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Technology Policy
Statement, 1983
1. Preamble
Political freedom must lead to economic independence
and the alleviation of the burden of poverty. We have regarded
science and technology as the basis of economic progress.
As a result of three decades of planning, and the Scientific
Policy Resolution of 1958, we now have a strong agricultural
and industrial base and a scientific manpower impressive in
quality, numbers and range of skills. Given clear-cut objectives
and the necessary support, our science has shown its capacity
to solve problems.
The frontiers of knowledge are being extended at incredible
speed, opening up wholly new areas and introducing new concepts.
Technological advances are influencing life-styles as well
as societal expectations.
The use and development of technology must relate to the people’s
aspirations. Our own immediate needs in India are the attainment
of technological self-reliance, a swift and tangible improvement
in the conditions of the weakest sections of the population
and the speedy development of backward regions. India is known
for its diversity. Technology must suit local needs and to
make an impact on the lives of ordinary citizens, must give
constant thought to even small improvements which could make
better and more cost-effective use of existing materials and
methods of work. Our development must be based on our own
culture and personality. Our future depends on our ability
to resist the imposition of technology which is obsolete or
unrelated to our specific requirements and of policies which
tie us to systems which serve the purposes of others rather
than our own, and on our success in dealing with vested interests
in our organizations: governmental, economic, social and even
intellectual, which bind us to outmoded systems and institutions.
Technology must be viewed in the broadest sense, covering
the agricultural and the services sectors along with the obvious
manufacturing sector. The latter stretches over a wide spectrum
ranging from village, small-scale and cottage industries (often
based on traditional skills) to medium, heavy and sophisticated
industries. Our philosophy of a mixed economy involves the
operation of the private, public and joint sectors, including
those with foreign equity participation.
Our directives must clearly define systems for the choice
of technology, taking into account economic, social and cultural
factors along with technical considerations; indigenous development
and support to technology, and utilization of such technology;
acquisition of technology through import and its subsequent
absorption, adaptation and upgradation; ensuring competitiveness
at international levels in all necessary areas; and establishing
links between the various elements concerned with generation
of technology, its transformation into economically utilizable
form, the sector responsible for production (which is the
user of such technology), financial institutions concerned
with the resources needed for these activities, and the promotional
and regulating arms of the Government.
This Technology Policy Statement is in response to the need
for guidelines to cover this wide-ranging and complex set
of inter-related areas. Keeping in mind the capital-scarce
character of a developing economy it aims at ensuring that
our available natural endowments, especially human resources,
are optimally utilized for a continuing increase in the well-being
of all sections of our people.
We seek technological advancement not for prestige or aggrandisement
but to solve our multifarious problems and to be able to safeguard
our independence and our unity. Our modernization, far from
diminishing the enormous diversity of our regional traditions
should help to enrich them and to make the ancient wisdom
of our nation more meaningful to our people.
Our task is gigantic and calls for close co-ordination between
the different departments of the Central and State Governments
and also of those concerned, at all levels, with any sector
of economic, scientific or technological activity, and, not
least, the understanding and involvement of the entire Indian
people. We look particularly to young people to bring a scientific
attitude of mind to bear on all our problems.
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2. Aims and Objectives
Aims
The basic objectives of the Technology Policy
will be the development of indigenous technology and efficient
absorption and adaptation of imported technology appropriate
to national priorities and resources. Its aims are to:
- a) attain technological competence and self-reliance,
to reduce vulnerability, particularly in strategic and critical
areas, making the maximum use of indigenous resources;
- b) provide the maximum gainful and satisfying employment
to all strata of society, with emphasis on the employment
of women and weaker sections of society;
- c) use traditional skills and capabilities, making them
commercially competitive;
- d) ensure the correct mix between mass production technologies
and production by the masses;
- e) ensure maximum development with minimum capital outlay;
- f) identify obsolescence of technology in use and arrange
for modernization of both equipment and technology;
- g) develop technologies which are internationally competitive,
particularly those with export potential;
- h) improve production speedily through greater efficiency
and fuller utilization of existing capabilities, and enhance
the quality and reliability of performance and output;
- i) reduce demands on energy, particularly energy from
non-renewable sources;
- j) ensure harmony with the environment, preserve the ecological
balance and improve the quality of the habitat; and
- k) recycle waste material and make full utilization of
by-products.
Self-Reliance
In a country of India’s size and endowments,
self-reliance is inescapable and must be at the very heart
of technological development. We must aim at major technological
break-throughs in the shortest possible time for the development
of indigenous technology appropriate to national priorities
and resources. For this, the role of different agencies will
be identified, responsibilities assigned and the necessary
linkages established.
