Research Center, Stanford University, TechSci Research

Notes: TRIPS - Trade Related Aspects of Intellectual Property Rights, WTO - World Trade Organisation


• Indian Patents and

Designs Act (1911)

• Dependence on bulk

imports

• Establishment of CSIR,

DRDO, ICAR, ISRO and

IITs

• Patents Act (1970)

• Recognition of

process patents

only

• Restricted foreign

ownership in Indian

companies

• Focus on ‘reverse

engineering’ among

pharmaceutical

companies

• TRIPS under WTO

(1995)

• Amendments to the

Patents Act (1970) to

make it TRIPS compliant

• Reintroduction of product

patents

• Reduction in tariff and

non-tariff measures

• Easing FDI norms

• Shifting focus in pharma

towards clinical research

and new drug

development

Before 1970

Introductory Stage

1970 to early 1990s

Indigenization

Stage

Early 1990s to 2005

Liberalization and

Transition Era

2005 onwards

Growth Era

• Augmentation of network of centrally-funded

institutions and universities

• Increase in R&D and exports in sectors such

as IT, pharma, electronics and automobiles

• Innovations in automobiles such as Nano,

the world’s least expensive car

• Numerous innovations from rural India

• Setting up of National Innovation Council

• Adoption of Science, Technology and

Innovation Policy 2013

• In FY15, 42,763 patents were filed in the

country, of which 5,978 were granted

• During April 2000 to March 2016, Cumulative

FDI inflows in the sector reached USD288.63

billion


FORMS OF INTELLECTUAL PROPERTY

Source: Department of Industrial Policy

and Promotion, TechSci Research


Intellectual

Property (IP)

Patents

Trademarks

Geographical

Indications

Industrial Designs

Layout Designs

Plant Variety

Protection

Copyright

99DECEMBER 2016

37

51

46

60

71

77

109

167

396

514

Brazil

Russia

United Kingdom

France

India

Souht Korea

Germany

Japan

China

United States


INDIA AMONG THE WORLD’S LEADING R&D INVESTORS


Source: Nature Magazine, Battelle, TechSci Research

Notes: GERD - Gross Domestic Expenditure on R&D,

R&D - Research and Development; 1 - Data is for May 2015;

Expected expenditure of world’s leading R&D

investors in 2016 (USD billion)India’s R&D investments increased to USD71.48 billion in

2016 from USD66.49 billion in 2015.

R&D investments has helped Indian companies to

overcome tight competition with affordable products

internationally

Spending per Researchers1

(in thousands)342

293273

238 226 214 202181 173 171 157 155

58

United S

tate

s

Germ

any

Austr

ia

Italy

Japan

Fra

nce

South

Kore

a

Bra

zil

Chin

a

India

Canad

a

UK

Pakis

tan

1010DECEMBER 2016

61.85

66.49

71.48

2014 2015E 2016F



Source: R&D Magazine, International Monetary Fund, World Bank, CIA Fact Book,

OECD, Department of Science and Technology, TechSci Research

Notes: CAGR - Compound Annual Growth Rate, PPP - Purchasing Power Parity,

R&D – Research & Development, E – Expected, F – Forecast

R&D spending in India (USD Billion)India’s share of global R&D spending rose to 3.53 per cent

in 2015 from 3.43 per cent in 2014 and is forecast to be at

3.67 per cent in 2016

As of 2015, on the basis of investment in R&D, India is the

sixth largest country across the globe and the fourth largest

country in Asia. The country’s R&D investment growth is

likely to outpace overall GDP growth by the end of 2018.

In 2015, R&D investments in India was 0.9 per cent of GDP

which would further increase and reach 2.4 per cent by

2034

In developed and emerging economies, the ratio of private

and public sector investments in R&D is generally around

2:1. However, in India, as per recent estimates in 2015,

private sector investments in R&D stand at just about half of

that of the public sector, indicating huge potential for private

players

STRONG GROWTH IN R&D INVESTMENTS IN INDIA OVER THE YEARS

1111DECEMBER 2016

2138

56

100

125

146

183

249

289

FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16


INDIA HAS BEEN EXPANDING ITS INVESTMENT HORIZON ABROAD


Source: Reserve Bank of India, Department Of Industrial Policy &

Promotion (DIPP), TechSci Research

Cumulative overseas direct investment

(USD billion)Cumulative overseas direct investments increased to

USD289 billion in FY16 from USD21 billion in FY08, leading

to significant amount of technology transfer through

industrial acquisitions

For instance, Lupin’s total number of patent filing reached

2,525 in FY16 up from 600 in FY08. In FY16, the company

filed 57 formulation patents, 75 API (Active Pharmaceutical

Ingredient) and 33 in the field of biotech.

Out of filed patents, in FY16, the company got approval for

22 formulation patents, 11 API (Active Pharmaceutical

Ingredient) patents and 41 NCE (New Chemical Entity)

patents.

In FY16, the company invested around USD244 million for

R&D.


TRADEMARK APPLICATION ACCOUNT FOR MAJOR SHARE OF IPR APPLICATIONS


Source: Department of Industrial Policy and Promotion, Intellectual Property India

Annual Report 2015-16, (up to

Dec., 2015) TechSci Research

Note: Figures mentioned are as per latest data available

Break-up of Intellectual Property Rights (IPR)

applications (FY16)

During FY2015-16, the total number of Intellectual Property

Rights (IPR) stood at 251,420

Trademark applications accounted for the largest share of

82.70 per cent, with the total number of applications

standing at 207,923 in FY15

Patent and design applications accounted for 14.10 per cent

(35,447 applications) and 3.20 per cent (8,035) share,

respectively

82.70%

14.10%

3.20%

0.01% Trade Mark

Patent

Design

GeographicalIndications


IPR APPLICATIONS TRENDING NORTH

Source: Department of Industrial Policy and Promotion, Intellectual Property India Annual Report 2014-15, TechSci Research

Note: Figures mentioned are as per latest data available* (up to Dec., 2015)

Intellectual Property (IP) applications (‘000)

During FY07–15, increase in Intellectual Property Rights (IPR) applications was witnessed at a CAGR of 4.78 per cent, with the

number of applications increasing from 172,374 in FY07 to 262,590 in FY15.

