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Tuesday
Jun232015

Mongolian Enterprises Target Healthy Urban Lifestyles

 

In the Northeast Asian nation of Mongolia – landlocked between Russia and China – the traditional diet is based on the nomadic ways of its herders. Rich in meat and milk products, it is a diet that has evolved from the need to survive in a harsh climate doing hard physical labour – winter temperatures can drop below minus 50 degrees Celsius.

Social changes brought about by Mongolia’s economic journey since embracing free markets and democracy in the early 1990s have led to a growing urban population. The capital, Ulaanbaatar, has seen its population balloon for a variety of reasons – from collapsing rural economies to environmental disasters to the need to find work and opportunities – and is estimated to be over a million, out of a national population of just 2.6 million (World Bank).

Mongolia is experiencing serious food security problems due to factors including economic inflation and weather-related disasters, and is also confronting problems common to many countries in the age of globalization. According to the World Diabetes Foundation, 10 percent of the population is at risk of the disease, which it calls a lurking catastrophe.

As the paper “Lessons from a small country about the global obesity crisis” by Kelly D. Brownell and Derek Yach notes: “Globalization changes many features of modern life, including diets. As trade changes, diets can become more secure (hunger becomes less of a problem), but the cheapening of calories, the reliance on imported food, and the influence of food marketing drive up consumption and drive down nutrient density. Obesity, diabetes, and other chronic diseases are not far behind.”

In response to these problems, increasing awareness of healthy lifestyles has led to some new business ventures in Ulaanbaatar. This past summer, saw the opening of an organic vegetarian restaurant and shop: the Organic Café Shop, reports Green Traveler Guides.

Started by business partner-sisters  Bayarmaa Jarantai and Enkhmaa Jarantai with nephew Lkhagvasuren, the modest four-table restaurant and shop is a mini-revolution for a country as meat-loving as Mongolia. It serves up organic vegetarian meals and sells certified organic products. The spark of inspiration came when Bayarmaa read three books on the macrobiotic diet translated into Mongolian. The macrobiotic diet (http://en.wikipedia.org/wiki/Macrobiotic_diet) avoids highly processed foods and uses grains, beans and vegetables as its staples.

The cafe’s menu includes: vegetable salads (shredded cabbage, bell peppers, carrots and seasoning), stir-fried vegetables with tofu and asparagus soup, 10-grain soup, eggplant, and Mongolian vegetarian fried vegetables. Prices range between 2,500 Mongolian tugrug and 4,500 tugrug (US $1.75 and US $3.00).

The vegetables are sourced locally from Mongolian farmers and gardeners and are chemical-free. While not officially certified as organic, they are effectively that.

The shop sells certified organic products from China. The products include rice, grains, sugars and jams. (Made-in-Mongolia organic produce is a business opportunity waiting to happen: so far there are no certified organic packaged-product producers in the country).

The sisters import the products from Lohao City (http://www.lohaocity.com/eshow.asp) organic food market in Beijing, China.

But despite the Organic Café Shop’s good intentions, it is not immune to the country’s food security issues: Bayarmaa admits to being puzzled about how she will be able to continue to source the fresh vegetables she needs during the harsh winter months. Ulaanbaatar is the coldest national capital in the world and fresh produce has to be imported at considerable expense.

Another enterprise promoting healthy living in Ulaanbaatar is the Ananda Café and Meditation Centre (http://www.anandacenter.org/), a vegetarian restaurant and yoga (http://en.wikipedia.org/wiki/Yoga) centre. Yoga is the traditional physical and mental discipline from ancient India used to keep physically fit. It is a form of exercise that appeals to a wide age range and can be done pretty well anywhere.

The Ananda Centre offers courses in yoga and meditation, vegetarian cooking classes and nature retreats.