Strengthening the Technology Base
Research and Development, together with science
and technology education and training of a high order, will
be accorded pride of place. The base of science and technology
consists of trained and skilled manpower at various levels,
covering a wide range of disciplines, and an appropriate institutional,
legal and fiscal infrastructure. Consolidation of the existing
scientific base and selective strengthening of thrust areas
in it are essential. Special attention will be given to the
promotion and strengthening of the technology base in newly
emerging and frontier areas such as information and materials
sciences, electronics and bio-technology. Education and training
to upgrade skills are also of utmost importance. Basic research
and the building of centres of excellence will be encouraged.
Skills and skilled workers will be accorded
special recognition. The quality and efficiency of the technology
generation and delivery systems will be continuously monitored
and upgraded. All of this calls for substantial financial
investments and also strengthening of the linkages between
various sectors (educational institutions, R&D establishments,
industry and governmental machinery).
3. Priorities
Need for Perspective Planning
The time scales involved in the generation of
technology are long, even with imported elements. Therefore,
relevant technologies in all areas of priority, particularly
where large investments are to be made, should be clearly
identified well in advance. The cost and time element involved
in the import of technology and indigenous development will
be given consideration. Components which could be assigned
to the various institutions which are capable of developing
them or which could be built up for such activities will be
identified. Ministries concerned with large investments and
production activities in areas such as food, health and energy
will be provided with appropriate technical support through
suitably structured S&T groups.
Employment
Human resources constitute our richest endowment.
Conditions will be created for the fullest expression and
utilization of scientific talent. Measures will be taken for
the identification and diffusion of technologies that can
progressively reduce the incidence of poverty and unemployment,
and of regional inequalities. The application of science and
technology for the improvement of standards of living of those
engaged in traditional activities will be promoted, particularly
household technologies. Technologies relevant to the cottage,
village and small industries sector will be upgraded. In the
decentralized sector labour must be diversified and all steps
taken to reduce drudgery. In all sectors, the potential impact
on employment will be an important criterion in the choice
of technology.
Energy
Energy constitutes an expensive and sometimes
scarce input. Therefore, the energy requirements both of a
direct and indirect nature for each product and each production
activity and the associated technology employed will be analysed.
Measures will be devised to avoid wastage or non-optimal use
of energy. Fiscal measures as necessary will be introduced
to ensure these. Research and Development in the energy sector
will aim at improving the efficiency of its production, distribution
and utilization, as well as improvement of efficiency in processes
and equipment.
Efficiency and Productivity
Technologies already employed will be evaluated
on a continuing basis to realise maximum benefits in terms
of increased production and lower costs, specially in the
public sector enterprises. Every effort should be made to
utilize by-products and wherever possible to recycle waste
materials, especially those from urban areas. Programmes to
make use of easily available and less costly materials will
be supported.
Environment
Development should not upset the ecological
balance for short as well as long-term considerations. Poorly
planned efforts to achieve apparently rapid development, ignoring
the long-term effect of many technologies on the environment,
have resulted in serious ecological damage. It is, therefore,
essential to analyse the environmental impact of the application
of each technology. Due regard will be given to the preservation
and enhancement of the environment in the choice of technologies.
Measures to improve environmental hygiene will be evolved.
Some Specific Areas
In technology development special emphasis will
be focused on food, health, housing, energy and industry.
In particular, stress will be laid on:
- agriculture including dry-land farming;
- optimum use of water resources, increased production of
pulses and oilseeds;
- provision of drinking water in rural areas, improvement
of nutrition, rapid reduction in the incidence of blindness,
eradication of the major communicable diseases (such as
leprosy and tuberculosis), and population stabilization;
- low-cost housing;
- development and use of renewable non-conventional sources
of energy; and
- industrial development
4. Indigenous Technology
Importance of Technology Development
Fullest support will be given to the development
of indigenous technology to achieve technological self-reliance
and reduce the dependence on foreign inputs, particularly
in critical and vulnerable areas and in high value-added items
in which the domestic base is strong. Strengthening and diversifying
the domestic technology base are necessary to reduce imports
and to expand exports for which international competitiveness
must be ensured.
Inventions
The spirit of innovation and invention is the
driving force behind all technological change. We must awaken
our science and technology to the exciting challenges of our
times, provide incentives to encourage inventors, and direct
their efforts to areas of special importance. The system of
rewards and incentives will be strengthened for inventions,
innovations and technological breakthroughs and their utilization.
The fullest opportunity will be provided to make use of inventions.
Enhancing Traditional Skills and Capabilities
Traditional skills and capabilities will need
to be upgraded and enhanced, using knowledge and techniques
generated by advances in science and technology. Technologies
which will result in low-cost production and in products marketable
close to the point of manufacture, particularly in the rural
sector, will be promoted. Support will be given to technologies
which reduce pressure on items in short supply and utilize
improved local materials and methods. Government will give
preference to products of such technologies in its own purchases.
