Press Description
Amongst GIAN’s (Grassroots Innovations Augmentation Network’s) many achievements in the last seven years is its recent technology transfer deal struck on behalf of four grassroots innovators with Mr. Nilesh Satasiya, an entrepreneur from Ahmedabad. This agreement covers the right to manufacture and market four different types of agricultural sprayers at the national level on non-exclusive basis. This means that other entrepreneurs can also license the same technologies.
These technologies were the brainchild of grassroots innovators scouted by Society for Research Initiatives in Sustainable Technologies and Institutions (SRISTI) and National Innovation Foundation (NIF). Their innovations were later scaled up by GIAN, drawing on its varied and rich experience of converting innovations into enterprise. In each instance, GIAN provided its expertise for the augmentation of and value addition in innovations.
Three of the four sprayers are from Gujarat, with one having been scouted in the third Shodh Yatra in Bharuch district, and the others through a state wide contest for scouting innovations, organised through Department of Rural Development, Gujarat. In addition, three of them are SRISTI Sanman winners, and all four of them are NIF awardees.
The grassroots innovators behind the technologies are Mr Arvindbhai R Patel, Mr Khimjibhai Kanadia, Mr Gopalsinh Parakramsinh Suratia and Mr Lalit Surana. Apart from the creative spirit that drives innovation, they all share a lack of any formal education. This technology transfer does prove that ordinary people can make extraordinary products having value in the market place.
Prof Anil Gupta, Honorary Secretary, GIAN said, “It is the first time that four grassroots innovations have been simultaneously bought by the same entrepreneur. This makes the deal a remarkable achievement for GIAN and helps extend the benefits to creative people.”
Later, Prof Gupta added, “Another heartening feature of this agreement is the entrepreneur, Mr Satasiya’s decision to buy the technologies, rather than try to imitate the prototypes. We hope that this will set a trend in ethical awareness among today’s generation of entrepreneurs who will prefer to innovate and license innovations rather than imitate.”
Mr Mahesh Patel, Chief Executive Officer, GIAN informed , “We also plan to seek funds from the Micro Venture Innovation Fund set up by NIF to further assist the entrepreneur in the venture promotion phase of this initiative”.
The four mentioned technologies have been transferred to Satasiya Industries, 40, Vishnu Industrial Estate, Opp Raghunath Hindi High School, LBS Road, Bapunagar, Ahmedabad.
Satasiya Industries has paid a few lakh rupees so far, and agreed to pay a 2.5 % royalty on sales turnover for a period of five years, with the possibility of renewal of the agreement. Besides getting half the share of the license fee, an almost equivalent amount has been contributed by them to Western Indian Grassroots Innovators Alliance for Nurturing Creativity (WIGIAN). As if that was not enough, each of them would be donating Rs 5000 to community welfare and environmental conservation related activities in their regions.
WIGIAN was formed for small innovators who do not easily obtain financial assistance from formal government schemes. WIGIAN will be shortly registered as a society under the ambit of the Honey Bee Network. A unique feature of this organization will be that its Board Members will comprise seven innovators, who will also play the role of decision makers.
About GIAN: GIAN (Gujarat Grassroots Innovations Augmentation Network , now called GIAN West) was established in March 1997 with the support of Government of Gujarat, Society for Research Initiatives in Sustainable Technologies and Institutions (SRISTI) and Indian Institute of Management, Ahmedabad (IIMA). GIAN scales up and spawns grassroots innovations, aiding the development of successful enterprises. It provides innovators with linkages to modern science and technology, market research, design institutions and funding organizations. The ultimate objective of GIAN is to generate new models of poverty alleviation, rural development, employment generation and conservation of natural resources without impairing the ecological balance.
GIAN builds on the philosophy of the Honey Bee Network established at IIMA. The Network has been involved in the documentation, dissemination, experimentation, and value addition processes of grassroots innovations developed through individual initiative.
Technology Transfer of 10 HP Mini Tractor
- cash down payment
- sales linked royalties
- equity stake for the innovator of the technology
- exclusive dealership rights for two districts of Gujarat for the innovator.
