Funding under the Research Development and Innovation framework for industry backed projects will commence by the end of January, marking the transition of the scheme from planning to execution. The move is expected to accelerate private sector led research and innovation across strategic and emerging technology domains.
The update was shared during a review meeting of the Research Development and Innovation scheme chaired by the Union Minister of State for Science and Technology and Earth Sciences. The meeting assessed the preparedness of implementing agencies and the progress made since the scheme’s formal rollout.
The Research Development and Innovation scheme, approved by the Union Cabinet in July last year and operationalised in November, is a one lakh crore rupee initiative designed to support high risk and high impact research. The framework aims to strengthen linkages between public research institutions, startups and industry, enabling scientific research to translate into commercially viable and socially relevant outcomes.
The Department of Science and Technology has approved the Technology Development Board and the Biotechnology Industry Research Assistance Council as the first Second Level Fund Managers under the scheme. Under the approved structure, the Technology Development Board will support projects across all identified sunrise and strategic sectors, while the Biotechnology Industry Research Assistance Council will focus on biotechnology and allied areas.
Both fund managers are expected to issue their first calls for project proposals before the end of January 2026. The funding will target innovation driven ventures and industry backed projects that have progressed beyond early proof of concept stages, enabling faster deployment of research outcomes.
In the first quarter, both institutions will receive an initial allocation of two thousand crore rupees each, taking the initial deployment under the scheme to four thousand crore rupees. Applications are also being invited for additional Second Level Fund Managers, including alternate investment funds, development finance institutions, non banking finance companies and focused research organisations, with the deadline set for January 31.
Officials informed that following the launch of the scheme, extensive stakeholder consultations were undertaken to clarify implementation guidelines. Based on the feedback received, processes were streamlined and a dedicated digital portal was operationalised to facilitate transparent and efficient participation.
During the review, emphasis was laid on timely execution, close coordination among science departments and outcome oriented deployment of public funds. The scheme’s core objective of enhancing private sector participation in research and development was reiterated, with a focus on translational research and stronger industry linkages.
The review meeting was attended by secretaries and senior officials from various science ministries and departments. Discussions also covered broader reforms in innovation funding and the promotion of thematic clustering of startups to maximise impact and alignment with national development priorities.
