Delhi will push to promote research and development

Subject

The state of R&D in India.

Significance

Last month’s Economic Survey, which the finance ministry presents to parliament as a prelude to the budget, highlighted the poor state of research and development (R&D) in India. However, the country is becoming a preferred destination for R&D conducted by foreign companies and an estimated 1 million Indian-trained scientists and technologists work in laboratories abroad.

Impacts

• Delhi will continue to court foreign direct investment (FDI) in R&D.
• India may benefit from a reverse ‘brain drain’ if its skilled professionals struggle to secure US H-1B visas.
• The Modi government will face more accusations of interference in universities and come under pressure to desist.
• Reports suggest that the US administration is poised to restrict technology transfer to China; R&D in the whole of Asia would be affected.