Resources

1) Yoga poses to help with relieving constipation (from Jen Reviews). https://www.jenreviews.com/yoga-for-constipation/

By David South, Development Challenges, South-South Solutions

Published: November 2010

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Slideshare: http://www.slideshare.net/DavidSouth1/development-challengessouthsouthsolutionsnovember2010issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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Tuesday
Jun232015

Mongolia Looks to Become Asian IT Leader

A Mongolian information technology company founded by a woman has shown a way to thrive in the country’s often-chaotic economic environment. With the global economic crisis moving into its third year, Intec’s strategies to survive and thrive offer lessons for other IT start-ups in the South.

While the global economy’s prospects are still uncertain, on the positive side, many believe the best place to be is in emerging economies like Mongolia, with some foreseeing healthy growth for the next 20 to 30 years. Mongolia’s information technology entrepreneurs are looking to prove this is the case. The country has made great strides in improving e-government – jumping from 82nd place to 53rd in the UN e-government survey 2010 (http://www2.unpan.org/egovkb/global_reports/10report.htm) – and is now aiming to become an Asian software and IT services outsourcing powerhouse.

A Northeast Asian nation (http://en.wikipedia.org/wiki/Mongolia) sandwiched between Russia and fast-growing China, Mongolia grapples with the combination of a large territory, a small population (2,641,216) and limited transport infrastructure connecting it to its neighbours. Historically, it is a nomadic nation with a strong animal herding tradition. But during the Communist period, it industrialized and became more urban. After the collapse of Communism at the beginning of the 1990s, the country experienced a terrible economic and social crisis, with rapidly rising poverty rates and high unemployment.

Despite its infrastructure obstacles, Mongolia has been able to develop a lively information technology sector, often with the assistance of the United Nations. During the late 1990s, as the internet revolution exploded, the UN led on supporting infrastructure, skills development, innovation and legislation.

Information technology consulting and services company Intec (www.itconsulting.mn) , founded in 2004, has been able to thrive through the global economy’s ups and downs by identifying an under-serviced niche as a consulting, research and training company. Intec now has five full-time staff and works with a broad network of Mongolian and international consultants.

As is often the case with new businesses, Intec initially found that many doors were closed to start-up enterprises.

“The major challenges which I faced were to make people understand about the consulting services,” said Intec’s founder, Lkhagvasuren Ariunaa. “The consulting services concept was new to Mongolia and Mongolians at that time and not many organizations were willing to work with consulting services. The international and donor organizations were keen to work with consulting services companies; however, they were requiring companies to have a list of successfully implemented projects, which was difficult for a new starter like Intec.

“For example, registering with the Asian Development Bank consulting services database required companies to be operational for at least three years. So, we got registered with ADB consulting services database only in 2008. Meanwhile, personal connections and communication skills helped to find jobs and opportunities for Intec.”

Ariunaa had worked for the Soros Foundation (http://www.soros.org/) but it closed its offices in Mongolia in 2004. Faced with unemployment, Ariunaa went about seeing what she could do next: a dilemma many people face in today’s economy.

“It took me about eight months to develop a business plan and directions of operation of the company. I started in a big room at the national information technology park building with one table, chair and computer.

“It has been quite challenging years for bringing a company to the market and finding niches for us. We have franchised the Indian Aptech WorldWide Training center (http://www.aptech-worldwide.com) in Mongolia – may be one of the few franchising businesses in Mongolia. Currently that center is now a separate entity/company and it has over 20 plus faculty staff and over 300 students.”

Ariunaa had been active in the sector for over 10 years, but while knowing many of the players and organizations, she spent time researching what niche Intec could fill in the marketplace.

“Looking at the ICT market, there were quite a number of internet service providers, mobile phone operators, a few companies started developing software applications, and services etc. However, there were only two to three consulting companies in the ICT sector which to my knowledge at that time were providing consulting services, and still there was a room for Intec.”

Intec then focused on three areas: consulting services, training and skills, and research. Intec found they were pioneering a new concept in Mongolia.