During FY07-15, the total number of trademark applications increased at a CAGR of 5.4 per cent and reached to 210,501 by the

end of FY15

Patent and design applications rose at a CAGR of 5 per cent and 6.8 per cent respectively, during the same period

Growing IP application activity indicates increased in-house R&D and innovation in India

INNOVATION AND PATENTS3

5.2

18

36

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2

34

.28

7

39

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43

.19

7

43

.67

4

42

.95

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6.5

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7.5

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15

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16*

Patents Designs Trade Marks Geographical Indications

1414DECEMBER 2016

721

776

835

872

913928

955988

1033

1085

1139

2010 2011 2012 2013 2014 2015 2016E2017F2018F2019F2020F


INDIA IS FAST EMERGING AS A GLOBAL R&D HUB … (1/2)

Source: Zinnov Consulting - Crossing the value chasm, TechSci Research

Notes: CAGR - Compound Annual Growth Rate,

MNC – Multinational Corporations

R&D - Research and Development, E – Estimate, F – Forecast

MNC R&D centers in IndiaThe number of MNC R&D centers in India has grown at a

CAGR of 5.2 per cent from 721 in 2010 to 928 in 2015, with

the total number of MNC R&D centers estimated to reach

955 by the end of 2016

During 2010-15, the workforce in MNC R&D centers

increased at a CAGR of 9.63 per cent and reached 323,000,

which is estimated to further increase to 353,000 by 2016 in

India.


CAGR: 4.7%

204220

244268

295323

353387

424

464

508

2010 2011 2012 2013 2014 2015 2016E2017F2018F2019F2020F

MNC R&D centers workforce in India

(in 000’)

CAGR: 9.6%



INDIA IS FAST EMERGING AS A GLOBAL R&D HUB … (2/2)

Source: Zinnov Consulting Report 2015, TechSci Research

Notes: CAGR - Compound Annual Growth Rate,

R&D - Research and Development

YoY- Year on Year

Vertical-wise distribution of R&D centers in India

(2015)

Until 2005, Tier-1 cities were the favourite destination for

MNCs due to availability of rich talent, favorable policies,

and better quality of life

However, post-2005, MNCs have started expanding to Tier-

2 cities, as they offer benefits such as higher catchment

area, lower attrition and cost arbitrage

R&D related investments and processes attain easier

approval from regulatory authorities, globally. This has also

increased focus on new generics

India’s R&D ecosystem has grown at a phenomenal pace in

the last ten years. 42% of the Global 500 R&D Spenders

have centers in India, with the figure expected to reach 49%

by 2020

As of 2015, 928 MNCs, with a total of 1165 R&D centers

were operating within the country.

Bangalore and Pune accounted for the highest

concentration of R&D Talent, with around 96% of MNCs

housed in Tier-1 cities.

India has emerged as the most preferred destinations for

innovation in Asia and the third biggest, globally, with

'Silicon Valley' of East Bengaluru leading the charge, says

Capgemini, a research by global consulting major.

13

62

7

39

11

90

18

21

22

57

9

20

4

25

68

302

76

4

0 50 100 150 200 250 300 350

Aerospace & Defence

Automotive

Biotechnology

Chemicals & Materials

Diversified

Electrical & Electronics

Energy

Engineering Services

FMCG

Industrial

Media & Entertainment

Medical Devices

Others

Pharmaceuticals

Semiconductors

Software/ Internet

Telecom & Networking

Travel & Transportation

1616DECEMBER 2016

7.8

15

2015 2020


INDIA IS ALSO GARNERING THE BENEFITS OF R&D OUTSOURCING

Source: Financial Express, Value Notes, TechSci Research

Notes: R&D - Research and Development,

IT - Information Technology; CAGR - Compound Annual Growth Rate;


Engineering R&D outsourcing in India

(USD Billion)Companies across sectors (such as IT, consumer electronics,

personal devices, medical electronics, telecom and

automobiles) are now offshoring complete product responsibility

India has become one of the most preferred location for

engineering offshoring

By 2020, USD42 billion worth of work related to R&D of product

engineering is expected to be outsourced to India, growing by a

CAGR of 22.7 per cent from 2003

The outsourcing R&D services market in India is expected to

reach USD38 billion by 2020 from USD20 billion in 2015.

Newer capabilities such as supply chain, regulatory

compliances and manufacturing engineering are being

developed by Engineering R&D Service providers

Service providers in Europe are increasingly looking at scaling

up and setting offshore operations in India to access cost

effective large talent pool


CAGR: 14%


GLOBAL 500 COMPANIES PRESENCE IN INDIA

Source: Zinnov – Crossing the value chasm, TechSci Research

Notes: R&D - Research and Development1 – Data is up to Dec 2015,

2 – Data is up to September 2015,3 - Data is for FY15

Number of R&D centers for global 500 companies,

2014

The top 500 R&D spenders contribute over USD614 billion with the

top 100 R&D spenders alone contributing 66 per cent to the global

R&D spend

In FY15, most of the leading pharma players spent anywhere

between USD58-325 billion on R&D, which represented an increase

both in absolute term as well as in proportion to net revenues (8-11

per cent of sales)

More than one-third of the top 1,000 global R&D spenders have

centres in India. Around 50 per cent of the global 500 companies

present have more than 10 per cent of the global headcount in

India

During 2015, 40 per cent of the overall R&D globalisation, valuing

USD12.3 billion was based out of India. 69 per cent of the new

offshore technology centres are being setup in the country


46

83

52 4528 20

4

17

48 5572 80

Top 50 Top 100 100- 200 200-300 300-400 400-500

Present Not present

R&D spending by top six pharma giant FY16

(USD million)352

272.44244

158.16

104.03 10271.79

SunPharma

Dr Reddy Lupin Cipla Cadila Wockhardt Aurobindo


Encouraging the private

sector

• The benefit of section 10 (23 G) of the IT Act has been extended to financial institutions

that provide long-term capital to hospitals with 100 beds or more

• Government is encouraging the PPP model to improve availability of healthcare services

and provide healthcare financing

Encouraging

investments in rural

areas

• The benefit of section 80-IB has been extended to new hospitals with 100 beds or more

that are set up in rural areas; such hospitals are entitled to 100 per cent deduction on

profits for five years

• Under Union Budget 2016-17, government allocated USD130 million to encourage

farmers to opt for allied activities

• In Union Budget 2016-17, the government, under the Accelerated Irrigation Benefit

