{"id":22587,"date":"2024-03-14T18:37:53","date_gmt":"2024-03-14T13:07:53","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=22587"},"modified":"2024-03-14T21:48:45","modified_gmt":"2024-03-14T16:18:45","slug":"analysis-of-indias-rd-funding","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/editorial-analysis\/14-03-2024\/analysis-of-indias-rd-funding","title":{"rendered":"Analysis of India\u2019s R&#038;D Funding"},"content":{"rendered":"\n<p><strong>Syllabus:<\/strong><strong> GS3\/Developments in Science and Technology<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-text-color has-link-color wp-elements-0cb2d8d8970fcc76e5fb15bd21ee6252\" style=\"color:#015aa7\"><strong>Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The announcement in the interim Budget for 2024-25 of a corpus of <strong>\u20b91 lakh crore to bolster the research and innovation ecosystem<\/strong> within the country, has sparked enthusiasm within the scientific and research communities.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading has-text-color has-link-color wp-elements-b95f2d6cc2a61d2aa23347f6b826edf7\" style=\"color:#015aa7\"><strong>About India\u2019s R&amp;D: Status&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Gross Expenditure on Research and Development: <\/strong>India\u2019s R&amp;D is witnessing significant growth, with a notable increase in <strong>GERD from \u20b96,01,968 million in 2010-11 to \u20b912,73,810 million in 2020-21.&nbsp;<\/strong>\n<ul class=\"wp-block-list\">\n<li>However, with research and development <strong>investment as a percentage of GDP standing at 0.64%<\/strong>, India falls behind major developed and emerging economies such as China (2.4%), Germany (3.1%), South Korea (4.8%) and the United States (3.5%).<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-image is-resized\"><img decoding=\"async\" src=\"https:\/\/lh7-us.googleusercontent.com\/8UsKel9Xng8-G682WBwNjanM2BmFIWRA2kbUYI2VnKDjd6Q6NVdKTQ6ePSu6KAY1zyWau59KNmCU3e9zzGrUuPYmsPeqW1TcgRjKYaodhw4g6Y1IeTZTC2NQOQQ1CW6AzUvPHV1yuAyGKDRdPwL-5vU\" alt=\"\" style=\"width:686px;height:auto\"\/><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Academic talent: <\/strong>Despite the comparatively lower share of GDP dedicated to R&amp;D, India has emerged as a powerhouse in producing academic talent. Annually, India generates an impressive <strong>40,813 PhDs and is in third place after the United States and China<\/strong>.<\/li>\n\n\n\n<li><strong>Research output<\/strong>: India\u2019s research output remains substantial, ranking third globally, with over 3,00,000 publications in 2022, highlighting the nation\u2019s robust research ecosystem and its commitment to advancing knowledge across diverse fields.&nbsp;<\/li>\n\n\n\n<li><strong>Innovation: <\/strong>India also demonstrates commendable performance in patent grants, securing the <strong>sixth positio<\/strong>n globally with 30,490 patents granted in 2022.\n<ul class=\"wp-block-list\">\n<li>While this figure is lower compared to the U.S. and China, it <strong>underscores India\u2019s evolving innovation landscape<\/strong> and its potential for further growth in intellectual property creation.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Major sponsors: <\/strong>In India, GERD is primarily driven by the government sector, including the central government (43.7%), State governments (6.7%), Higher Education Institutions (HEIs) (8.8%), and the public sector industry (4.4%), with the private sector industry contributing only 36.4% during 2020\u201321.&nbsp;<\/li>\n\n\n\n<li><strong>Investment in R&amp;D:<\/strong> According to the R&amp;D statistics (2022-23) of the Department of Science and Technology, India\u2019s total investment in R&amp;D reached <strong>$17.2 billion in 2020-21.&nbsp;<\/strong>\n<ul class=\"wp-block-list\">\n<li>Within this sum, <strong>54% ($9.4 billion) is allocated to the government sector and predominantly utilised by four<\/strong> key scientific agencies \u2014 the DRDO (30.7%), the Department of Space (18.4%), ICAR (12.4%), and the Department of Atomic Energy (11.4%).&nbsp;<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading has-text-color has-link-color wp-elements-c3384dfc46586d9d1d31b4bde9b7c7b2\" style=\"color:#015aa7\"><strong>What are the Major Challenges R&amp;D Facing?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Private sector inertia:<\/strong> The contribution of private industries lags behind that of many other economies. At approximately $6.2 billion, I<strong>ndian businesses represent 37% of the country\u2019s GERD, <\/strong>in contrast to the global trend, where business enterprises typically contribute over <strong>65% of R&amp;D.<\/strong><\/li>\n\n\n\n<li><strong>Low participation by HEIs: <\/strong>HEIs play a comparatively minor role in the overall R&amp;D investment, contributing 8.8% ($1.5 billion).&nbsp;<\/li>\n\n\n\n<li><strong>Brain Drain:<\/strong> Talented researchers often migrate to countries with better research infrastructure and funding opportunities.<\/li>\n\n\n\n<li><strong>Inadequate Education and Training: <\/strong>The education system may not be fully equipping students with the necessary skills and knowledge to thrive in R&amp;D.<\/li>\n\n\n\n<li><strong>Bureaucratic Hurdles:<\/strong> Complex procedures and red tape can slow down research initiatives and discourage potential investors.<\/li>\n\n\n\n<li><strong>Limited Collaboration with Academia:<\/strong> There&#8217;s a gap between academic research and industry needs, hindering the transfer of knowledge and technology.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading has-text-color has-link-color wp-elements-2abf4325ecbe2d2cb27ce41e9cac5697\" style=\"color:#015aa7\"><strong>Measures<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Collaborative approach:<\/strong> Collaboration between the government, business enterprises and HEIs is essential to maximise the positive impact of science, technology, and innovation on economic growth and technological advancement.