Intec’s first contract was a job with the University of Milwaukee-Wisconsin in the United States to organize a three week course for American students to learn about the digital divide in Mongolia. But the global economic crisis hit Mongolia hard in 2009.

“It was challenging to survive and continue working the same way,” Ariunaa said. “There were few ICT-related jobs in Mongolia at that time, and one of our major clients left Mongolia and we had to find other clients in the market.

“One of the ways of approaching this was that we were not asking for fees, instead we would have a barter agreement – we will deliver them services and they will provide some services for us. For the company itself, we needed to find ways of financing and covering costs for renting of premises, paying salaries for staff on time, paying taxes and other expenses.”

The environment in Mongolia is being helped by the Information and Communications Technology and Post Authority (ICTPA) of Mongolia (http://www.ictpa.gov.mn) , which has been driving forward an e-Mongolia master plan. With 16 objectives, it ambitiously seeks to place Mongolia in the top five of Asian IT nations, competing with South Korea, Singapore, Japan and China.

Ariunaa believes Mongolia has many competitive advantages. “Mongolia is known for a high-literacy rate and math-oriented training and education, and ICT specialists are targeting to become a software outsourcing country for other countries. Another advantage of Mongolians is that they can easily learn other languages: we are fluent in Russian, English, Japanese, Korean, German and we believe that with these two major advantages, we will be able to do a good job with outsourcing of software development.”

While men still dominate the ICT sector in Mongolia, Ariunaa has not found being a woman a disadvantage. “In Mongolia, as gender specialists say, there is a reverse gender situation. Women are educated, well-recognized and well-respected. There were situations, when I was the only women participant in the meeting with about 20 men. But I never felt somewhat discriminated or mis-treated and I think that’s the overall situation towards gender in Mongolia.”

Intec’s success working with Aptech WorldWide Training’s franchising contract brought many advantages for a start-up. “It’s a faster way to do things, and you don’t have to re-invent the wheel.”

As a Mongolian company, Intec has found it best to play to its local strengths. “National companies have knowledge, expertise and experience of local situations, know players and understand about legal, regulatory matters. … partnership or cooperation are one of the means of cooperating with big global players.”

Intec’s success is also down to Ariunaa’s enthusiasm: “It’s fun and I love doing it – just usually do not have enough time!”

By David South, Development Challenges, South-South Solutions

Published: July 2010

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Google: https://books.google.co.uk/books?id=3B-YBgAAQBAJ&dq=development+challenges+july+2010&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challengessouthsouthsolutionsjuly2010issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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Sunday
Jun212015

Rickshaw Drivers Prosper with New Services

 

The rickshaw is the world’s oldest form of wheeled transportation and forms a significant part of India’s transport infrastructure. In large cities across Asia, 1 million three-wheeled auto-rickshaws form an important means of daily transportation and a vital source of income for their drivers. There are 8 million cycle rickshaws on the streets of India, the government says. They perform many tasks: as taxis, as couriers, as goods movers. And the Indian government promotes cycle rickshaws as a non-polluting alternative.

But rickshaw drivers in India struggle with a bad image despite being a critical component of the transport infrastructure. They work 12 to 18 hour days, are paid poorly, and are subject to frequent abuse from passengers and other drivers in the crowded and stressful streets.

Many of the men working as rickshaw drivers have left behind families in villages. Because their main home is elsewhere, many just eat, sleep and live next to the roadside.

An innovative company is taking this important service into the 21st century, and in turn boosting income and benefits for the drivers and restoring their dignity. Based in Delhi, Sammaan (www.sammaan.org), meaning dignity, has developed a sophisticated business model that offers a wide range of services to rickshaw passengers – drinks for sale, mobile phone chargers, courier collections, music, magazines/newspapers, first aid and outdoor advertising and marketing – along with professional treatment of the drivers, providing them with a uniform, identity card, bank accounts, profit sharing and insurance. The drivers pay a small maintenance fee of 10 rupees a day (US 20 cents) for renting the rickshaws. It is common in the rickshaw industry in India for drivers to rent their vehicles on a daily basis – 95 percent do so.