Programme (AIBP), would ensure to complete 23 irrigation projects before March 2017

Source: Union Budget 2014-15, Union Budget 2015-16,

Union Budget 2016-17, Health Ministry, TechSci Research

STRONG POLICY SUPPORT CRUCIAL IN DEVELOPING THE SECTOR


Tax incentives

• As per Union Budget 2015-16, custom duty on life-saving equipment has been reduced to

5 per cent from 25 per cent and have been exempted from the purview of countervailing

duty

• Import duty on medical equipment has been reduced to 7.5 per cent

• As per Union Budget 2016-17, services provided by National Centre for Cold Chain

Development (NCCD) would be exempted from service tax

Incentives in the medical

travel industry

• Incentives and tax holidays are being offered to hospitals and dispensaries providing

health travel facilities

Policy Landscape• India released a new national Intellectual Property Rights Policy, which seeks to enhance

Prime Minister Narendra Modi’s - Make in India scheme, by boosting innovation.

1919DECEMBER 2016 For updated information, please visit www.ibef.orgSource: Intellectual Property India Annual Report 2014-15



Top 5 Indian Applicants for patents in the field of Information

Technology

S.No. Name of the CompanyApplication

Filled

1Samsung R&D Institute India-

Bangalore Private Limited233

2 Tata Consultancy Services Limited 147

3 Wipro Limited 117

4 Hindustan Aeronautics Limited 57

5Indian Institute of Technology

(Collective)50

Top 5 Indian Applicants For Patents from Science and

Research & Development Organizations


Filled

1Council of Science & Industrial

Research315

2Director General, Defence Research

& Development Organization98

3Indian Council of Agricultural

Research68

4 G,H.R. Labs and Research Centre 31

5 Department of Biotechnology 23

Top 5 Indian Applicants for patents from Institutes and

Universities


Filled

1 Indian Institute of Technology (Collective) 337

2Janardan Rai Nagar Rajasthan

Vidyapeeth (Deemed) University53

3 Indian Institute of Science 46

4 Amity University 43

5Sandeep Foundation’s Sandip Institute of

Technology & Research Centre33

Top 5 Foreign Applicants

S.No. Name of the Company Application Filled

1 Qualcomm incorporated 1214

2 Koninklijke Philips N.V. 805

3Telefonaktiebolaget LM

Ericsson (PUBL)449

4 Samsung Electronics Co. Ltd 379

5 BASF SE 297

INCREASING IN THE PATENT APPLICATION FILING (FY15)…..(1/2)


INCREASING IN THE PATENT APPLICATION FILING (FY15)…..(2/2)


Top 5 Indian Patentees


Filled

1Council of Scientific & Industrial

Research66

2 Bharat Heavy Electricals Limited 56

3Samsung R&D Institute India

Bangalore Private Limited 56

4Indian Institute of Technology

(Collective)30

5 Tata Motors Limited 26

Top 5 Foreign Resident Patentees


Filled

1GM Global Technology Operations

Inc.267

2 Qualcomm Incorporated 205

3Telefonaktiebolaget LM Ericsson

(PUBL)94

4 LG Electronics Inc. 87

5 Koninklijke Philips Electronics N.V. 61

Source: Intellectual Property India Annual Report 2014-15



KEY PLAYERS IN R&D - SCIENTIFIC AND R&D ORGANISATIONS1 … (1/2)

Source: Organisational websites, IP India, TechSci Research

Notes: R&D - Research and Development; IP – Intellectual Property, 1 - This list is indicative


Organisation Business description

Council of Scientific and Industrial Research (CSIR)

• CSIR is India’s largest R&D organisation, with 38 national laboratories, 39 outreach centers, 3 Innovation

Complexes, 5 units, 4600 active scientists supported by about 8000 scientific and technical personnel. On an

average CSIR files about 200 Indian patents and 250 foreign patents per year. About 13.86% of CSIR patents are

licensed, a number which is above the global average. It is engaged in scientific industrial R&D for economic,

environmental and societal benefits for the country

• Its research areas span across aerospace, biotechnology, chemicals, energy, foods, information dissemination,

leather and metals, minerals and manufacturing etc.

• CSIR is ranked at 84th among 4851 institutions worldwide and was the only Indian organisation among the top 100

global institutions in 2014. CSIR filed 315 patent application in FY15.

Defence Research and Development Organisation (DRDO)

• DRDO is engaged in design and development of weapon systems and equipment in accordance with the

requirements of the military services

• DRDO had a network of 50 labs and establishments to carry out research. It has over 5,000 scientists and about

25,000 other scientific, technical and supporting personnel. DRDO has filed 98 patent application in FY15.

• Its research areas include aeronautics, armaments, combat vehicles, electronics, instrumentation engineering

systems, missiles, materials, naval systems, advanced computing, simulation and life sciences. In June 2015,

DRDO’s ballistics test facility got inaugurated in Ramgarh.

Indian Council of Agricultural Research (ICAR)

• ICAR is one of the largest national agricultural organisations in the world. It consisted of 99 institutes and 53

agricultural universities across India. ICAR has filed 68 patent application in FY15

• It is the apex body for coordinating, guiding and managing research and education in agriculture, including

horticulture, fisheries and animal sciences in India.

2222DECEMBER 2016


KEY PLAYERS IN R&D - SCIENTIFIC AND R&D ORGANISATIONS1 … (2/2)


India Space Research Organisation (ISRO)

• ISRO is engaged in development of space technology and its application to various national tasks, launched

Mangalyan successfully in its very first attempt2. In FY5, ISRO filed 13 patent application

• The organisation has 19 centers across India to pursue R&D activities and ISRO currently has a constellation of 9

communication satellites, 1 meteorological satellite, 10 earth observation satellites and 1 scientific satellite

• Its research areas include communication satellites for television broadcast, telecommunications and

meteorological applications, and remote sensing satellites for management of natural resources

• On June 22, 2016, ISROs Polar Satellite Launch Vehicle, PSLV-C34, successfully launched 20 satellites in a single

flight

Indian Council of Medical Research (ICMR)

• ICMR is the apex body in India for the formulation, coordination and promotion of biomedical research and one of

the oldest medical research bodies in the world. ICMR has filed 14 patent applications in 2014.

