New Delhi: Warship-maker Garden Reach Shipbuilders and Engineers (GRSE) plans to enter into profit-sharing deals with startups it incubates at the stage of commercialisation during product development stage.
The Kolkata-based public sector company, part of the Ministry of Defence, has allocated a dedicated fund from its research and development budget to foster startups focused on the shipbuilding sector.
"We have earmarked a sizable portion of our R&D budget for nurturing and supporting startups in developing products and services for captive use, which can later be commercialised," GRSE's Chairman and Managing Director (CMD) Cmde PR Hari, Indian Navy (Retd), told PTI.
Regarding the commercial relationship with startups, Hari explained that GRSE will engage in profit-sharing agreements with these early-stage companies once the final product is developed and shows potential for commercial success.
While terms are flexible, GRSE anticipates benefiting commercially from the intellectual property created through these collaborations.
In the inaugural edition of the GRSE Accelerated Innovation Nurturing Scheme (GAINS) in 2023, two companies emerged as winners and are currently undergoing incubation.
"One is an MSME focused on AI-based material code generation and management systems, while the other is developing robots for ship exterior painting," Hari mentioned. GRSE has provided full financial support to these startups to develop viable prototypes.
The first product development is slated for completion by December 2024, with the second expected by mid-2025. Encouraged by the initial response of 51 applications, GRSE has launched GAINS-2024, focusing on themes like Artificial Intelligence (AI), Renewable/Green Energy & Energy Efficiency, and Overall Efficiency Enhancement.
This initiative aligns with India's 'Atmanirbhar Bharat' (self-reliant India) policy, underscoring the role of startups in contributing to national development. GRSE reported a 33 percent growth in revenue to Rs 3,400 crore in the 2023-24 fiscal.
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