Drivers get the full fare from a ride, while they share the profits from the sales of goods with Sammaan (http://uk.youtube.com/watch?v=yUuP16fyTjM).

Sammaan’s founder, 27-year-old Irfan Alam, from the Indian state of Bihar, had the inspiration for his business idea when he was thirsty and riding in a rickshaw. He knew the rickshaw driver made very little money after he paid his rent for the rickshaw. And so he thought about how drivers could increase their income. Why couldn’t they sell drinks, or newspapers or mobile phone cards, he thought?

As well, since they travel more than 6 miles a day on average, why not deliver things and host advertisements on the rickshaws?

Sammaan’s idea is to fully modernize the rickshaw business: an important goal considering it makes up 30 percent of urban transport in India. By turning rickshaws into mobile advertising and marketing vehicles, income is substantially increased, while offering services builds loyalty from passengers.

In order to improve the quality of life for drivers, Sammaan also offers free evening classes for the drivers and their children.

Sammaan’s rickshaws are custom designed to allow for ample space to display the paid-for advertisements. This has proved a highly competitive way to do outdoor advertisements: it is 90 percent cheaper than advertising billboards and other campaigns. The fact the rickshaws go everywhere – from urban back streets to rural areas – makes it an effective way to reach all corners of India.

The rickshaws for the passengers are no more expensive than rickshaws with no services. And passengers are even covered by insurance if there is an accident.

Sammaan currently has hundreds of rickshaws running in Noida, Ghaziabad , Patna , Agra , Meerut , Gurgaon and Chandigarh .

The company also is planning to offer phone services in the rickshaws and the ability to pay utility bills while riding inside.

“We are also in advanced talks with Zandu Pharmaceuticals, Coca Cola and Dabur, and are hopeful of getting advertising contracts from them,” Alam told The Economist magazine. Sammaan expects to make Rs 10,000 to 15,000 (US $204 to US $307) a year from a single rickshaw.
Alam is part of a new breed in India: he is not from an established business family, but is nonetheless well educated. Many educated Indians are turning to entrepreneurship instead of becoming a corporate drone in a big company. This is being called a revolution in middle-class aspirations.

India has long-standing entrepreneurial traditions: merchant community the Marwari baniyas (http://en.wikipedia.org/wiki/Marwaris) are famed for their business acumen. But the new entrepreneurs have different aspirations and inspirations. They look to technology pioneers like Infosys (http://www.infosys.com/) and hire people based on merit and professionalism, not family connections.

The hot areas for this new breed of entrepreneur are technology, entertainment, human resources and education.

Alam’s rickshaws are made out of fiberglass for tourist towns with paved roads, and a rugged version out of iron for places with poor road conditions.

Another initiative to modernize the rickshaw business has come from India’s Centre for Scientific and Industrial Research (CSIR) (http://www.csir.res.in/), which has developed a state-of-the-art, solar powered version of the humble cycle-rickshaw.

The “soleckshaw” is a motorized cycle rickshaw that can be pedalled normally or run on a 36-volt solar battery.

The makeover includes FM radios and power points for charging mobile phones during rides.

The “soleckshaw,” which has a top speed of 15 kilometres (9.3 miles) per hour, has a sturdier frame and foam seats for up to three people.

The fully-charged solar battery will power the rickshaw for 50 to 70 kilometres (30 to 42 miles). Used batteries can be deposited at a centralized solar-powered charging station and replaced for a nominal fee.

