Industrial In-house R&D in Gujarat: A Note 

Gujarat is a leading industrial state in the country. The state has as many as 1,148 registered public companies with a turnover of Rs 168171.46 crores in 2005-06. Gujarat is very strong in refineries, petrochemicals and textiles. 

Top Ten Industrial Sectors in Gujarat on Total Turnover 

Industry
Total Turnover
(Rs in crores)
R&D exp. (Rs in crores)

Refineries

29939.01

41.11

Trading

18820.36

0.09

Steel

10198.77

0.22

Textiles

10113.98

10.94

Petrochemicals

9735.38

30.95

Pharmaceuticals

6320.63

368.29

Fertilizers

4510.42

15.84

Solvent Extraction

4242.68

0.1

Food and Dairy Products

3551.12

0.09

Cement

3106.85

1.17

 Top Ten Industrial Sectors in Gujarat on R&D Spend 

Industry
Total Turnover
(Rs in crores)
R&D expendi
ture 
(Rs in crores)
R&D Inten
sity

Pharmaceuticals

6320.63

368.29

5.83

Refineries

29939.01

41.11

0.14

Petrochemicals

9735.38

30.95

0.32

Fertilizers

4510.42

15.84

0.35

Chemicals

3047.39

11.37

0.37

Textiles

10113.98

10.94

0.11

Printing & Stationery

1700.22

6.65

0.39

Paper

1266.34

5.7

0.45

Electronics

248.79

4.22

1.70

Dyes And Pigments

1398.74

4.14

0.30

 Analysis of the sector-wise industrial in-house R&D in Gujarat indicates that the pharmaceutical sector stands first in R&D expenditure. Pharmaceutical sector contributes only 3.76% to the total industrial turnover of the state. With the total turnover from Pharmaceuticals being Rs. 6320.63 crores, Rs 368.29 crores of it is spend on R&D. which works out to an R&D intensity of 5.83%. 

Refineries being the biggest industry of the state, it contributes the majority share of about 17.80% to the total industrial turnover of the state. With a total turnover of Rs. 29939.01 crores, it spends Rs. 41.11 crores on R&D. The R&D intensity of Refineries industry is 0.14%. 

Petrochemicals are the third largest spender in R&D in Gujarat. The total turnover of the industry amounts to Rs.9735.38 crores contributing nearly 5.79% to the total industrial turnover of state. Rs.30.95 crores is spent on R&D, which makes up an R&D intensity of a meager 0.32%. 

Fertilizers, Chemicals and Textiles are other sectors, which with sizeable R&D spend in the state. Printing & Stationary, Paper, Electronics and Dyes & pigments are other sectors that have a minor contribution to the R&D in the state. 

Industrial in-house R&D scenario in Gujarat needs to be much desired in the state, despite being one of the foremost-industrialized states in the country. R&D spend is dismally low in fertilizers, dairy industry, services and textiles, the sectors which are contributing substantially to the state.

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