The concept of ’Intermediate Technology’ was introduced by radical economist and philosopher Fritz Schumacher first in a report for the Indian Planning Commission in 1962 and then popularised in an influential article published in the Observer in 1965.

Schumacher emphasised “the inadequacies of conventional aid policies based, as they were then, on the transfer of modern, capital-intensive and large-scale technologies to developing countries which did not have the financial resources, technical skills or mass markets to accommodate them. He argued that there should be a shift in emphasis towards ’intermediate technologies’ based on the needs and skills possessed by the people of developing countries.” (Practical Action website)  Intermediate technologies were thus described as relatively small, simple, capital-saving, labour-intensive, and environmentally less-damaging technologies, suitable for local, small-scale application. (Wood, 1983) 

Fritz Schumacher was an economist born in Germany but who lived most of his life in England. He spent twenty years as the Chief Economic Advisor to the National Coal Board of Britain and through that experience was exposed to problems of energy supply and environmental degradation. At the same time, his philosophical explorations which included study of Buddhism and Gandhi’s teachings led him to appreciate other ways of thinking and to develop what he called “Buddhist economics” that incorporated a wider set of values than traditional neo-classical economics.

Schumacher proposed a radically different relationship between human beings and technology than that of neo-classical economics. Instead of seeing the purpose of technology narrowly as maximising output per unit of labor, he suggested considering human dignity as an essential aspect of work followed by efficiency and consideration of its impact on the natural environment.

His ideas of intermediate technology were born out of exposure to the negative impacts of industrialisation in Burma observed during a visit for the UN in 1955. He also noted disparities in wealth and well-being in India and pointed out that ‘modern’, capital-intensive industries could have a negative impact on rural employment by putting local artisans out of business. Following an invitation by the Indian government to advise on industrial development, he reflected on what solution was relevant, other than just simply protecting cottage industries.

“What was needed was a level of technology better than the simple methods used in the rural hinterland, more productive than the traditional tools, but far simpler and less capital-intensive than the modern technology imported from the West. What was needed was an intermediate level of technology.” (Wood, 1983: 321)

Schumacher also wrote an article in the Observer published in August 1965 called ‘How to help them help themselves’ which caused some uproar and helped build public support for a new type of overseas aid. His slogan was “find out what the people are doing and help them to do it better.” (Wood, 1983: 326)

Schumacher was also an early and vocal spokesman for concern about consumption of non-renewable energy sources such as coal and oil, and was a close associate of Barbara Ward, Jayaprakash Narayan, George McRobie, among and other visionary thinkers and influential policy actors.