The adoption of technologies that can promote decentralized
production will be helped through the support to design, marketing,
quality control and other services.
Ensuring Timely Availability
The time cycle from scientific research to utilization
is a long one. Hence the need to initiate action well in advance
to identify and ensure timely availability and delivery of
new technologies. Encouragement and support (fiscal, commercial
and administrative) will be given to the production and user
organizations to be associated with and participate in technology
development efforts at appropriate stages.
Upgradation to Prevent Obsolescence
Technology is constantly on the move. The base
of indigenous technology should be capable of utilizing world-wide
advances and adapting them to local needs. The creation and
strengthening of institutional structures for keeping track
of international developments will receive urgent attention.
A strong central group will be constituted to undertake technology
forecast and technology assessment studies and will inter
alia draw up programmes of purposeful research. Arrangements
will be made to provide high-level scientific advice in major
sectors of the economy. Where big investments are involved
or a large volume of production is envisaged, it will be incumbent
on the Ministry or agency concerned to provide a technology
forecast covering its requirements over a ten-year or longer
period and evolve a strategy for development based on priorities.
Increasing the Demand for Indigenous Technology
Our country has already invested significant
amounts in setting up research and development facilities
as well as design consultancy and engineering capabilities.
The technological potential inherent in this system of interlinked
capabilities must be fully utilized, and in turn provide a
fillip for further development from within the system. Incentives
will, therefore, be provided to users of indigenously developed
technology, and for products and processes resulting for such
use.
Preferential Treatment
In view of the cost of technology development
and the time necessary for successful marketing of a new or
improved product, indigenously developed items are invariably
at a disadvantage compared with imported products or those
based on imported technologies and brand names. Support must
therefore be provided through fiscal and other measures, for
a limited period, in favour of products made through indigenously
developed technologies, care being taken to ensure quality.
Fiscal Incentives
Suitable financial mechanisms will be established
to facilitate investment on pilot plants, process demonstration
units and prototype development in order to enable rapid commercial
exploitation of technologies developed in laboratories. Linkages
between scientific and technological institutions and development
banks will be strengthened. Gaps in technology will be identified
and suitable corrective measures taken with adequate allocation
of resources. Fiscal incentives will be provided in particular
to : promote inventions; increase the use of indigenously
developed technology; enhance in-house Research and Development
in industry; and efforts directed to absorb and adapt imported
technology.
Design Engineering
Capabilities in design engineering are essential
for the translation of know-how to commercial production.
This is particularly important in areas relating to : agricultural
production; agro-industries; metallurgical, chemical and petrochemical
processes; machine tools; industrial machinery and capital
goods; as well as for the construction and erection of entire
plants. Building up and enhancing these capabilities will
have a catalytic beneficial impact on the utilization of indigenous
efforts that have resulted in product and process know-how.
Existing design engineering capabilities will be strengthened
and upgraded, and interaction encouraged between design engineering
organizations, academic and research institutions and industry.
Wherever gaps exist, design engineering capabilities will
be developed and nurtured.
Engineering Consultancy
Engineering consultancy is a vital area for
ensuring speedy technological and industrial development.
It ensures the appropriate utilization of indigenous materials,
plant and machinery. Engineering consultancy provides an essential
link between R&D institutions and industry, and thus promotes
effective transfer of technology. Capability for total systems
engineering, process development and project management should
be developed with collaboration if required. Wherever capability
exists, utilization of Indian consultancy engineering organizations
will be promoted. Even where foreign technical collaboration
or consultancy is considered unavoidable, association of designated
Indian consulting engineering organizations would be preferred.
Indigenous engineering consultancy, in both private and public
sectors, will be promoted on a sound professional basis in
the context of the overall national perspective of technological
self-reliance.
In-house R&D
In-house R&D units in industry provide a
desirable and essential interface between efforts within the
national laboratories and the educational sector as well as
production in industry. Appropriate incentives will be given
to the setting up of R&D units in industry and for industry
including those on a cooperative basis. Enterprises will be
encouraged to set up R&D units of a size to permit the
accomplishment of major technological tasks.
5. Technology Acquisition
Mix of Indigenous and Imported Technology
A policy directed towards technological self-reliance
does not imply technological self-sufficiency. The criterion
must be national interest. Government policy will be directed
towards reducing technological dependence in key areas.
Advantage should be taken of technological developments
elsewhere. This can also be achieved through well-defined
collaborative arrangements in research and development.