• The council has a fleet of 21 institutes (mission oriented national institute), six regional medical research centers

and five units engaged in medical research

• The council’s research priorities encompass the areas of communicable diseases, fertility control, maternal and

child health, nutritional disorders, and non-communicable diseases such as cancer, cardio-vascular diseases,

blindness and diabetes

Centre for Development of Advanced Computing (C-DAC)

• C-DAC is a premier R&D organisation of the Department of Information Technology (DIT)

• It is engaged in research in the areas of supercomputers, applied electronics, technology, applications and health

informatics

• C-DAC filed 20 patent applications in FY15

Source: Organisational websites, TechSci Research

Notes: R&D - Research and Development,1 - This list is indicative, 2 - as on 24 September 2014



KEY PLAYERS IN R&D - INSTITUTES AND UNIVERSITIES1 … (1/2)



Indian Institutes of Technology (IITs)

• It is a group of autonomous engineering and technology oriented institutes of higher education

• Indian Institutes of Technology (IITs) is planning to monetise intellectual properties (IPs) by exploring tie-ups with

firms that invest in "inventions". In FY15, IITs filed 337 patent application.

National Dairy Research Institute (NDRI)

• NDRI is engaged in research, teaching and extension activities in areas of dairy production, processing,

management and human resource development

• Its research activities focus on improving dairy productivity, innovating milk processing technologies and

disseminating information to the various stakeholders in dairy business to make dairying a self-sustaining business

• In 2014, R&D activities comprised 89 in-house and 74 externally funded research projects, including 19 NAIP

projects in consortium mode with financial outlay of USD21.95 million. In FY16 NDRI filed 4 patents.

Indian Institute of Science (IISc)

• IISc is one of the earliest instances of PPP for a research institute in India

• It is engaged in research in various departments of science such as biological, chemical, electrical, mathematical,

physical and mechanical sciences. A new center for Brain Research is expected to contribute to future growth

• The number of filed patents increased to 46 during FY15.

Source: Organisational websites, IP India, TechSci Research

Notes: R&D - Research and Development, IP - Intellectual Property,1 - This list is indicative

http://www.ndri.res.in/ndri



KEY PLAYERS IN R&D - INSTITUTES AND UNIVERSITIES1 … (2/2)


The Energy and Resources Institute (TERI)

• TERI is engaged in developing solutions to global problems in fields of energy, environment and sustainable

development, has also established research centers in Bengaluru, Goa, Guwahati, Himalayas, Mumbai

• The important research areas include biotechnology, earth science and climate change, technology development,

social transformation, and modelling and economic analysis

• Deals in various sector projects such as Agriculture, Coal, Energy, Environment, Industry, Renewable Energy,

Information and Communication Technology, Rural Development, Climate Change, Economy, Forestry and

Biodiversity and etc.

• On 3rd

December, 2015 TERI reveals the ‘Corporate Vision on Climate Change’ at 21st

Conference of the Parties

(COP 21)

Institute of Life Sciences (ILS)

• ILS undertakes basic and translational research in frontier areas of life sciences

• The institute’s research interests are in the areas of infectious disease biology, gene function and regulation, and

translation research and technology development

Indian Institute for Advanced Studies (IIAS)

• IIAS is a residential centre for advanced research in humanities, social sciences and natural sciences

• Its major research areas include social, political and economic philosophy; comparative studies in philosophy and

religion; education, culture and arts; natural and life sciences; and national integration and nation building


Notes: R&D - Research and Development, 1 - This list is indicative


KEY PLAYERS IN R&D - PRIVATE SECTOR COMPANIES1



Hindustan Unilever Limited

• HUL is credited with innovations in product areas such as structured bar soap, fairness cream, zero alcohol soap,

poly-coated scouring bar for dishwashing, fortified salt, instant tea, critical components for a water purifying device,

and value-added (nature care) tea

• Worldwide, HUL has over 20,000 registered patents and patent applications

• HUL expenditure on scientific research and development is around USD6.05 million in FY16, where the total

revenue expenditure is USD5.67 million and USD0.38 million expenditure made as a capital expenditure

Tata Steel Limited

• Tata Steel undertakes research in areas such as raw materials and coke, iron and ferro alloys, steel making,

coated products, materials characterisation and joining, materials modelling and product design, and refractory

technology

• The total value of the patent is around USD16.65 million till FY16.

• The total patents filed was 71 and 32 patents were granted as on FY16.

Cipla Limited

• Cipla’s R&D division focuses on new product development and new drug delivery systems across a range of

therapies

• The company’s total R&D spending increased and reached USD158.16 million in FY16

• In 2015, Cipla filed more than 200 formulation development projects underway. Company filed 12 formulation in

north America, 78 in Europe region while more than 1800 internationally

• It is among the top companies domestically in R&D spending


Notes: R&D - Research and Development, Growth, 1 - This list is indicative


Source: Times of India, Economic Times, The Hindu, Defence Now

Notes: ICBM - Inter-Continental Ballistic Missile, DRDO - Defence Research & Development Organisation,

HSL - Hindustan Shipyard Limited, LCA – Light Combat Aircraft

INNOVATION HAS BEEN A CORNERSTONE OF THE COUNTRY’S DEFENCE SECTOR


INS Vikrant

• India Indigenous

Aircraft Carrier (IAC)

• Total displacement

of over 40,000

tonnes

• Being built by

Cochin Shipyard

Limited

• Expected to be

Commissioned in

2017

Agni-V missile

• Successfully test

fired in April 2012

• India joined an elite

group of nations

having ICBM

technology

• Indigenously

developed by DRDO

• To be inducted by

2016 after few more

trials

Arihant Class

Submarines

• With its launch in

2009, India joined

an elite group of

nations having

nuclear-powered

submarines

• Developed by HSL

Tejas

• Second supersonic

aircraft to be

developed

indigenously by

Hindustan

Aeronautics Limited

(HAL)

