Indian Economy News

Innovation, Startups, MSMEs and Quality Manufacturing are Pillars of India's Future Growth: Mr. Piyush Goyal at 22nd J.R.D. Tata Memorial Lecture

Union Minister of Commerce and Industry Mr. Piyush Goyal has reaffirmed that innovation, startups, micro, small and medium enterprises (MSMEs), skilled manpower and quality manufacturing will be the key drivers of India's journey towards becoming a developed nation by 2047. Delivering the 22nd J.R.D. Tata Memorial Lecture in New Delhi, the Minister highlighted the Government's focus on strengthening the innovation ecosystem through policy reforms, research and development, and deep technology adoption. He announced that the Rs. 1 lakh crore Research, Development and Innovation (RDI) Fund will provide long-term, low-cost risk capital to support emerging technologies and innovation. Under the IndiaAI Mission, nearly 38,000 graphics processing units (GPUs) have already been onboarded to provide affordable computing capacity for startups and researchers. The Government has also launched the second India Semiconductor Mission with an allocation of approximately Rs. 1.13-1.22 lakh crore (US$ 12-13 billion) to accelerate investments and strengthen India's semiconductor ecosystem.

The Minister emphasised that innovation and manufacturing must progress together to enhance productivity, competitiveness and global market access. He noted that India has concluded nine Free Trade Agreements (FTAs) covering 38 developed economies with a combined gross domestic product (GDP) of nearly Rs. 5640 lakh crore (US$ 60 trillion), creating significant opportunities for Indian businesses to expand internationally. Highlighting the country's economic resilience, he stated that India recorded 7.7% economic growth last year and 7.8% growth in the latest quarter, while merchandise exports have grown 15% during the current financial year despite global uncertainties. The Government also continues to reduce compliance burdens, simplify regulations and promote technology-driven governance to strengthen the business environment. Calling for greater domestic investment in deep-tech startups, the Minister urged industry to accelerate commercialisation of indigenous innovations, leverage India's expanding FTA network and reinforce the global competitiveness of Made in India products.

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