At any given point of time, there will be a
mix of indigenous and imported technology. However, technology
acquisition from outside shall not be at the expense of national
interest. Indigenous initiative must receive due recognition
and support.
In the acquisition of technology, consideration
will be given to the choice and sources of technology, alternative
means of acquiring it, its role in meeting a major felt need,
selection and relevance of the products, costs, and related
conditions. A National Register on Foreign Collaboration will
be developed to provide analytical inputs at various stages
of technological acquisition.
Principles of Acquisition and Technology Assessment
Where the need to import technology is established,
every effort should be made to ensure that it is of the highest
level, consistent with requirements and resources. The technology
import will be so planned as to have effective transfer of
basic knowledge (know-why) and to facilitate further advancement.
Where the import of technology is contemplated,
the level to which technology has been developed, or is in
current use, within the country, shall be first evaluated.
Lists of technologies that have been adequately developed
to the extent that import is unnecessary will be prepared
and periodically updated; in such areas no import of technology
would normally be permitted; and the onus will be on the seeker
of foreign technology, be it industry or a user Ministry,
to demonstrate to the satisfaction of the approval authority
that import is necessary.
Technology assessment systems will be reviewed.
A technology assessment mechanism consisting of competent
groups will render advice in all cases of technology import
relating to highly sophisticated technology, large investments
and national security. Aspects of employment, energy, efficiency
and environment will be kept in view.
The basic principles governing the acquisition
of technology will be:-
- Import of technology, and foreign investment
in this regard, will continue to be permitted only on a selective
basis where : need has been established; technology does not
exist within the country; the time taken to generate the technology
indigenously would delay the achievement of development targets.
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Government may, from time to time, identify and notify such
areas of high national priority, in respect of which procedures
would be simplified further to ensure timely acquisition of
the required technology.
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There shall be a firm commitment for absorption, adaptation
and subsequent development of imported know-how through adequate
investment in Research and Development to which importers
of technology will be expected to contribute.
5.3 Unpackaging
Technology to fulfil a particular need consists
of many components. It is necessary to develop capability
to break down the total package of technology required for
a purpose into components, some of which may be readily available
or could be indigenously developed, and other that will need
to be imported. Norms and guidelines for such unpackaging
will be evolved.
Absorption of Technology
There shall be a commitment to ensure an adequate
scale of investment in R&D for the absorption, adaptation
and, wherever possible, improvement on and generation of new
technology, making fullest use of overall national capabilities.
Only thus can self-reliance be ensured and a technology generation
process established firmly. Appropriate mechanisms will be
evolved at the stage of technology assessment to ensure the
absorption of imported technology.
Technological Information
The availability of an efficient system of collection
and analysis of relevant technological information, including
cost and other economic aspects, is a prerequisite for the
appropriate choice of technologies. This will considerably
enhance the possibility of obtaining favourable terms and
conditions in acquisition of technology. Such a technology
information base will be established.
6. Technology Transfer
Diffusion
Special efforts need to be made for the diffusion
of technology in use to all beneficiaries who can employ them
optimally. Appropriate measures shall be evolved to facilitate
technology diffusion, including : horizontal transfer; technological
support for ancillaries from large units; technology inputs
to small units; and upgradation of traditional skills and
capabilities.
International Competitiveness and Technology
Exports
It is necessary to maintain international competitiveness
in products, services and technologies that have export potential.
Conditions for the marketing of indigenous technology and
of products based on it will be improved. It is important
in all such cases to conform to the highest international
standards.
Technical Cooperation among Developing Countries
A concerted effort will be made to participate
fully in technical cooperation among developing countries.
Encouragement will be provided for participation in technology
development programmes with other developing countries which
can contribute to mutual national development.
Protection : Legislative Framework
Development of technology calls for large investments
and often involves considerable risk. Encouragement will be
given to obtaining necessary protection in all cases of indigenous
technology development. A mechanism will be set up to ensure
that national interests arising from the generating of technology
are fully protected internationally in terms of industrial
property rights.
7. Implementation
The success of the Technology Policy and the
speed with which the various facets of the policy are implemented
will depend to a considerable extent on a system for efficient
monitoring, review and guidance and a scheme of incentives
and disincentives.
Government will evolve instruments for the implementation
of this Technology Policy and spell out in detail guidelines
for Ministries and agencies of Government as well as for industries
and entrepreneurs.
Success in implementation demands a conscious
integrated approach covering technology assessment, development,
acquisition, absorption, utilization and diffusion, and connected
aspects of financing, based on overall national interests,
priorities and the attainment of the most challenging technological
goals.
Above all, the entire population must be imbued
with self-confidence and pride in national capacity.
Indian Science and Technology must unlock the
creative potential of our people and help in building the
India of our dreams.
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Introduction
S&T System in
India