India needs a dedicated strategy for commercialization of nanotechnology and that need for focused approach is necessary because the country is far behind in the development of viable products with nano research.

There are a number of research departments in the leading science and academic institutions apart from the industry which have researched in nano science and nanotechnology but are not yet close to any new product as in the US and Japan, he added.

This is despite the fact that the nanotechnology is emerging as an exciting science with scores of challenges raising concerns. The biggest issue is the adverse reactions on health if nanotechnology is used in diagnostics and therapies, stated Dr. G Sundararajan.

Although International Advanced Research Centre for Powder Metallurgy and New Materials (ARCI), has also done anti bacterial nano structures for bio diagnostics and there is ample use of nanotechnology in medicine and nano biotechnology but there is no concrete evidence in terms of patient safety. "We need to have a set of stringent regulations in place before nanotechnology is used in these areas", he said.

Other challenges in the sector are crunch in human resources and lack of technocrats. There is a hardly any research in private industry in India. As per the available statistics research in Indian private industry accounts only around 25 per cent as compared to 75 per cent in the US. In fact much of the studies and analysis are carried out at academic research labs in India, he noted.

Therefore, there is a serious need to look at commercialisation of value added products from the research conducted at the academic labs. There are pilot scale facilities at ARCI for companies to scale up the research in the early phases.

In the automotives and electronics, ARCI has teamed up with small companies in Germany and Russia to upscale its research which has proved beneficial. However, innovations in nanotechnology research with a value addition for commercialisation can help companies survive in the segment. With scheme like SBRI (Small Business Research Initiative) grants entrepreneurs should capitalize on the nanotechnology product commercialisation, he said.

In his address on the 'Nanotechnology Commercialisation and the opportunity for India,' Dr. Faruq Marikar, managing director, Nanobiz, USA stated that large corporations have been active in the US and Europe in the area of nanotechnology forays. Venture funds amounting to $200-600 million have been disbursed to start-ups in nanotechnology in 2006. That is why the West are way ahead in the field. There is no doubt that Indian scientists can invent new products going by their efforts in the US, but now they must do it in India and for India. Of course it will take sometime before Indian labs can actually come out with a viable nanotech product, he added.