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Research and Development in India

28 Jan 2026
4 min

In Summary

  • NITI Aayog report highlights India's R&D expenditure stagnant at 0.6-0.7% of GDP, lagging global peers, with agriculture dominating public R&D institutions.
  • Key challenges include government funding dominance, regional disparity, institutional silos, weak commercialization, and administrative hurdles hindering innovation.
  • Government initiatives like ANRF, National Quantum Mission, and IndiaAI Mission aim to boost R&D, alongside strategies for place-based innovation and private sector incentives.

In Summary

Why in News?

NITI Aayog released a Report on Public R&D Institutes in India: Driving Innovation through Multisectoral and Systemic Integration.

More on the News

  • The report analyses the Public R&D Institutes in India as a robust R&D infrastructure directly contributes to a nation's sustained growth and creates employment opportunities.
    • A 2019 study by the OECD found that a 1% increase in R&D investment as a share of GDP led to a 0.13% increase in GDP per capita over the long term

Current Status of R&D Ecosystem:

  • Key Findings of the Report: 
  • Expenditure as % of GDP: Stagnant at 0.6% to 0.7%, which is significantly lower than global leaders (e.g., USA ~3.5%,  China ~2.4%).
  • Sectoral Distribution: Agriculture and Allied Sectors dominate the landscape with 51% of public R&D institutions.
  • Health, IT, and Telecom follow with much smaller institutional shares.
    • R&D Institutes Distribution: Among the large States, Karnataka (208) has the highest number of R&D Institutes, followed by Maharashtra (185) and Gujarat (165).
      • However, Maharashtra has the highest number of Central R&D Institutes (78), followed by Karnataka (70), and Uttar Pradesh (56).
      • Meghalaya (11) has the highest number of R&D institutes among the small States.
      • Among the UTs, Delhi has the highest number of public R&D Institutes.
  • Other Key Indicators:
    • Global Ranking: India ranks 6th globally in patent filings (with 1 lakh+ filings) and 3rd in trademark filings (5 lakh + filings).
    • Global Innovation Index: India has climbed to the 38th position in the Global Innovation Index (GII) 2025, up from 81st in 2015.

Key Challenges of R&D Highlighted by the report

  • Primary Funding Source: Dominated by the Government Sector (63.6%), unlike developed economies where the private sector contributes over 70%.
  • Regional Disparity: Concentration in a few states and cities limits inclusive innovation and region-specific research.
    • Eg: 36% of institutes are concentrated in South India. 
  • Institutional Silos: Lack of synergy between universities (teaching-focused), R&D institutes (research-focused), and industry (market-focused).
  • Others: 
    • Weak Commercialization: A significant gap exists between lab-scale research and market-ready products.
    • The Patent Paradox: A surge in quantity does not translate to quality. Many filings are "trivial" or "mundane," intended to boost academic scores (API) rather than market utility.
    • Administrative Hurdles: Outdated procurement rules, rigid recruitment structures, and slow decision-making stifle the agility required for modern scientific research.
    • Human Capital Stagnation: Lack of mobility for researchers between academia and industry limits the cross-pollination of ideas.

Government initiatives to boost R&D in India

  • Anusandhan National Research Foundation (ANRF): Established under the ANRF Act 2023, it acts as India's apex R&D body, and focuses on bridging the gap between industry, academia, and government.
  • National Quantum Mission: It is aimed at making India a global leader in quantum technology by 2031.It focuses on four thematic hubs: Quantum Computing, Communication, Sensing, and Materials.
  • Atal Innovation Mission (AIM):It supports 10,000+ Atal Tinkering Labs (ATLs) in schools and Atal Incubation Centers (AICs) for startups.
  • IndiaAI Mission: builds a sovereign AI ecosystem. Features seven pillars including IndiaAI Compute (deploying 10,000+ GPUs) and the development of indigenous foundational models like BharatGen.
  • National IPR Policy 2016: Operates under the vision "Creative India; Innovative India." It consolidated all IPRs under the Department for Promotion of Industry and Internal Trade (DPIIT).
  • RDI Scheme: The RDI Scheme (Research, Development, and Innovation Scheme) is a ₹1 lakh crore Indian government initiative to boost private sector-driven R&D.

Way Ahead to improve R&D Ecosystem

  • Place-Based Innovation: Future R&D institutes should be co-located within Industrial Clusters (such as Silicon Valley in USA) to ensure research is market-driven and reduces "Lab-to-Production" time. 
  • Establishment of Shared Hubs: Instead of duplicating resources, "Shared Equipment Hubs" (such as University of Washington's CoMotion Labs) should be created to provide startups and smaller institutes access to high-end infrastructure.
  • Incentivizing Private Sector R&D: Shift from "Government-led" to "Government-enabled" R&D.
    • Utilize the Anusandhan National Research Foundation (ANRF) to de-risk private sector investment in "deep-tech" and "sunrise" sectors.
  • Academic-R&D Convergence: Implementing a "Dual Appointment" system where scientists can teach at universities and professors can lead research at public institutes.
    • MIT (USA), through its Industrial Liaison Program (ILP), enables MIT researchers to develop partnerships with industry leaders and strengthens the exchange of knowledge and resources.
  • Strengthening Judiciary: Establish dedicated IP Benches in High Courts to expedite litigation, following the abolition of the Intellectual Property Appellate Board (IPAB).

Conclusion

Research and Development is a catalyst for economic growth, technological self-reliance (Atmanirbhar Bharat), and global competitiveness. Strong R&D is essential for India to transition into a $5 trillion economy and eventually a developed nation (Viksit Bharat @2047).

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Viksit Bharat @2047

A national vision and initiative outlining India's development goals and aspirations for the year 2047, which marks the 100th year of India's independence. It aims to transform India into a developed nation with focus areas like economic growth, social development, and technological advancement.

Atmanirbhar Bharat

A national campaign promoting self-reliance across various sectors, encouraging domestic production, innovation, and reduced dependence on imports.

IPAB

Intellectual Property Appellate Board, a quasi-judicial body that heard appeals related to intellectual property rights. Its abolition is mentioned in the context of strengthening the judiciary for IP litigation.

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