• In July 2016, LCA

Tejas aircraft was

inducted into the

Indian Air Force

PORTERS FIVE FORCES ANALYSIS –

HEALTHCARE & BIOTECHNOLOGY



PORTERS FIVE FORCES ANALYSIS – HEALTHCARE

Source: TechSci Research

Note: R&D – Research and Development


Competitive Rivalry

• In a bid to discover the next block buster drug, competition between

the pharma companies are intense

• In addition, expiry of patents will also lead to further competition from

generic drug manufacturers

Threat of New Entrants Substitute Products

Bargaining Power of Suppliers Bargaining Power of Customers

• Huge R&D expenditure

requirement reduces threat of

new entrant

• Government regulation is strict

for this industry

• Bargaining power of suppliers

in this industry is high because

quality of products and timely

delivery matter and there is less

number of quality suppliers in

this industry

• Bargaining power of customers

is low due to undifferentiated

products

• Cheaper generic formulations

pose a threat to healthcare

companies

Competitive

Rivalry

(High)

Threat of New

Entrants

(Low)

Threat of

Substitute

Products

(Low)

Bargaining

Power of

Customers

(Low)

Bargaining

Power of

Suppliers

(High)


PORTERS FIVE FORCES ANALYSIS – BIOTECHNOLOGY




Competitive Rivalry

• High entry barriers due to the capital-intensive nature of the industry

has reduced competitive rivalry

• Entry of new players in the market has led to increased competition.

However, given the low success rate, rivalry is low

Threat of New Entrants Substitute Products

Bargaining Power of Suppliers Bargaining Power of Customers

• Capital intensive nature of

industry reduces the threat of

new entrants

• Strict government regulation

• Suppliers’ power is low

because the raw materials are

largely undifferentiated

• Individual buyers do not have

influence on pricing

• However, government price

control enhances buyer’s

power

• Patent protection stops the

threat of alternative drugs and

chemicals for a period of time

Competitive

Rivalry

(Moderate)

Threat of New

Entrants

(Low)

Substitute

Products

(Low)

Bargaining

Power of

Customers

(Low-Moderate)

Bargaining

Power of

Suppliers

(Low)

STRATEGIES ADOPTED –

HEALTHCARE & BIOTECHNOLOGY



STRATEGIES ADOPTED – HEALTHCARE

Source: Company website, TechSci Research


• Private players in the industry are making their supply chain efficient and leveraging

economies of scope to reduce cost. One such example is Narayan Hrudayalaya (NH) where

health care is provided at affordable cost. NH reduces cost by

• High procurement of medical supplies

• High-volume by high capacity utilisation and staff productivity

• Good human capital management (i.e. training)

• Leveraging the benefit of Information Technology to reduce cost and improve healthcare

delivery

• Developing new and innovative healthcare services will help players in differentiating

themselves from others

• Healthcare providers are also trying to provide better services to differentiate themselves

• Players in Healthcare sector are heavily spending on R&D. For example, in 2016, Novartis

opened a major R&D center in Shanghai, China worth USD1 billion

• Sun Pharma is focusing on specialty and chronic therapies such as neurology, oncology,

dermatology, rather than competing in anti infective and gastrointestinal therapies markets.

Sun Pharma attained volume and value leadership in many of these therapies

• Certain players in industry focus only on providing one kind of health care service to its

customers and gain expertise through research in the area. This also helps them to be the

leader in that service. One such example is Tata Memorial Hospital which is focused on

treatment of cancer and provides leading cancer treatment in India

Cost leadership

Differentiation

Focus



STRATEGIES ADOPTED – BIOTECHNOLOGY

Source: Company website, TechSci Research

Notes: R&D – Research and Development

• Higher emphasis on technological innovations that will improve efficiency and help in

achieving cost leadership. For example, Serum Institute of India is the leader in

manufacturing vaccines against Rubella, Tetanus, Measles and Diphtheria and it supplies

vaccines to more than 100 countries across the globe. Due to high volume sales the

company has relatively low manufacturing cost

• Investing heavily on R&D to create new and innovative products. Biocon has subsidiaries,

Syngene International Limited and Clinigene International Limited, these companies have

been set up to focus on clinical trials, drug discovery and development.

• Companies are creating barriers by applying for patents to curb replication of the drug by

other manufacturer. For example, until March 2016, Panacea filed over 1,500 patent

applications, including 230 in India

Cost leadership

Differentiation

Creating barriers


GROWTH DRIVERS



STRONG DEMAND AND POLICY SUPPORT DRIVING INVESTMENTS

Source: Battelle, Electronics for You, Organisational websites, TechSci Research

Notes: PPP - Public Private Partnership, R&D - Research and Development,

NMITLI - New Millennium Indian Technology Leadership Initiative,

CoE - Centre of Excellence, NIC - National Innovation Council


Policy support

PPP in R&D

Strengthening educational

infrastructure

Amendments to the Patents Act &

Setting up of NIC

Inviting Resulting in

Growing demand

Evolving consumer lifestyles

Liberalisation and increasing competition

Proximity to future

growth markets

Increasing investments

Establishment of CoEs, NMITLI initiative

Providing support to global projects from

India

Increasing corporate R&D investments


PHARMACEUTICAL SECTOR DRIVING R&D GROWTH



R&D spending by top six Pharma giants in FY16

(USD million)India’s pharmaceutical market is highly fragmented, with

300 large and 18,000 mid-sized and small companies

The country’s pharma industry accounts for about 1.4 per

cent of the global pharma industry in value terms and 10 per

cent in volume terms

Indian healthcare sector, one of the fastest growing

industry, is expected to advance at a CAGR of 17 per cent

during 2011–20 to reach USD280 billion

This would help drive R&D growth in India; the average

R&D expenditure by Indian pharma companies is close to 6

per cent of total revenues

352

272.44

244

158.16

104.03 102

71.79

SunPharma

Dr Reddy Lupin Cipla Cadila Wockhardt Aurobindo


POLICY SUPPORT AIDING GROWTH IN THE SECTOR … (1/2)


PPP in R&D

• Exchange of scientific knowledge between research centers, national laboratories,

institutes of higher learning and the industry

• The Indian Government plans to involve the private sector in R&D mainly for sectors like

vaccines, drugs and pharmaceuticals, super computing, solar energy and electronic

hardware. The govt. has announced to create a USD16 million fund for setting up R&D

units with the help of industries

• The government has created a USD1.1 billion public-private partnership fund to support

research and development in India

Funded institutions and

foreign universities

• Government has announced to set up 5 new All India Institute of Medical Sciences in

Jammu & Kashmir, Punjab, Tamil Nadu, Himachal Pradesh, Assam and set up of IIT in

