New pathways for India’s creative economy, Pg6

– India needs to transform creativity into scalable innovations to become a $5 trillion economy. – Exports of creative services globally surged to $1.4 trillion in 2022, with India contributing significantly. – Grassroots innovations require investment and institutional support for scale-up. – Creative ideas span emotional, cognitive, and spontaneous segments, requiring formalisation. – Policy suggestions include ‘one district one innovation’ and better IP protection.

Background/Context

• India’s creative economy spans diverse sectors: arts, design, tech, architecture, and more.
• In 2022, exports of creative goods and services globally surged by 29%, reaching $1.4 trillion.
• India’s 2019 creative exports were valued at $121 billion; design segment led with 87.5% share.
• As of 2024, the sector is valued at $30 billion, employing 8% of India’s working population.

Key Developments

• UNCTAD’s Creative Economy Outlook 2024 highlights India’s role and potential.
• Creative output in India grew 20% in the past year, contributing over $11 billion.
• Institutions like the Grassroots Innovations Augmentation Network (GIAN) are cataloguing local innovations.
• Examples include the ‘mitti cool clay refrigerator’ and pedal-operated washing machines.

Strategic/Policy/Legal/Economic Implications

• Innovations can emerge from emotional or cognitive needs, but need scale/formalisation.
• Institutional support is lacking for many bottom-up ideas.
• Capital investment and robust IP protection are essential to scale innovations.
• Suggestion to model a ‘one district one innovation’ scheme for localised creativity.
• Need for ecosystem that integrates traditional sectors with creative and tech-led innovation.

India's Stand or Way Forward

• India must bridge the gap between creativity and innovation, especially at the grassroots.
• Greater investment in innovation across all levels is essential.
• IP policy must be reformed to better support informal and small-scale innovations.
• Inspired models from Indonesia (e.g., Antrodam Project by students) show path for localised innovation linked to climate action.

Global Relevance

• Creative exports are becoming a major global trade driver, growing faster than many traditional goods.
• India has the potential to emerge as a global hub for sustainable and scalable creative innovations.

Challenges Ahead

• Lack of institutional mechanisms to scale up grassroots innovations.
• Limited capital access for informal innovators.
• Weak IP enforcement discourages commercialisation.
• Ecosystem gaps in linking R&D, grassroots ideas, and markets.

Mains Mock Question:

“Despite having a rich tradition of creativity and innovation, India’s grassroots innovations rarely scale up or translate into commercial success. Discuss the challenges and suggest a roadmap for building a robust creative economy.”