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India is lagging behind other countries in terms of innovation. In 2003, India registered just 354 patents, compared with 5,300 in Taiwan and 3,952 in South Korea. As a proportion of gross domestic product, India's spending on research and development is less than half that of the other countries.

In this article in The Financial Express, Probir Roy says that although India and the United States produce similar numbers of science and engineering graduates each year, those in India enter an environment that is not conducive to innovation. Roy believes that the Indian government needs to take the lead in developing new ideas. Although a few small private sector initiatives exist, they should to be implemented on a much larger scale to make a difference, he says.

Ultimately, says Roy, the country needs an innovation 'ecosystem' made up of public and private companies, universities, government agencies and non-governmental organisations, to adapt global knowledge to local conditions. He points to the success of the Malaysian government's efforts to promote innovation and entrepreneurship as of an example of how this can be achieved.

Link to full article in The Financial Express