Despite having so many celebrated technologists around the world, India is still a minor player in the world of technology. As a result, India’s talent has left the country. For example, there were 2.7 million Indian immigrants in the United States as of 2019.

Reasons

• Inability to capitalise on opportunities: According to popular belief, India’s failures are linked to its inability to capitalise on market-driven growth opportunities.
• Brain Drain – Indeed, as of 2019, there were 2.7 million Indian immigrants in the United States.They are one of the country’s most educated and professionally accomplished communities.
• Low education: However, there have been other hurdles to advancement, notably India’s poor school education performance.
• Missed chance to improve technology capabilities: When India opened up to markets and globalisation in 1991, it should have upped its efforts to strengthen its technological capabilities.
• Low R&D investment: Instead, R&D spending in India decreased from 0.85 percent of GDP in 1990-91 to 0.65 percent in 2018.
• In contrast, this proportion climbed over time in China and South Korea, reaching 2.1 percent and 4.5 percent, respectively, by 2018.

What can India learn from other countries

• In the United States, the government’s invisible hand has been behind the success of business and the free market: Mariana Mazzucato’s study, for example, reveals that the state has been critical to the introduction of new generations of technology, such as computers, the Internet, and the nanotech industry. For example, public sector investment helped create the algorithm that led to Google’s success and helped identify the molecular antibodies that laid the groundwork for biotechnology.

• The instance of China: The government has had a significant influence in influencing China’s economic progress. For example, prior to a decade ago, China was recognised for its low-wage manufacturing. However, as a result of ongoing government initiatives, it has made successful forays into “new strategic industries” such as alternative fuel vehicles and renewable energy.

• Instead of privatising, the Chinese government reformed its state-owned companies (SOEs). SOEs were reinforced in vital areas such as petrochemicals and telecommunications, as well as in technologically active industries such as electronics and machinery. On the other hand, the government has backed away from light manufacturing and export-oriented industries, leaving the field open for the private sector.
• Localization: In discussions with multinational corporations, China has exploited its vast market size as a negotiating tool. Foreign enterprises were only permitted to remain in their markets if they were willing to localise manufacturing and exchange technologies with local firms. Aggressive attempts to strengthen technological capabilities: through research institutes and SOEs.

Way forward

• Increase education investment: To enhance the quality of and access to higher education, India’s public education budget must be greatly raised.
• According to the OECD, a large number of tertiary students in India are enrolled in private institutions: 60 percent of those enrolled for a bachelor’s degree in 2017, compared to the G20 average of 33 percent.
• Improve technological capabilities: The ‘Make in India’ effort must go beyond merely making it simpler for the private sector to do business.
• The Indian industry’s technological capabilities must be expanded and deepened.
• India, which will soon have twice as many Internet users as the United States, is a significant market for innovative technology of all types.
• While this is a fantastic opportunity, the domestic industry has yet to realise the rewards.
• This will only happen if the country’s universities and public institutions are reinforced and encouraged to explore areas of technological growth where the private sector may lack both resources and patience.
• Strengthen the public sector: Public sector entities (PSUs) should be recognised for their potential long-term contributions to economic growth, the technologies they may develop, and the strategic and intellectual assets they can produce.
• A stronger public sector will open up more chances for private companies and broaden the entrepreneurial base. Small and medium-sized businesses will thrive when there are systems in place to disseminate publicly generated technology, as well as increased access to bank loans and other types of support.

How to structure:

1. Give an intro about India’s position as a world technology expert
2. Mention the obstacles faced
3. Mention the needs of becoming a tech leader in today’s world order
4. Suggest measures and link this with schemes
5. Conclude

Reference:

1. https://www.thehindu.com/opinion/op-ed/can-india-become-a-technology-leader/article37991978.ece ‘