The Hindu Business Line : Industry to get tax sops to invest in R&D

The Prime Minister, Mr A.B Vajpayee, handing over a copy of the book `Shaping of Indian science' to the ISRO Chairman, Dr K. Kasturirangan, at the 90th Indian Science Congress Summit in Bangalore on Friday.

BANGALORE, Jan. 3

THE Science & Technology Policy 2003, released by the Prime Minister at the Indian Science Congress 2003 on Friday, promises to double the S&T outlay to 2 per cent of the GDP and unshackle scientific establishments from bureaucracy.

According to the policy which stresses the human and economic faces of S&T, this investment will be raised through industry contribution as well as public resources towards the end of the Tenth Plan or 2007, the document much awaited by the research fraternity says. In return, industry will be allowed tax and non-tax incentives to invest in R&D.

A task force, to be set up under a proposed apex S&T Advisory Body, will suggest the fiscal measures that can be applied to involve the industry in R&D promotion. The Advisory Board itself will have industry representatives and guide policies and programmes of the Government.

The private sector will be encouraged to adopt and fund institutions and their courses and to get marketable technologies from them in return.

To promote industry-research linkages, autonomous Technology Transfer Organisations will be created within national labs and universities.

The goal of this will be to improve the global market share of Indian hi-tech products through new industry-friendly policies, quality and IPR support. Coming long after the 1983 Technology Policy, S&T Policy 2003 aims to put new life and dynamism into research institutions and improve the country's scientific talent pool. It is meant to be a road map that integrates science and technology with societal concerns, according to the HRD and S&T Minister, Dr Murli Manohar Joshi, who spoke at the inauguration of the Indian Science Congress 2003.

All science-based Ministries and departments will be run by scientists or technologists in order to rid them of bureaucratic spokes. It talks of new support, funding mechanisms and modern infrastructure that will be put in place; certain percentage of outlays of each socio-economic Ministry will be allocated for S&T activities. States will come up with linkages and mechanisms to solve their regional problems.

Science, medical and engineering institutions will get new and easy funding modes to promote research. To improve the talent pool in these three areas, select colleges, departments and universities will get special support for at least 10 years and also enjoy flexible mechanisms to hire faculty. Labs in schools and colleges will get suitable support.

For some years now, scientists such as Dr C.N.R. Rao have been voicing concern over the private sector, especially IT, luring young talent away from scientific careers. The policy aims to reverse the flow through incentives and innovative schemes and an assured career in industry and academia. Similarly, scientists of Indian origin will be offered incentives to return to India.

Researchers in Government bodies will be allowed to move within industry, institutions and labs to improve skills and opportunities.

The policy targets 15 coherent objectives which sustainable solutions for food, nutrition, agriculture, environment, water, health, energy security.

Send this article to Friends by E-Mail
Comment on this article to BLFeedback@thehindu.co.in

Stories in this Section
Industry to get tax sops to invest in R&D

Brokers told to pay 50% of turnover fee by March 31

Revenue share norm to revive paging

No pre-Budget meetings, only written views

GoM to examine airport leasing — Cabinet puts off decision

T+2 settlement from April — Will reduce risk, protect investors: SEBI