<\/li>\n\n\n\n<li><strong>Promoting Public-Private Partnerships:<\/strong> Collaboration between academia and industry can bridge the gap between research and commercialization.<\/li>\n\n\n\n<li><strong>Resource channelization: <\/strong>Allocating resources to safeguard intellectual property and tackle technical obstacles can unlock untapped markets.&nbsp;<\/li>\n\n\n\n<li><strong>Government subsidies to incentivise the private sector:<\/strong> Government initiatives like tax breaks and grants can incentivize R&amp;D spending in the private sector.\n<ul class=\"wp-block-list\">\n<li>India\u2019s R&amp;D ecosystem could benefit more from strong private enterprises involvement and stronger industry-academia collaboration, facilitating knowledge transfer and fostering innovation.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Focus on Skill Development: <\/strong>Educational reforms emphasizing critical thinking, problem-solving, and research skills are crucial.<\/li>\n\n\n\n<li><strong>Streamlining Bureaucracy:<\/strong> Simplifying procedures and regulations can expedite research projects and attract investments.<\/li>\n\n\n\n<li><strong>Incentivizing Innovation:<\/strong> Government schemes and awards can recognize and reward innovative research endeavors.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading has-text-color has-link-color wp-elements-833a883c2c49ed62d0b446278b5f24aa\" style=\"color:#015aa7\"><strong>Government Steps<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Change in approach:<\/strong> The decision to rebrand the slogan, \u2018Jai Jawan Jai Kisan\u2019 (by Lal Bahadur Shastri) to \u2018Jai Jawan, Jai Kisan, Jai Vigyan\u2019 (A.B. Vajpayee) to<strong> now \u2018Jai Jawan, Jai Kisan, Jai Vigyan, Jai Anusandhan\u2019 <\/strong>(by the Prime Minister) is intended to reinforce the foundation of research and innovation for development.&nbsp;<\/li>\n\n\n\n<li><strong>Anusandhan National Research Foundation (ANRF) Act:<\/strong> The Act aims to bridge India\u2019s persistent R&amp;D investment gap while nurturing a robust research culture within HEIs.<\/li>\n\n\n\n<li><strong>National Deep Tech Startup Policy (NDTSP):<\/strong> NDTSP aims to support and nurture the unique requirements of Deep Tech startups in India, thereby enhancing the private sector\u2019s role in India\u2019s R&amp;D ecosystem.<\/li>\n\n\n\n<li><strong>Impacting Research Innovation &amp; Technology (IMPRINT):<\/strong> This initiative aims at providing solutions to the most relevant engineering challenges and translating knowledge into viable technology in 10 selected technology domains.<\/li>\n\n\n\n<li><strong>Research Park: <\/strong>Research parks at IIT Delhi, IIT Guwahati, IIT Kharagpur, IIT Kanpur, IIT Chennai, have been established which provide an interface between entrepreneurship and Industry to establish their R&amp;D units in collaboration with students &amp; faculty members of the IITs.<\/li>\n\n\n\n<li><strong>UchhatarAvishkarYojana (UAY): <\/strong>This initiative promotes innovation of a higher order that directly impacts the needs of the Industry and thereby improves the competitive edge of Indian manufacturing. The project envisages collaboration between the academia and industry &#8211; within or outside India.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading has-text-color has-link-color wp-elements-f8e305d9fde03a5a582b678b0480605c\" style=\"color:#015aa7\"><strong>Way Ahead<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>India\u2019s <strong>technological and manufacturing aspirations hinge on a transformative shift in its R&amp;D landscape. <\/strong>Closing the existing gap demands a dual strategy:\n<ul class=\"wp-block-list\">\n<li>encouraging private sector involvement and&nbsp;<\/li>\n\n\n\n<li>fortifying academia\u2019s research infrastructure.&nbsp;<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>A multi-pronged approach involving diverse stakeholders is necessary<\/strong> to address the challenges and unlock the potential of R&amp;D for India\u2019s economic growth and competitiveness.&nbsp;<\/li>\n\n\n\n<li><strong>Learning from the R&amp;D ecosystem in other developed countries<\/strong> while maintaining India\u2019s strengths in streamlined decision-making and strategic alignment could be a powerful force to optimize its R&amp;D landscape.&nbsp;<\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-background\" style=\"background-color:#fff2cc\"><tbody><tr><td><strong>Daily Mains Question Practice<\/strong><br><strong>[Q] <\/strong>India\u2019s Research and Development sector is still in the nascent stage. In this context, critically analyze the major challenges the sector is facing.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.nextias.com\/ca\/wp-content\/uploads\/2024\/03\/Daily-Editorial-Analysis-14-03-2024.pdf\">Download PDF<\/a><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The announcement in the interim Budget for 2024-25 of a corpus of \u20b91 lakh crore to bolster the research and innovation ecosystem within the country, has sparked enthusiasm within the scientific and research communities.\u00a0<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[22],"tags":[],"class_list":["post-22587","post","type-post","status-publish","format-standard","hentry","category-editorial-analysis"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/22587","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=22587"}],"version-history":[{"count":7,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/22587\/revisions"}],"predecessor-version":[{"id":22621,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/22587\/revisions\/22621"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=22587"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=22587"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=22587"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}