Why in news
- The Department of Science and Technology expanded the eligible technology areas under the Research, Development and Innovation (RDI) Scheme to cover Advanced Chemicals, Petrochemicals, and Material Technologies.
Key terms
RDI Scheme
Central financial pool providing long-term concessional capital for private industrial research and innovation.
Refinancing Facility
Provision of central funding to financial institutions to lower interest rates for long-term project loans.
Advanced Materials
Engineered substances offering superior functional performance compared to traditional industrial inputs.
Indigenous Technology
Technological solutions developed natively within a country to substitute imported alternatives.
What is the RDI Scheme?
- Central initiative launched in November 2025 with a corpus of Rs 1 lakh crore administered by the Department of Science and Technology.
- Provides long-term financing and refinancing on concessional terms to private sector entities undertaking transformative research and technology adoption.
Key changes in eligibility
- Department of Science and Technology formally added Advanced Chemicals, Petrochemicals, and Material Technologies following a proposal by the Department of Chemicals and Petrochemicals.
- Enables domestic chemical manufacturers and private developers to access low-cost capital for commercializing indigenous material technologies.
Why it matters
- Reduces import reliance on critical chemical inputs and advanced industrial materials.
- Promotes private sector R&D expenditure, addressing India's low commercial research intensity.
Prelims facts
- RDI Scheme corpus is Rs 1 lakh crore managed by Department of Science and Technology.
- Covers concessional long-term funding for private sector R&D across critical tech sectors.
Mains discussion
- Role of cheap catalytic capital in boosting private sector Gross Expenditure on R&D (GERD).
- Strategies for establishing domestic supply chain security in critical chemicals and materials.
Source: PIB
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