With a view to make India a global R&D hub, the department of information technology (DIT) has asked for an enhanced budget allocation for R&D in the 11th Five-Year Plan. It has demanded a 500% increase in the R&D budget for the next Plan (2007-12).

DIT said that even as over 347 technologies such as the supercomputer by C-DAC and Indian language technologies have been commercialised, the dynamic nature of the industry demands more R&D for advancement and further development of technologies. While stressing on the need to make India a knowledge economy, DIT said the expenditure on R&D , which stands at 0.8% of the GDP, needs to be increased to 1.6% by the end of the 11th Plan. China spends 1.31% of its GDP on R&D.

To derive more outcomes from R&D work, DIT has asked for central funding for deployment of selected R&D outputs. It has also said development-oriented projects be funded for field testing for better results. There may be further upgradation required after intensive field testing of a technology a government source said. With the aim to fasten the process of commercialisation of a technology,

DIT has also pushed for a policy that could define the IPR and royalty sharing mechanisms between technology developing institutions, inventors and the industry. This will reduce delays in taking decisions on transfer of technology and will encourage research to be more industry oriented.