Question : INVESTMENT IN SCIENCE AND TECHNOLOGY



(a) the details of G.D.P. being spent on strengthening the Science and Technology infrastructure in the country;

(b) whether the present level of investment of G.D.P. in the Science and Technology is inadequate to meet the requirements of this sector; and

(c) if so, the steps taken by the Government in this regard?

Answer given by the minister

MINISTER OF SCIENCE AND TECHNOLOGY (DR. MURLI MANOHAR JOSHI)

(a) The Plan allocations for Science and Technology (S&T) sector has been steadily increasing for different Five Year Plan periods. The Plan allocations made for S&T sector for Ninth Plan has risen to Rs.25.529 crores as compared to Rs.8,264 crores for Seventh Plan to strengthen S&T infrastructure in the country.

Comparative statistics of Research and Development (R&D) expenditure in different countries is maintained as a percentage of Gross National Product (GNP). As per the latest official statistics, the R&D expenditure as a percentage of GNP for India is 0.66% during 1996-97. In absolute terms India’s R&D expenditure has increased over the years from Rs.3974 crores in 1990-91 to Rs.8340 crores in 1996-97. This official statistics does not include the expenditure incurred by the entities including business houses and companies which have not applied for recognition by the Ministry of Science and Technology.

(b) Yes, Sir. It is considered as inadequate.

(c) The Government has been strengthening S&T infrastructure through various support measures and fiscal incentives. The Prime Minister during his inaugural address at the 87th Science Congress in January 2000 has made a statement that investments in R&D would be increased to 2% of GDP over the next five years. The Finance Minister in this regard has announced in the budget 2000-2001 to New Initiatives for S&T- New Millennium Technology Leadership Scheme and Technology Vision Projects.