Viksit Bharat by 2047 Goal Need Research Revolution

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Picture Courtesy:  THE HINDU

Context

Innovation and technological leadership are key to 'Viksit Bharat' by 2047, but the R&D deficit poses a major obstacle.  

Research and Development (R&D) in India

Stagnant Gross Expenditure on R&D (GERD)

India's Gross Expenditure on R&D (GERD) has stalled at a low 0.64% of GDP for over a decade, significantly trailing major economies like China (2.6%), the US (3.4%), South Korea (5%), and Israel (6.3%).  

Domination of Government Sector in Funding

A key weakness is the private sector's low contribution. India's funding landscape is inverted compared to developed nations.

• Government Sector: Accounts for approximately 56% of the total R&D expenditure (Central Govt: 45.4%, State Govts: 6.7%, PSUs: 3.6%) (Source: PIB).
• Private Industrial Sector: Contributes only about 36%.
• In contrast, in innovation-driven economies, the private sector contributes over 70% of the total R&D spending.

Modest Performance in Intellectual Property

• Growth in Filings: According to the World Intellectual Property Indicators (WIPI) 2025 report, India is ranked 6th globally in patent applications.
• Record Grants: For 2024, India recorded 105,157 total patent applications. This includes:
• Resident Filings: 63,217 applications, representing approximately 60.1% of the total.
• Non-Resident Filings: 41,940 applications.
• This marks India's sixth consecutive year of double-digit growth in patent applications (+19.1%).

Core Reasons for the R&D Gap

Private Sector Disengagement

• Risk Aversion: Indian firms largely focus on incremental innovations or service-oriented models rather than capital-intensive, deep-tech research.
• Technology Imports: Licensing or importing existing technology is preferred over domestic development for quicker short-term returns.
• Investment Scale: A single global multinational, such as Huawei, often spends more on annual R&D than India's entire national R&D budget, which highlights the massive corporate investment gap.

Government & Bureaucratic Bottlenecks

While the government provides the bulk of funding, the utilization of these funds is often inefficient.

• Funding Delays: Unpredictable fund releases and complex approvals disrupt researchers' long-term projects.
• Operational Rigidity: Public research institutions often lack the autonomy for agile decision-making, as rigid procurement rules slow the acquisition of critical equipment.

The Academia-Industry Disconnect

A "Valley of Death" exists between laboratory research and market application.

• Theoretical Focus: Indian universities largely function as teaching institutions; research output is often theoretical and disconnected from industry needs.
• Weak Commercialization: Mechanisms to transfer technology from university labs to the marketplace are underdeveloped, meaning patents often remain uncommercialized. 

Human Capital Challenges

• Brain Drain: Despite having a vast talent pool, top-tier researchers often migrate to the US or Europe for better infrastructure, funding continuity, and professional opportunities.
• Low Researcher Density: India has a low number of researchers per million inhabitants (260) compared to nations like South Korea (8,000+), limiting the "innovation intensity" required for breakthroughs. 

Government Initiatives to Boost R&D

Funding & Institutional Reforms

Research, Development, and Innovation (RDI) Scheme: Launched with outlay of ₹1 lakh crore over six years. It provides long-term, low-interest or interest-free loans and equity for high-risk, private-sector projects, especially in deep-tech and "sunrise" sectors.

Anusandhan National Research Foundation (ANRF): Acts as the apex body for strategic R&D direction. 

• With a total budget of ₹50,000 crore (2023–2028), it aims to mobilize ₹36,000 crore from non-governmental sources to promote academia-industry collaboration. 

Strategic National Missions

India Semiconductor Mission (ISM): Backed by a ₹76,000 crore incentive plan, supporting fabrication and design.

IndiaAI Mission: Allocated ₹10,372 crore to build sovereign AI compute capacity (procuring 18,693 GPUs) and research hubs.

National Quantum Mission: A ₹6,003 crore initiative to position India among global leaders in quantum computing.

BioE3 Policy: Approved in 2024 and expanding in 2025, it focuses on high-performance biomanufacturing and biofoundries. 

Startup and Tax Incentives

Income Tax Holidays: Under Section 80-IAC, eligible startups incorporated until March 31, 2026 (extended in 2025) enjoy a 100% tax exemption on profits for three out of their first ten years.

Angel Tax Exemption: Recognized startups remain exempt from the "Angel Tax", facilitating easier domestic and foreign capital flow.

Patent Support: Startups receive an 80% rebate on patent filing fees and access to fast-track examination to protect IP rapidly. 

Sector-Specific R&D Push

Defence R&D: The government now reserves 25% of the defence R&D budget for private industry, startups, and academia.

Deep-Tech Policy: The National Deep Tech Startup Policy (NDTSP) provides dedicated risk capital and simplified regulatory pathways for hardware-intensive research.

Space Sector: The 2025 budget includes a ₹1,000 crore venture capital fund specifically for the space economy, encouraging private-led R&D in satellite and launch technology. 

Way Forward

Scale Up R&D Investment: Create a time-bound roadmap to increase India's GERD to at least 2% of GDP within the next five to seven years.

Catalyze Private Sector Participation: Introduce powerful incentives like enhanced tax credits, co-funding mechanisms, and simplified regulations to encourage the private sector to contribute at least 50% of the total R&D expenditure.

Bridge the Lab-to-Market Gap: Implement structured frameworks for university-industry collaboration, such as joint research parks, industry-sponsored PhD programs, and efficient technology transfer offices.

University Transformation: Transitioning higher education institutions from "teaching-only" to "research-centric" models, where faculty performance metrics give equal weight to patents and technology transfers alongside publications.

Deep-Tech & AI: Leveraging the IndiaAI Mission and National Quantum Mission to build sovereign compute capacity and secure intellectual property in generative AI and quantum materials.

Promote a Robust IP Culture: Simplify the patent filing process, ensure strong enforcement of IPR, and provide financial incentives for the commercialization of patents to encourage a culture of innovation.

Global Mobility: Expanding schemes like the VAIBHAV Fellowship to facilitate a "brain gain," bringing Indian diaspora scientists back to lead high-impact domestic projects.

Conclusion

To realize India's 2047 global innovation potential, strategic public investment, robust private sector involvement, and strong political will are needed to overcome the research deficit and address R&D weaknesses.

Source: THE HINDU