The technology transfer agreement gives the licensee exclusive rights to manufacture and market the 10 HP mini tractor in the states of Gujarat, Maharashtra, Rajasthan, MP and UP under the "Vanraj" brand. The tractor is being promoted by GIAN and the Society for Research and Initiatives for Sustainable Technologies and Institutions (SRISTI), on behalf of the grassroots innovator Shri. Bhanjibhai Mathukia, who hails from a small village in the Jungarh District. GIAN and SRISTI are part of the Honey Bee Network, which was set up by Prof. Anil K Gupta of IIM Ahmedabad, with the objective of recognising, awarding and promoting grassroots innovations and traditional knowledge of India. Since its inception in 1997, GIAN has successfully undertaken 13 such technology transfers of grassroots technologies to entrepreneurs.
The 10 HP tractor is a small, low cost and highly efficient tractor which has the potential of filling a vital demand gap which exists in the Indian market today. While the smallest tractors currently available in the market are in the 24 HP range and generally cost upwards of Rs. 2.25 lacs, there is a large chunk of farmers, especially those owning small land holdings, who cannot afford to buy these tractors. These farmers are left with the option of either using bullocks, which are becoming increasingly uneconomical to own, or using power tillers, which have serious usage limitations, especially in the Indian context. The "Vanraj" 10 HP tractor, being promoted by GIAN, has the potential of filling this crucial demand gap by giving the farmers the choice of owning a tractor at a highly affordable price.
The innovator had developed the 10 HP tractor in his village in Junagarh out of the various readily available components and assemblies.. For example, he had used the gear box of an old Mahindra jeep, front tyres of the Fiat Padmini and rear wheels of the Mahindra jeep etc. The innovator had used the fixed speed "stationary" engine, which are widely available in the Rajkot belt and are normally used for pumping water. Also, given that his village was located close to Rajkot, which is major foundry hub, he was able to get some components and parts manufactured The "crude" prototype was taken up by GIAN for incubation and further commercialisation.
The first activity undertaken by GIAN was to develop a business plan for the tractor. The Student Organisation for Managerial Assistance (SOMA), which is a fully student run group with the Indian Institute of Management, Ahmedabad and which provides business consultancy services to NGOs and small businesses, was contacted and a business plan was developed. SOMA recommendations regarding the feasibility of the project were encouraging particularly in states like Gujarat, Rajasthan and MP, where the soil conditions and the farm holding pattern was favourable to the acceptability of the product.
Based on the result of the study and the subsequent internal assessment, it was decided to provide active support to the project. The technology road map, in terms of the technical and design value additions that were needed before taking the tractor to the market, was charted. A competent technical consultant, having experience in the areas of hydraulics and tractor technologies, was hired to head the technical team, which also comprised the innovator and a coordinator
from GIAN.
The funding for the project was raised from the Technopreneur Promotion Programme (TePP) scheme of the Department of Scientific and Industrial Research. A detailed proposal was submitted which was subsequently approved and a prototype development and technology value addition grant to the extent of Rs. 6 lacs was approved. The technical value addition work was completed over a period of months and the modified prototype was undertaken for field trials. The National Institute of Design, Ahmedabad, with whom GIAN had an MoU for collaborative work on innovations requiring design inputs, was involved later in the project for aesthetic design and styling. (The photographs of the tractor before and after the value addition are as shown in the attached Annexure). It would be pertinent to mention here that the value addition was done without making alterations to the basic value proposition of the tractor especially in terms of low cost, easy maintainability and high manoeuvrability. The technology improvements were done to either improve upon these features or to increase performance and endurance. Therefore, a customised transmission system was developed, because the one existing was not suitable for farm operations. A power take-off shaft (PTO), which significantly increases the usability of the tractor by providing a source of mechanical power on the farm, was also added. After the successful completion of the field trials, the tractor was submitted to the Central Farm Machinery Testing Institute, Budni, MP, where it is currently undergoing testing.
The licensees of the technology, M/s Pramal Farmatics (P) Ltd, is a company promoted by two technocrats, Mr. J.D Patel and Mr. J.H.Trivedi, both having professional experience of 25 years in the industry. Given the market demand for the product, the robust technology and the sound background of the promoters, the project is expected to be a big success and also a successful demonstration of the value chain that GIAN is trying to build around grassroots innovations to bring them to market.
It would also be pertinent to mention here that GIAN is currently very actively working on 15 other grassroots technologies which it expects to bring to market in the next 12 months.
For further details, please feel free to contact the following:
Gujarat Grassroots Innovations Augmentation Network (GIAN)
Bungalow No. 1, Satellite Complex (Opp. Mansi Tower)
Satellite, Ahmedabad - 3800015
ph: 079-26769686
fax: 079-26760398
email: gian@gian.org
Mo: 9825304425 / 9825304421