Karnataka and Dhanbad

• Foreign universities permitted to enter the higher education system in India by establishing

their own campuses or joint ventures with existing universities

• Atal Innovation Mission with USD24.84 million will boost the academicians, Entrepreneurs

and researchers to work towards innovation

Science & Technology

• In Union Budget 2016-17, Government of India has announced its plans to make 10 public

and 10 private institutions as world class teaching & research institutes

• In Union Budget 2016-17, Government has allotted USD260 million for establishing 1500

multi-skill development centers

Source: Battelle, Electronics for You, Union Budget 2015-16,

Organisational websites, TechSci Research

Note: PPP - Public Private Partnership



POLICY SUPPORT AIDING GROWTH IN THE SECTOR … (2/2)

National Innovation

Council (NIC)

• In 2010, NIC was set up to implement strategies for inclusive innovation in India and

prepare a roadmap for innovation over 2010-20, idea is to build a domestic model to cater

to Indian needs

• Tasks of NIC include creating a framework to encourage innovation by central and state

governments, universities, R&D institutions and SMEs

• NIC build digital database of innovations across sectors and at grassroot. In addition NIC

has also set up sectorial Innovation council in Maharashtra

• NIC and the Ministry of Micro, Small and Medium Enterprises (MSME) jointly created India

Inclusive Innovation Fund (IIIF), currently IIIF investment limit is restricted to USD82

million and it invests in sectors like healthcare, water, energy and agriculture.

Source: Battelle, TechSci Research

Note: SMEs - Small and Medium Enterprises

Atal Innovation Mission

• Atal Innovation Mission (AIM) established in NITI Aayog with initial funding worth

USD24.56 million for promotion of research and development sector. The mission aims at

providing innovation promotion platform to academicians, entrepreneurs and researchers.

• Atal Innovation Mission would provide the framework to government for encouraging and

promoting self employment in Indian youth

Patents (Amendment)

Rules, 2016

• The time limit for filing response to First Examination Report (FER) has been reduced to 6

months.

• With a maximum of two adjournments hearings can now be conducted through video

conferencing as well as audio visual communication devices.

• Maximum fees for sequence listings would be USD1850, wherein, cost per page would be

almost USD12.


SCIENCE TECHNOLOGY AND INNOVATION (STI) POLICY 2013



Introduction of STI

Policy 2013

• In January 2013, the Government of India introduced the Science, Technology and

Innovation (STI) policy 2013 at the centenary sessions of the Indian Science Congress

held at Kolkata

Vision of STI Policy• The STI policy is aimed at helping India become one of the top five global scientific

powers by 2020, by taking advantage of large demographic pool of engineers and science

graduates

Rising involvement of

the private sector

• STI aims to boost innovation through Research and Development (R&D) led by the Public-

Private Partnership (PPP) mode thereby increase the investments on Research and

Development (R&D) to 2 per cent of GDP by 2017 from current 1 per cent

Increase in human

resources

• The policy seeks to increase the number of full-time R&D personnel by 66 per cent over

2013–17 and expand the number of publications from the current 3.5 per cent of global

share to around 7 per cent by 2020


RECENT INVESTMENTS IN R&D BY KEY PLAYERS


Source: India Electronic News, Moneycontrol, CNBC, Economic Times, Appliancemagazine.com,

Business Standard, The Hindu, Company websites, TechSci Research

Note: R&D - Research and Development

2013

• Jan 13: DuPont has double

their R&D activities in India

• April 13: Yamaha

announced the

establishment of a R&D

centre in India

• Jun 13: Huawei has set up

a new Research and

Development (R&D) centre

in Bengaluru with an

investment of USD150

million

• Jul 13: OneOcean

Corporation has set up

ClipCard Technology

(R&D) centre in India

• Oct 13: Carraro India has

set up a new R&D centre in

India

• Jan 22: Intel India to invest

over USD120 million to

expand its Bengaluru R&D

center

• Mar 07: BASF opens global

R&D center in Mumbai

• Sep 10: Valvoline

Communications Ltd (VCL)

a JV between Ashland Inc

and Cummins India Ltd will

open its R&D centers in

Ambernath near Mumbai in

Maharashtra

20142015

• August 2015: Foxconn

announced to invest USD5

billion in India over next five

years to set up R&D

centers and manufacturing

plants

• May 2015: Ford Motor

company have announced

to invest around

USD829.46 million in R & D

center Chennai

• July 2015: Lupin, has

decided to invest

USD185.63 million in the

pharma sector.

2016

• May 2016: Royal Enfield

announced its plans to

invest USD91.7 million in

setting up 2 new R&D

centers, one of which would

be setup in Chennai, in

FY17

• Mar 2016: Daikin, under

Make in India initiative, is

planning to invest around

USD91 billion to establish

R&D centre and a

manufacturing unit in

Rajasthan

• Feb 2016 - Ferring Holding

SA, Switzerland-based

pharma research company,

planned to set a R&D

centre in Hyderabad worth

USD250 million



RECENT INVESTMENTS IN R&D BY GOVERNMENT

Source: India Electronic News, Moneycontrol, CNBC, Economic Times, Union Budget,

Appliancemagazine.com, Business Standard, The Hindu, Company websites, TechSci Research

Note: R&D - Research and Development

NMITLI-New Millennium Indian Technology Leadership Initiative

Centers of Excellence

(CoEs)

• In 2015, National

Association of Software

and Services Companies

(NASSCOM), Department

of Electronics &

Information Technology

(DeitY) and Education and

Research Network

(ERNET) jointly has

formed Center of

Excellence with the seed

funding done by

government.

