NITI Aayog Report on Public R&D Institutes in India

India’s journey towards becoming a knowledge-driven global power by 2047 depends heavily on how effectively it builds, distributes, and integrates its Research and Development (R&D) ecosystem. Public R&D institutes form the backbone of this ecosystem, supporting innovation, scientific discovery, technological self-reliance, and inclusive economic growth.

A recent national-level assessment of public R&D institutes highlights both the strengths and structural weaknesses of India’s research landscape and lays out a strategic vision for creating a multisectoral, regionally balanced, and impact-oriented innovation system.

Importance of Public R&D in India’s Development Trajectory

Public R&D plays a critical role in:

• Enhancing productivity and economic competitiveness

• Creating indigenous technologies and reducing import dependence

• Supporting national priorities such as health, energy security, climate action, and food security

• Generating high-quality employment and skilled human capital

Unlike many advanced economies where private industry drives R&D, India’s research ecosystem is still largely government-led, making public R&D institutes central to the country’s innovation outcomes.

Overview of Public R&D Institutes in India

India hosts over 1,800 public R&D institutes, spread across central and state governments. These include:

• Central government research laboratories

• Research wings of public sector undertakings

• State-level research stations and institutions

• Sector-specific and mission-oriented research centres

While this network reflects India’s long-term commitment to science and research, its distribution and integration remain uneven.

Geographical Distribution: A Persistent Regional Imbalance

One of the most striking findings is the regional concentration of R&D institutes.

Key Trends:

• Southern and western India together account for more than half of all public R&D institutions.

• Northern India hosts a significant number of central institutes, particularly in the national capital region.

• Eastern and central regions have moderate representation.

• The north-eastern region remains severely under-represented.

This uneven spread limits:

• Region-specific innovation

• Local problem-solving capacity

• Balanced economic and technological development

A heavy concentration of R&D institutions in metropolitan and administrative centres has resulted in innovation islands, disconnected from local economies and grassroots challenges.

City-Centric Concentration and Its Consequences

A large share of central R&D institutes is located in a small number of major cities. This urban clustering has several drawbacks:

• Weak linkage with rural and semi-urban innovation needs

• Limited engagement with region-specific industries and natural resources

• Increased regional disparities in research capacity and talent retention

For a country as diverse as India, place-based innovation is essential, especially in sectors such as agriculture, water management, climate resilience, and regional manufacturing.

Sectoral Distribution: Over-Dependence on Agriculture

Dominant Sector:

Agriculture and allied sectors account for more than half of all public R&D institutes, particularly at the state level. This reflects:

• India’s agrarian structure

• Historical emphasis on food security

• Strong institutional networks supporting agricultural research

Structural Gaps:

While agriculture dominates, several critical sectors remain under-represented:

• Education and skill development

• Frontier science and emerging technologies

• Advanced manufacturing

• Environmental and earth system sciences at the state level

This imbalance risks slowing India’s transition to a high-technology, innovation-led economy.

Disconnect Between R&D Institutes and Industrial Clusters

A major structural weakness is the misalignment between research institutions and industrial hubs.

Examples of Mismatch:

• Technology research institutes located far from major IT and electronics clusters

• Sector-specific apex research bodies situated in administrative centres rather than production zones

• Limited R&D presence in regions that host major pharmaceutical, textile, or manufacturing hubs

This disconnect reduces:

• Knowledge spillovers

• Industry-oriented innovation

• Commercialisation of research outcomes

Globally, innovation thrives where research, industry, and academia co-exist geographically. India’s current spatial configuration limits such synergies.

Weak Industry–Academia–R&D Integration

India’s innovation ecosystem suffers from institutional silos:

• Universities focus largely on teaching

• R&D institutes focus on research with limited student engagement

• Industry collaboration remains selective and project-based

As a result:

• Research rarely informs curriculum design

• Students lack exposure to cutting-edge applied research

• Technology transfer and patent commercialisation remain weak

A more integrated model is needed, where research, teaching, and industrial application reinforce each other.

Rethinking Agricultural R&D for the Future

While agricultural R&D is India’s strongest research network, it must evolve to meet new challenges:

• Climate change and water stress

• Market-linked and value-added farming

• Declining soil health and biodiversity loss

• Farmer income stagnation

Future agricultural research must focus on:

• Region-specific solutions

• Agritech and digital farming

• Food processing and supply-chain innovation

• Organic and natural farming practices

Agricultural universities and research stations should function as innovation hubs, not just extension centres.

Strategic Focus on Frontier Technologies

To remain globally competitive, India must invest in sunrise sectors with long-term impact:

Priority Areas:

• Medical and life sciences, including genomics and precision medicine

• Renewable energy, energy storage, and green hydrogen

• Advanced manufacturing, robotics, and automation

• Semiconductors, materials science, and nanotechnology

• Artificial intelligence and data-driven technologies

Public R&D institutions in these areas can act as national technology anchors, supporting both industry and policy goals.

From Spending-Centric to Impact-Centric R&D

Traditionally, R&D success in India has been measured by:

• Budget allocations

• Number of institutes

• Infrastructure creation

However, future evaluation must focus on:

• Research outcomes and societal impact

• Technology adoption and scalability

• Contribution to national challenges

• Economic and employment effects

An impact-oriented R&D culture is essential for public trust and sustained investment.

Creating Sustainable Careers in Research

A major challenge facing India’s R&D ecosystem is the lack of:

• Clear career mobility between universities and research institutions

• Attractive post-doctoral opportunities

• Long-term research pathways for young scholars

To address this, the system must:

• Enable researchers to move between teaching and research roles

• Expand post-doctoral and applied research positions

• Integrate researchers into national missions and industrial projects

Making R&D a respected and viable career choice is crucial for retaining talent.

The Road Ahead: Building an Integrated Innovation Nation

India’s future growth will depend not only on how much it invests in R&D, but how strategically and inclusively it does so. The next phase of development requires:

• Balanced regional distribution of research institutions

• Stronger links between research, industry, and education

• Focus on frontier technologies and societal challenges

• Measurement of real-world impact rather than inputs alone

A well-integrated public R&D ecosystem can transform India into a global hub of innovation, technology, and knowledge creation—supporting economic resilience, social progress, and strategic autonomy in the decades ahead.

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