In an exclusive interview with Bhaswati Guha Majumder of CXO Media and APAC Media, Swapneel Nagarkar, Business Head and Executive Vice President of Godrej Interio, shared insights on how the recently approved Rs 1 lakh crore Research, Development and Innovation (RDI) Scheme can revolutionise India’s manufacturing sector, offering a rare opportunity for indigenous brands to scale globally, invest in smart manufacturing and deliver sustainable, tech-integrated products that reflect Indian design sensibilities while meeting international standards.
How do you see the Rs 1 lakh crore RDI Scheme transforming the innovation landscape for manufacturing sectors in India?
The Rs 1 lakh crore Research Development and Innovation (RDI) Scheme is a timely enabler for the manufacturing sector to drive innovation at scale. The RDI Scheme is a strategic initiative to boost private sector-led innovation by offering long-term, low or zero-interest financing. It addresses funding challenges in sunrise and strategic sectors, aiming to catalyse R&D, accelerate technology adoption and strengthen global competitiveness.
With access to long-term, low-cost capital, manufacturers in furniture and design can now invest confidently in AI-led design, sustainable materials and tech-integrated products that offer better value and adaptability for modern Indian homes. The scheme addresses funding constraints in scaling prototypes, accelerating market readiness and enabling Indian firms to compete globally with aesthetically designed, lifestyle-enhancing solutions. It also supports the creation of high-skilled jobs and strengthens physical retail through premium product offerings.
Given Interio’s role in the furniture industry, how can such a scheme catalyse the growth of indigenous furniture brands aiming for international markets?
The RDI Scheme offers a strategic inflexion point for indigenous brands like Interio, aiming to expand globally. With access to long-term, low-interest funding, it enables deeper investment in design innovation, automation and tech-enabled product development, key to meeting international standards. It strengthens our ability to deliver premium, flexible furniture solutions that reflect Indian design sensibilities while offering better value and enhanced lifestyles for global consumers.
The scheme also encourages sustainable manufacturing and faster scalability, addressing current gaps in a fragmented domestic industry. By bridging capital constraints, it supports Indian brands in elevating quality, standardisation and competitiveness, further unlocking greater export potential and helping position India as a hub for future-ready furniture.
What opportunities does this scheme open up for smart manufacturing and tech-enabled product movement, especially in traditionally low-tech sectors like furniture?
The scheme presents strong opportunities for the furniture sector, especially MSMEs, to adopt smart manufacturing and streamline operations. Transitioning from manual to digital processes using CAD/CAM software and smart CNC machines improves design accuracy, scalability and reduces human error.
IoT-based tools and sensors enhance production consistency and quality checks. Real-time inventory tracking through RFID or barcodes ensures better material management, avoiding shortages or overstocking. Digitisation aids in delivery planning, managing demand fluctuations and minimising waste. Smart configuration software enables mass customisation, adjusting size, colour and material without major cost increases. This flexibility, once limited to premium brands, is now widely accessible.
Data analytics tools help understand regional consumer preferences, guiding production planning and reducing unsold stock. As quality norms tighten, access to testing facilities becomes essential, particularly for smaller manufacturers. Industry bodies and government efforts are bridging this gap, enabling MSMEs to scale efficiently, improve quality, and compete in both domestic and global markets.
From a logistics perspective, how important is R&D in enhancing last-mile delivery, packaging innovation, or reverse logistics for bulky products like furniture?
R&D is critical to advancing logistics in the furniture sector, where products are bulky and high-value. At Interio, investments in digital technologies and automation enable an integrated omnichannel presence. IoT and Manufacturing Execution Systems support real-time data analysis, improve speed and accuracy, and enable predictive maintenance.
IoT-enabled tracking ensures end-to-end shipment visibility, reducing risks and improving reverse logistics. Digital routing and scheduling tools optimise last-mile delivery, enhancing efficiency for large, fragile items like wardrobes and sofas. Technology also supports direct-to-consumer models by helping manufacturers manage fulfilment and customer interactions without relying on traditional retail. In parallel, we are exploring AI-led demand forecasting and supply chain optimisation to improve inventory management and logistics.
These efforts together create a more resilient, transparent, and responsive delivery ecosystem aligned with evolving consumer expectations.
Sustainability is a key component of the RDI scheme. How can furniture brands like Interio ensure sustainable operations?
Sustainability is integral to Interio’s vision and aligns well with the RDI scheme’s goals. At Interio, 60-65 per cent of our product portfolio is now green certified, and 45 per cent of our division’s revenue last year came from such products. Interio works with suppliers to train them on energy efficiency, water conservation, renewable energy, GHG emissions, waste management, material conservation, recycling, green supply chain and green infrastructure and ecology. Sustainability goals are implemented across manufacturing locations. Despite adding manufacturing facilities, Interio achieved water positivity status, 28 per cent reduction in carbon intensity, 41 per cent reduction in specific energy consumption and 10 per cent reduction in specific water consumption since FY11.
Do you foresee this scheme enhancing India’s competitiveness as a global hub for both design and manufacturing, and what role can the furniture industry play in that journey?
The RDI Scheme offers critical support for Indian furniture brands like Interio to scale globally by addressing the need for long-term innovation capital. As we expand into design-forward markets like Germany and Sweden, such funding enables investment in smart materials, automation and tech-integrated, flexible products that reflect modern Indian homes and appeal to global sensibilities.
It supports the development of differentiated, sustainable furniture that offers better value and elevates lifestyle experiences that are key for international success. Accelerating R&D and easing the transition from concept to market, it helps us to strengthen our export portfolio across 60+ countries and build premium touchpoints rooted in Indian design and manufacturing excellence.