• COEs are generally run on

PPP model

• CoEs have been set up in

the areas of telecom,

wireless technology, bio-

informatics, lasers and

optoelectronic devices and

nano-electronics

NMITLI

• The programme identifies

areas for development

based on national

consultation and invites

best partners from

institutions, academia and

private sector to play a role

in the process

• NMITLI have received a

budgetary allocation of

USD4.91 million under the

Union Budget 2015-16. It

has initiated 60 largely

networked projects in

diverse areas involving 85

industry partners and 280

R&D groups from different

institutions with investment

outlay of USD114 million

Centrally funded institutesCentral and foreign

universities

• New universities in 16

uncovered states

• The remaining 14 new

Central Universities will be

set up as world class

centers of excellence at

different locations

• Foreign universities can

enter higher education

system in India by having

their own campuses or joint

ventures with existing

universities

• 12 teacher education

courses and three new

programmes have been

upgraded

• In Union Budget 2015-16,

Government of India has

announced to set 5 new

AIMS, 2 new IITs and 2 IIMs

• These institutes together

account for over 80 per cent

of the total PhDs in

engineering in India

• The institutes are also

amongst the top Indian

applicants for patents from

the ‘institutes and

universities’ category

• In Union Budget 2016-17,

government has announced

to make 10 public and 10

private institutions as world

class institutes

OPPORTUNITIES



Source: ARAI, Business Standard, India Law Office, Deloitte, TechSci Research

Notes: IT - Information Technology, ARAI - Automotive Research Association of India,

NVH - Noise, Vibration and Harshness, ANDA – Abbreviated New Drug Application,

US FDA – United States Food and Drug Administration


Pharma and healthcare

• Indian healthcare sector, one of the fastest growing industry, is expected to advance at a

CAGR of 22.87 per cent during 2015–20 to reach USD280 billion

• Contract research is one of the fastest growing segment in the Indian healthcare industry.

CRAMS industry is estimated to reach USD18 billion in 2018 and expected to witness a

strong growth at a CAGR of 18-20 per cent during 2015-18

• Indian pharmaceuticals market is estimated to reach around USD30 billion in 2015. The

country’s pharmaceutical industry is expected to expand at a CAGR of 12.89 per cent over

2015–20 to reach USD55 billion

• The number of ANDA approvals granted by US FDA increased from 109 in FY15 to 201 in

FY16 to the Indian companies

Information Technology

(IT)

• India is seen as a product development destination

• Companies are offshoring their product responsibilities including complex services like

product management

• NASSCOM of India signed IoT Innovation Agreement with Georgia Tech.

Automobiles

• Research is being carried out by individual companies as well as industry associations

such as ARAI in various areas such as structural dynamics, safety, NVH and electronics

• India is the sixth largest auto market in the world and is poised to become the third largest

by 2020

OPPORTUNITIES (1/2)


Source: ARAI, Business Standard, Planning Commission,

India Law Office, TechSci Research

Notes: IT - Information Technology, ARAI - Automotive Research Association of India,

NVH - Noise, Vibration and Harshness, DBT – Department of Biotechnology


Biotechnology

• By FY25, India’s biotech industry is estimated to increase to USD100 billion from USD7.0

billion in FY15

• Protein and antibody production, and fabrication of diagnostic protein chips are promising

areas for investment

• Stem cell research, cell engineering and cell-based therapeutics are other areas, wherein

India will cash in its expertise

Agriculture

• India has the potential to become a major producer of transgenic rice and several

Genetically Modified (GM) or engineered vegetables

• Hybrid seeds, including GM seeds, represent new business opportunities in India based

on yield improvement

• According to International Service for the Acquisition of Agri-Biotech Applications, India

has the fourth largest area covered under genetically modified crops

• In India, 11.57 million hectares of area is covered under genetically modified crops which

is majorly dominated by Bt cotton.

• In 12th Five-Year Plan, DBT has proposed to support 10 agricultural universities through

R&D grants to promote R&D on agriculture

• In Union Budget FY17, the government, under the Accelerated Irrigation Benefit

Programme (AIBP), would ensure to complete 23 irrigation projects, before March 2017

OPPORTUNITIES(2/2)


Source: Zinnov - Crossing the value chasm

Notes G500 – Global 500 companies


OPPORTUNITIES OF JOB CREATION BY GLOBAL 500 COMPANIES

There is a potential to create 200,000 R&D jobs by global

500 companies in the next five years

During 2013-18, R&D headcount is expected to increase at

a CAGR of 15.8 per cent

Around 50 per cent of the global 500 companies present

have more than 10 per cent of the global headcount in India

Talent pool for R&D in the country is expected to grow at a

CAGR of 10.9% from present 0.6 million to 1 million by

2020.

928 MNCs and 1165 R&D centers together employ 55 per

cent of Indias total R&D installed talent base. The workforce

is expected to increase to 0.52 million by 2020

Software/Internet domain account for over 37% of the total

MNC R&D installed workforce

176

366

313

229

489

595

2013 2018

R&D headcount Remaining addressable population

R&D headcount by G500 (‘000)

R&D Talent Distribution

6,10,000

10,20,000

2015 2020

CAGR: 11%

SUCCESS STORIES


4646DECEMBER 2016

38

26

75

42 6

0

10

8

45 57

26

84

42

12

41

39 5

8 75

5 14 17 4

3 47

23

2

31

4

41

FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16

Formulation Patents API/Process Patents NCE Patents


Source: Lupin website, Lupin Reports

Notes: API - Active Pharmaceutical Ingredient, CNS - Central Nervous

System, NSAIDS - Non-Steroidal Anti-Inflammatory Drugs,

TB - Tuberculosis, NCE - New Chemical Entity

Patents filed by LupinLupin is a renowned pharma player having a wide range of

quality, affordable generic and branded formulations and

APIs

Lupin has emerged as the fifth largest and among the top

five fastest-growing companies in the US

It is one of the world’s largest manufacturers of TB drugs

and has significant market share in the cardiovascular,

diabetology, asthma, paediatrics, CNS, Anti-infectives and

NSAIDs therapy segments

By FY16, Lupin’s total patent filing reached 2,525 up from

600 in FY08

The company is amongst the fastest growing in top 10

generic pharmaceutical players in Japan and South Africa


LUPIN: ON A HIGH GROWTH PATH … (1/2)

4747DECEMBER 2016

822.51006.7

1250.9

1484.6

1742.11839.2

2090.2 2093.1




LUPIN: ON A HIGH GROWTH PATH … (2/2)

Source: Lupin website

Notes: CAGR - Compound Annual Growth Rate

Lupin net sales (USD million)Its revenues increased from USD822.5 million in FY09 to

USD2.09 billion in FY16, at a CAGR of 14.3 per cent

Lupin’s domestic formulations business grew by 6.6 per

cent recording revenues of USD518.1 million for FY16 in

comparison with USD486.1 million for FY15CAGR: 14.3%


INFOSYS: NURTURING INNOVATION IN IT … (1/2)


