TN pushes for ‘product nation’

Tamil Nadu’s Industries Minister T.R.B. Rajaa has called for India to transition from a service-based IT economy to a “product nation.” He also urged for greater investment in research and development (R&D) and advocated stronger safety nets for researchers.

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Addressing the GCC Next Summit 2025 in Chennai, Rajaa said the state would deepen its role in the Global Capability Centre (GCC) sector, expand AI capabilities and continue inclusive economic policies. “We have been the manufacturing capital for years. Now, it’s time to create products for the world,” he said.

Tamil Nadu is the only state with a dedicated GCC policy, formulated in 2021. New hubs are being developed beyond Chennai in Coimbatore, Madurai, Hosur, Trichy and Kanyakumari.

On AI (artificial intelligence), Rajaa said that the government had registered Chenn.ai and was positioning the city as an R&D hub for India and South Asia. AI education has been introduced in government schools from Class 6 to 9 through partnerships with Google and Microsoft, covering two million students.

He said that over 40 per cent of women in the country’s organised workforce was from the state. The Kalaignar Magalir Urimai Thogai scheme provided Rs 1,000 monthly to eligible women as a right, he added.

Guidance Tamil Nadu has launched a “GCC One Desk” for single-window clearances, with offices in Chennai and overseas locations including Silicon Valley, Germany, Japan and Vietnam.

Rajaa said that Tamil Nadu would balance manufacturing and services while building leadership in R&D. “Research takes years. We must give our innovators the security to create,” he said.

 

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