"US spends 2.75 per cent of its GDP on R & D expenditure annually, that is it about $300 billion. However, we spend only 0.7 per cent of our GDP, about $5 billion, on R & D activities.
R & D is a crucial component to achieve competitiveness," additional secretary, ministry of petroleum & natural gas, M S Sriniavsan said in Chennai while addressing the inauguration of 39th LERIG 2005.
"In India, more than half of the R & D expenditure is incurred by the government. Private sector also spends on research activities. But lion's share is taken by information technology and pharma sectors," he added.
While lauding the efforts of Central Leather Research Institute, he said, the role of CLRI could never be underestimated and it was this research institute that rose to the occasion and came into the rescue of leather units, which were facing closure of operations due to environmental issues.
"R & D is giving you the competitive technology, which will be a major driving force," he said adding, "Industry and institute co-operation would augur well for the future of the leather industry."
This co-operation is vital component to increase the competitiveness and enhance the market share in the global market, Srinivasan said.