Indian IT patent applications ( FY15)Infosys has 3rd highest number of patents applications in India

Research activity for different areas is allocated amongst

dedicated labs such as Software Engineering lab, Convergence

lab, Security and Privacy lab, Distributed Computing lab and E-

Com lab

During FY11-16, the company’s revenues increased at a CAGR

of 9.6 per cent to USD9.5 billion in FY16 from USD6.0 billion in

FY11

During the same period, net profit expanded at a CAGR of 6.4

per cent to USD2.05 billion in FY16 from USD1.5 billion in FY11

Infosys spent USD58.7 million in R&D expenses during FY16

As of November 2016, Infosys through its innovation fund

invested USD 2.17 million in UNSILO, a Danish-based artificial

intelligence start up

Source: Office of the Controller General of Patents,

Designs and Trademarks Annual Report, Intellectual Property India Annual

Report 2014-15, Company Annual Reports, TechSci Research

Income and net profit (USD billion)

6 6.9

7.4

8.2

8.7

9.5

1.51.7 1.7 1.8

2 2.05

0

0.5

1

1.5

2

2.5

0

2

4

6

8

10

FY11 FY12 FY13 FY14 FY15 FY16

Sales Net Profit

50

57

117

147

233

Indian Institute of Technology(Collective)

Hindustan Aeronautics Limited

Wipro Limited

Tata Consultancy Services Limited

Samsung R&D Institute India-Bangalore Private Limited

4949DECEMBER 2016

6 6.3

8.2

10

.4

11

.6

13

.6

15

.7

16

.6

1.1

1.5

22.2

2.6

3.2 3.3

3.7

0

0.5

1

1.5

2

2.5

3

3.5

4

0

2

4

6

8

10

12

14

16

18


Sales Net Profit



TCS: NURTURING INNOVATION IN IT… (2/2)

Source: Company Annual Reports, TechSci Research:

Note: CAGR - Compound Annual Growth Rate

Sales and net profit (USD billion)During FY09–16, the company’s revenues increased at a

CAGR of 15.6 per cent, reaching USD16.6 billion in FY16

from USD6 billion in FY09

During the same period, net profit expanded at a CAGR of

18.9 per cent to USD3.7 billion from USD1.1 billion

TCS spent USD171.3 million in R&D and innovation

expenses during FY16, out of which total sum spent on

R&D was USD36.2 million in the same year

5050DECEMBER 2016

1922

34.4

20.7

15.1

10.2 8.8

FY10 FY11 FY12 FY13 FY14 FY15 FY16


HUL: A LEADING INNOVATOR IN FMCG


Source: Economic Times, Company Annual Reports,

Company website, TechSci Research

Notes: CAGR: Compound Annual Growth Rate,

20161 – Data as on August 2016

Strong research and development (USD million)Incorporated in 1933, HUL is India’s leading company by

sales in the Fast-Moving Consumer Goods (FMCG) sector

in India. British-Dutch company Unilever owns a majority

stake of 52 per cent in HUL

HUL has won the top FMCG award at the Dun & Bradstreet

Corporate Awards 2015

Hindustan Unilever Limited (HUL) has been ranked No 31 in

India on the Forbes list of Most Innovative Companies

across the globe for 20161.

The company has over 20,000 registered patents and

patent applications worldwide

HUL is also driving innovation in various categories such as

oral care, personal products and soaps & detergents etc.

CAGR: 2.89%

USEFUL INFORMATION


5252DECEMBER 2016

INDUSTRY ASSOCIATIONS

Automotive Research Association of India (ARAI)Survey No 102, Vetal Hill, Off Paud Road, Kothrud,

Pune - 411 038

Tel: 91-020 30231111

Fax: 91-020 25434190

E-mail: [email protected]

Website: www.araiindia.com

Indian Society for Clinical Research (ISCR)c/o Pfizer center, 5, Patel Estate, S.V.Road, Jogeshwari(West),

Mumbai-400 102

Tel: 91-022 26774140, 66932028

E-mail: [email protected]

Website: www.iscr.org

The South India Textile Research Association (SITRA)13/37, Avanashi Road, Coimbatore - 641 014

Tel: 91-422 2574367, 6544188

Fax: 91-422 2571896

Email: [email protected]

Website: www.sitra.org.in



5353DECEMBER 2016

GLOSSARY … (1/2)

API: Active Pharmaceutical Ingredient

ARAI: Automotive Research Association of India

CAGR: Compound Annual Growth Rate

CoE: Center of Excellence

DRDO: Defence Research and Development Organisation

FDI: Foreign Direct Investment

FY: Indian Financial year (April to March)

So FY10 implies April 2009 to March 2010

GDP: Gross Domestic Product

GERD: Gross Domestic Expenditure on Research and Development

HAL: Hindustan Aeronautics Limited

HSL: Hindustan Shipyard Limited



5454DECEMBER 2016

GLOSSARY … (2/2)

IAC: Indigenous Aircraft Carrier

ICBM: Intercontinental Ballistic Missile

IT: Information Technology

NMITLI: New Millennium Indian Technology Leadership Initiative

NVH: Noise Vibration and Harshness

PPP: Public Private Partnership

PPP: Purchasing Power Parity

R&D: Research and Development

TRIPS: Trade Related Aspects of Intellectual Property Rights

USD: US Dollar

WTO: World Trade Organisation

Wherever applicable, numbers have been rounded off to the nearest whole number



5555DECEMBER 2016

Year INR equivalent of one USD

2004–05 44.81

2005–06 44.14

2006–07 45.14

2007–08 40.27

2008–09 46.14

2009–10 47.42

2010–11 45.62

2011–12 46.88

2012–13 54.31

2013–14 60.28

2014-15 61.06

2015-16 65.46

2016-17 (E) 66.95

Year INR equivalent of one USD

2005 43.98

2006 45.18

2007 41.34

2008 43.62

2009 48.42

2010 45.72

2011 46.85

2012 53.46

2013 58.44

2014 61.03

2015 64.15

2016 (Expected) 67.22

Exchange rates (Fiscal Year)


EXCHANGE RATES

Exchange rates (Calendar Year)

Source: Reserve bank of India,

Average for the year


5656DECEMBER 2016

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Economy & Finance

Innovation and Patents Sectore Report - December 2016