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India's Research and Development (R&D) Landscape and Challenges

PYQs

8

Articles

1

Momentum

21

Phase IFoundation

Background

Overview

UPSC frequently assesses India's progress in science and technology, innovation capabilities, and the policy measures required to boost R&D for economic development, self-reliance, and global competitiveness.

Research and Development (R&D) encompasses activities undertaken to innovate and introduce new products, processes, or services. It is a critical driver for a nation's economic growth, global competitiveness, and technological self-reliance, directly influencing productivity, value addition, and long-term sustainable development.

Phase IIStatic core

Facts & tables

Key facts

Low Overall Spending

India's overall R&D spending as a percentage of GDP is significantly low compared to global competitors.

Limited Private Sector Contribution

Private industry's contribution to R&D is notably lower than global leaders, with much spending on routine development rather than fundamental research.

Government Initiatives

The government has launched a ₹1 lakh crore R&D scheme for sunrise sectors like AI, semiconductors, and biotechnology, though its focus is on frontier tech.

Data Measurement Issues

There is a critical need for better and faster measurement of R&D spending data to inform policy decisions effectively.

Reference table

R&D Spending Comparison (Illustrative)

CategoryIndia (approx.)Global Average (approx.)
Metals R&D (% of sales)0.4%1.6%
Auto R&D (% of sales)2%5%
Electrical Equip. R&D (% of sales)<2%5%

Reference table

Static syllabus anchors

TypeReference
Conceptual areaIndian Economy
Phase IIIExam lens

Prelims angle

Overview

Prelims angle: Multi-statement analysis

Prelims angle: Factual recall

Quick revision

  • Low R&D spending as % of GDP.
  • Low private sector contribution to R&D.
  • Focus on development, not fundamental research.
  • Govt. scheme for sunrise sectors (AI, semiconductors).
  • Need for improved R&D data collection.

High-confidence PYQs

2022Multi-statement analysis, Conceptual understanding

With reference to the Indian economy, what are the advantages of "Inflation-Indexed Bonds (IIBs)"? 1. Government can reduce the coupon rates on its borrowin...

EconomyOpen question

In India, which one of the following is responsible for maintaining price stability by controlling inflation?

EconomyOpen question
2022Institutional roles and functions, Factual recall

With reference to the Indian economy, what are the advantages of "Inflation-Indexed Bonds (IIBs)"? 1. Government can reduce the coupon rates on its borrowin...

EconomyOpen question

In India, which one of the following is responsible for maintaining price stability by controlling inflation?

EconomyOpen question
2020Multi-statement analysis, Conceptual understanding

Consider the following statements: 1. The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI). 2. The WPI doe...

EconomyOpen question
2019Factual recall, Multi-statement analysis

Consider the following statements: 1. CoaI sector was nationalized by the Government of India under Indira Gandhi. 2. Now, coal blocks are allocated on a lot...

EconomyOpen question
2018Cause and effect relationships, Conceptual understanding

In spite of being a high saving economy, capital formation may not result in a significant increase in output due to -

EconomyOpen question
2017Multi-statement analysis, Factual recall

Consider the following statements : 1. Tax revenue as a percent of GDP of India has steadily increased in the last decade. 2. Fiscal deficit as a percent of...

EconomyOpen question
2015Conceptual understanding, Cause and effect relationships

A decrease in tax to GDP ratio of a country indicates which of the following? 1. Slowing economic growth rates 2. Less equitable distribution of national in...

EconomyOpen question
2014Factual recall, Policy measures

The main objective of the 12th Five-Year Plan is

EconomyOpen question

Topic timeline

Indian Economy
Prelims 2014· Factual recall, Policy measures

The main objective of the 12th Five-Year Plan is

Open question
Prelims 2015· Conceptual understanding, Cause and effect relationships

A decrease in tax to GDP ratio of a country indicates which of the following? 1. Slowing economic growth rates 2. Less equitable distribution of national in...

Open question
Prelims 2017· Multi-statement analysis, Factual recall

Consider the following statements : 1. Tax revenue as a percent of GDP of India has steadily increased in the last decade. 2. Fiscal deficit as a percent of...

Open question
Prelims 2018· Cause and effect relationships, Conceptual understanding

In spite of being a high saving economy, capital formation may not result in a significant increase in output due to -

Open question
Prelims 2019· Factual recall, Multi-statement analysis

Consider the following statements: 1. CoaI sector was nationalized by the Government of India under Indira Gandhi. 2. Now, coal blocks are allocated on a lot...

Open question
Prelims 2020· Multi-statement analysis, Conceptual understanding

Consider the following statements: 1. The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI). 2. The WPI doe...

Open question
Prelims 2022· Multi-statement analysis, Conceptual understanding

With reference to the Indian economy, what are the advantages of "Inflation-Indexed Bonds (IIBs)"? 1. Government can reduce the coupon rates on its borrowin...

Open question

In India, which one of the following is responsible for maintaining price stability by controlling inflation?

Open question
Prelims 2022· Institutional roles and functions, Factual recall

With reference to the Indian economy, what are the advantages of "Inflation-Indexed Bonds (IIBs)"? 1. Government can reduce the coupon rates on its borrowin...

Open question

In India, which one of the following is responsible for maintaining price stability by controlling inflation?

Open question

U.S. tariffs are not what is holding back Indian research

08 Sep 2026 · India's R&D spending is low, especially from the private sector, and often focuses on routine development. This hinders innovation and value-chain upgrade, despite government initiatives for frontier tech. Better data and targeted incentives are needed.

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Related topics

Current topic

India's Research and Development (R&D) Landscape and Challenges

Often confused with

Impact of Trade Tariffs on Domestic Industry and Innovation

Open notes

Practice writing on this topic

UPSC has asked 8 linked questions on India's Research and Development (R&D) Landscape and Challenges in Mains. Write an answer to one — and get it evaluated.

See Mains PYQsEvaluate an answer

UPSC Prelims PYQs on India's Research and Development (R&D) Landscape and Challenges

Practice official previous year questions asked by UPSC related to this concept.

Consider the following statements : 1. Tax revenue as a percent of GDP of India has steadily increased in the last decade. 2. Fiscal deficit as a percent of...

2017·Economy
Solve

A decrease in tax to GDP ratio of a country indicates which of the following? 1. Slowing economic growth rates 2. Less equitable distribution of national in...

2015·Economy
Solve

Consider the following statements: 1. The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI). 2. The WPI doe...

2020·Economy
Solve

With reference to the Indian economy, what are the advantages of "Inflation-Indexed Bonds (IIBs)"? 1. Government can reduce the coupon rates on its borrowin...

2022·Economy
Solve

Consider the following statements: 1. CoaI sector was nationalized by the Government of India under Indira Gandhi. 2. Now, coal blocks are allocated on a lot...

2019·Economy
Solve

In spite of being a high saving economy, capital formation may not result in a significant increase in output due to -

2018·Economy
Solve

The main objective of the 12th Five-Year Plan is

2014·Economy
Solve

In India, which one of the following is responsible for maintaining price stability by controlling inflation?

2022·Economy
Solve

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