By David South, Development Challenges, South-South Solutions

Published: January 2009

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Cited in A Sociological Approach to Health Determinants by Toni Schofield (Cambridge University Press, 2015)

Follow @SouthSouth1

Google Books: https://books.google.co.uk/books?id=bbCXBgAAQBAJ&dq=development+challenges+january+2009&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challenges-january-2009-issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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Friday
Jun192015

Combating Counterfeit Drugs

 

Access to good quality drugs is a serious problem across the South. The International Narcotics Control Board estimates that up to 15 per cent of all drugs sold around the world are fake or counterfeit, and in parts of Africa and Asia this figure jumps to 50 per cent. The US Food and Drug Administration estimates counterfeit drugs make up 10 per cent of the global medicine market. The US Centre for Medicines in the Public Interest predicts counterfeit drug sales will reach US $75 billion globally in 2010, an increase of more than 90 per cent from 2005.

Fake drugs are a major cause of unnecessary death and destroy public confidence in medicines and health services. While counterfeit drugs have been on the rise, there is little co-ordinated or effective action to counter this menace afflicted on the sick.

But in Ghana, a solution has emerged that shows a way to guarantee that quality drugs get to the sick who need them. CareShop Ghana uses the franchise model – where licenses are sold to approved vendors who adhere to strict guidelines – to ensure that the quality, accessibility and affordability of essential medicines in and around Accra is guaranteed. CareShop has made deals with close to 300 franchisee pharmacies – often modest operations – who sell over-the-counter drugs.

In Ghana, preventable and curable illnesses like malaria and diarrhoeal diseases are among the leading causes of death. Their treatment pushes many people to financial despair; they can ill afford the extra burden of worrying about counterfeit drugs and the harm they do. Like many countries in the South, Ghana’s public healthcare system is unable to meet these needs and so most people turn to the private sector for help.

An estimated 65 per cent of people turn to licensed pharmacies. But many of these operate haphazard businesses, dispensing expired or counterfeit drugs.

The Ghana Social Marketing Foundation Enterprises Limited (GSMFEL) founded CareShop in 2002, hoping to battle common infectious diseases in poor areas by making sure good drugs get through to the sick.

GSMFEL makes a small profit as the franchisor by selling high-quality drugs to the franchisees. The key to CareShop’s success is imposing standardization on franchisees, so they have to stick to common diagnosis, quality and pricing. They make more money when they adhere to these rules than when they break them. To ensure there is no tampering with the drugs, they are delivered straight to the vendor’s doorsteps, and it is all backed up with health and business training support and branded materials.

The tide can be turned around on fake drugs: in 2002, the WHO reported that 70 per cent of drugs in Nigeria were fake or substandard: by 2004 that figure had fallen to 48 per cent.

Stimulating private sector solutions to African healthcare problems is now receiving an additional boost from a new fund established by the World Bank’s private sector arm, the International Finance Corporation. Launched in 2007, it offers cash and loans totalling US $500 million to commercial healthcare projects in Africa. According to its own statistics, 60 per cent of health expenditure in sub-Saharan Africa is privately funded, and the market, excluding South Africa, is worth US $19 billion.

By David South, Development Challenges, South-South Solutions

Published: May 2008

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

Google Books: https://books.google.co.uk/books?id=x6mXBgAAQBAJ&dq=development+challenges+may+2008&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challenges-may-2008-issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.

Tuesday
Jun162015

Local Animation: A Way Out of Poverty

 

One of the more remarkable creative developments since 2000 has been the explosion in animation production in the developing world, in particular Asia. Once seen as frivolous or unnecessary, animation is now acknowledged as a high-growth area and a critical component in the emerging economies being shaped by information technology.

The demand for more animation is being fuelled by several trends. Lucrative outsourcing contracts with major global film studios like Walt Disney and Warner Brothers get much of the attention. But even more importantly for small entrepreneurs, the rapid growth of information technology and mobile phones is fuelling demand for animation with a local flavour, which is an excellent way to make applications more attractive to users. As computers and animation software become cheaper, it is easier for entrepreneurs to compete with the bigger studios. It all started with the popularity of Japanese anime animation, which kicked the door open in the West, sparking an appetite for fresh, new styles unseen before.

