To lead globally, focus on research, says ESC chairman

India’s position overseas, in electronics, hardware, software development, and telecom sector can further strengthen with a greater focus on research and development (R&D) in information and communication technologies (ICTs), says Sandeep Narula, chairman, Electronics and Computer Software Export Promotion Council (ESC).

The R&D in this direction will help the domestic ICT sector in achieving competitive advantage in electronics and other sectors concerned, said Narula. This can encourage domestic manufacturers to scale up production. This will lead to higher production at a lower cost per unit and facilitate exports.

India spends around 0.65 percent of the gross domestic product on R&D. Given the fact that the country is a fast-growing economy, there’s a need to go stronger on this front. Expenditure gauged as a percentage of their individual GDP, South Korea spends 4.3 percent of its GDP, Japan 3.4 percent, Finland 3.2 percent, the USA 2.8 percent, the UK 2.8 percent, and China 2.19 percent. The global spending on R&D, by the corporation and the governments, stands at $1.7 trillion (as of 2019). Interestingly, 10 countries, most of which are economically smaller in size compared to India, account for 80 percent of R&D expenditure.

The recently tabled economic survey in Parliament gave focus to research and development. “It is indicative of the unprecedented focus laid by the government to move in the value chain in every economic segment particularly in the ICT segment,” Narula said.

Relatively, smaller companies stay away from investing in R&D. The reason for this behaviour is the high capital cost of equipment used in R&D which at times is unaffordable. Extending capital subsidy to the equipment and offering tax incentives are measures that can encourage R&D in the ICT segment.

A recent release by the ESC states that creating an enabling framework for R&D investments by the private sector – expeditious patenting, protection of intellectual property rights (IPR), certification, encouraging Indian enterprises to register their patents abroad, and other relevant measures – will encourage R&D activities that in turn can trigger innovations and product improvisations.


Please enter your comment!
Please enter your name here

Hot Topics

Xiaomi launches Redmi monitor with 27-inch IPS display and 75Hz refresh rate

Xiaomi has once again reminded people of its excellence in a wide catalogue of tech devices, launching a ton of exceptional products in recent...

OnePlus Nord 2 rumoured to launch in Q2; tipped to be the first one without Qualcomm chipset

The smartphone rumour mill was in full swing anticipating the launch of the OnePlus 9 series but the OnePlus Nord 2 has popped up...

Samsung Galaxy A52 5G support page accidentally goes live; reveals specifications and price details

Samsung Galaxy A52 5G could be launched any day, at least that’s what the support page of a Saudi Arabian online retailer says. An online...

Related Articles

Apple’s official online store to discontinue iMac Pro?

The Cupertino tech giant Apple has unexpectedly decided to cease the sale of its most top-notch desktops, the iMac Pro and the users will...

2021 will be “blockbuster” year for global PC market: Canalys

The global PC market is expected to continue growing in 2021 despite ongoing uncertainty around the supply and distribution of crucial components. Canalys forecast...

Reliance Jio working on reasonable laptop: The JioBook

Reliance Jio is developing a new product, tentatively named the ‘JioBook’. Likely to be launched this year, the JioBook is a laptop that will...