How innovation is shaping India’s key sectors

Agriculture

The country is undergoing a transformative shift in agriculture and food processing, driven by technology, particularly agritech in India. The adoption of precision farming tools and advanced processing lines is enhancing productivity, minimizing waste and improving quality across the agricultural value chain. Digital innovations, automation and bio-innovations are enabling agritech companies to build climate resilience through sustainable technologies.

To strengthen agricultural resilience, a multifaceted approach is essential—consolidating land through cooperative models, scaling micro-irrigation and expanding cold chains. Initiatives such as cluster-based food parks and Production-Linked Incentive (PLI) schemes can elevate India’s role in the global agri-value chains.

Encouraging smallholder farmers to adopt precision agriculture and IoT devices, coupled with necessary training, can improve yields and reduce costs.  At the same time, investing in climate-resilient seeds and fostering collaborations among government, academia and agritech startups will accelerate innovation in areas such as AI in agriculture. By expanding access to digital platforms and promoting sustainable practices, India can ensure better livelihoods for farmers while securing long-term growth.

Just as technology is reshaping agriculture, a similar innovation-led transition is underway in India’s energy sector

Energy 

India’s energy sector is moving decisively from traditional fuels to clean and sustainable sources. This transition is propelled by ambitious renewable energy targets and the fast-growing electric mobility sector. The National Electricity Plan anticipates a rise in peak electricity demand, requiring a comprehensive strategy that expands renewable energy, develops green hydrogen and promotes electric vehicle adoption.

Despite strong momentum, challenges remain, including the need for modernized grid infrastructure, higher investment flows, and improved storage solutions. Sustainable innovations are helping address these issues: hybrid renewable energy systems that integrate solar, wind, and storage are advancing round-the-clock power delivery, while breakthroughs in battery management systems are optimizing energy use across distributed resources. Regional investment clusters and innovation hubs have also created fertile ground for renewable energy and mobility startups.

Strengthening infrastructure and scaling support for regional innovation clusters may be key to sustaining progress. Encouraging Battery-as-a-Service models across various vehicle segments can reduce costs and enhance accessibility to electric mobility in India. By accelerating renewable capacity and expanding green hydrogen production, India can not only achieve its net-zero targets by 2070 but also establish itself as a global leader in the clean energy transition.

Healthcare

The Indian healthcare sector is working to build a healthier future for its vast population by focusing on affordability, accessibility, equity, and social inclusion. While a strong foundation has been laid through milestones such as primary mediclaim policies and the liberalization of healthcare services, persistent challenges remain—inequitable distribution, high out-of-pocket expenses, and infrastructure gaps, particularly in rural areas.

Innovation is acting as a catalyst to bridge these gaps. Government programs are promoting digital health solutions, telehealth, and AI-enabled technologies. The Ayushman Bharat Digital Mission aims to create a nationwide digital health ecosystem, enhancing access to medical services. The PM-JAY program is extending health insurance to millions, while the National Health Mission continues to focus on vulnerable populations.

Emerging technologies such as AI, cloud platforms, and digital twins are transforming patient care and operational efficiency. Startups are at the forefront, addressing needs through e-pharmacies, telemedicine, and AI diagnostics. To sustain momentum, India must reinforce government support, encourage rapid technological adoption, and ensure that innovation translates into inclusive solutions for all citizens.

The article is written by Sivakumar Moorty Partner, Technology Consulting, EY India.