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6 August 2026

DST report on private-sector R&D investment

This is a significant, data-backed report from the Department of Science and Technology that provides critical insights into India's R&D landscape, which is a direct and recurring theme in GS3 syllabus regarding technology and economic development.

1 min read Day 3 of 3 2 questions 2 prelims

Notes

  • DST Research and Development Statistics 2025-26 indicates a structural shift in India's innovation landscape.
  • India's R&D expenditure reached 0.83% of GDP in 2021-22, crossing the 0.8% threshold for the first time since 2009-10.
  • R&D expenditure is projected to approach 0.9% of GDP by 2025-26.
  • Private industry contribution to national R&D spending rose from 45.5% in 2021-22 to 51.8% in 2023-24, surpassing government spending.
  • Top R&D investing sectors in 2023-24: Transportation (₹39,137 crore), Pharmaceuticals (₹25,847 crore), Biotechnology (₹10,321 crore), IT (₹9,587 crore), and Electrical/Electronics (₹6,779 crore).
  • Private industry now employs more full-time equivalent (FTE) R&D personnel than the public sector, reversing the trend observed in 2017-18.
  • Concentration of investment: 90% of private R&D spending is generated by approximately 500 companies out of 8,000 in the DST database.
  • Drivers of growth include post-COVID realization of R&D criticality and stricter RBI requirements for transparent R&D disclosure.

Part of a longer story

This is day 3 of 3 in Trends in India's Research and Development Expenditure, which has been running since 30 July 2026. Reading it whole is usually worth more than reading today alone — the exam asks how something developed.

Questions

  1. Analyze the structural shift in India's research and development landscape as highlighted by the recent DST report. What are the implications of the private sector emerging as the primary driver of R&D investment? 150 words
    Attempt this — 150 words in 8 min
    0 / 150 words 8:00
  2. The transition of the private sector to the lead role in India's R&D ecosystem marks a significant departure from historical trends. Discuss the factors contributing to this shift and evaluate the role of policy interventions in fostering an innovation-led economy. 250 words
    Attempt this — 250 words in 11 min
    0 / 250 words 11:00

Prelims

  1. According to the DST Research and Development Statistics 2025-26, which sector emerged as the largest corporate R&D investor in India for 2023-24?

  2. What was the approximate percentage of India's GDP spent on R&D in 2021-22?

Syllabus

Topics

Sources

250words.in · https://250words.in/daily/2026-08-06/dst-report-on-private-sector-r-d-investment