The animation leaders in Asia are Japan, Republic of Korea, Philippines and Taiwan Province of China, with India rising quickly. As animation production is very lucrative and a labor-intensive business (labor takes up 70 to 80 percent of business costs), other Asian countries such as India, China, Vietnam, Malaysia and Singapore have recently started their own industries.

The National Association of Software and Service Companies (NASSCOM) has forecast the Indian animation sector to gross overall turnover of US $950 million in 2009, while its gaming industry will reach US $300 million in 2009 (from US $30 million in 2005). The global industry is huge: it is estimated that games will gross US $11 billion and animation US $35 billion by 2009. In the Philippines, growth has been 25 per cent a year since 2005 (National Statistics Office), and the government has been heavily promoting animation as a viable career and business opportunity. China was able to make US $604 million in 2005. The AWN’s Animation Industry Database lists 48 studios operating in the Philippines alone. Others benefiting are Thailand, Taiwan Province of China and Republic of Korea. And even in Africa, there have been attempts to get things going.

Ambitiously, China hopes to raise its home-made share of the animation pie from 10 per cent and to increase its overall animation programming from 5,000 hours/year to 16, 7000/year. In 2004, the Chinese government set up four animation schools: Communication University of China, Beijing Film Academy, China Academy of Art, and Tianjin Sorun Digital Media School. More than 200 animated films were produced in 2004.

Indian animation feature productions have exploded in the past few years. In 2005, animated feature Jai Hanuman started the current boom. Its quality marked a departure from past Indian productions and heralded in a new era. Importantly, it out-grossed any Disney film in India, and proved films featuring local topics could be commercially successful. It is a difficult market with 14 official languages and 1,400 dialects. At present, the huge Indian market has little locally produced animation to feed its needs. But by 2007, 71 Indian animation films were announced to be in production.

Productions in development draw heavily on India’s culture and love of gods. They include Epiphany Films’ The Dream Blanket, a Tibetan fairy tale, and Graphiti studios’ Action Hero BC, a teenager who fights evil.

The world’s animation producers scour India for talent to outsource. Global films with some Indian production in them include Finding Nemo, The Lion King and The Adventures of Tenali Raman. Toonz Animation Studio based at the Technopark in Kerala, was called by Animation Magazine one of the top ten studios in the world.

In Africa, South Africa has by far the most dynamic and sophisticated animation sector. Ten years after the birth of democracy, hundreds of production companies and several 2D animation houses were established. In turn, South Africa advertises itself as a cheaper place to produce animation.

The highly successful South African 3D animated series Magic Cellar by Morula Pictures – the first of its kind based on African culture – was successfully sold to the US Home Box Office channel this year. Based on 20 folk tales, the stories were collected through interviews with elders in African villages. Mfundi Vundla, 58, who owns Johannesburg’s Morula Pictures, South Africa’s largest black-led studio, said his productions are meant to counter the perception of “Africans as unsophisticated, superstitious idiots who visited witch doctors to solve problems.” It employs 60 people and dozens of actors.

In 2004, UNESCO’s Africa Animated! was launched, with East Africa’s first animation project. The participants undertook animation, drawing techniques, scriptwriting for animation and storyboarding. The project was launched to assemble resources and expertise for the production of culturally relevant children’s animated cartoons and programmes in Africa. It sought to create a high-quality “African branded” training and production model, in order to make African animation competitive for regional organizations to produce animated TV series, Public Service Announcements (PSA) and short films.

The Nairobi office is seeking to establish a Regional Training and Production Centre for Animation in Kenya in 2008.

Moustapha Alassane of Niger and one of Africa’s film pioneers, said: “The good thing about animation is that you can do it on a shoe-string budget. With the computer, animation is getting easier and anyone can do it now. I want to encourage young Africans to use new technologies for animation.”

By David South, Development Challenges, South-South Solutions

Published: December 2007

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

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Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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