The Director of PSG Institute of Advanced Studies, Coimbatore, Dr.P.Radhakrishnan has said that lack of innovation and lack of know-how for manufacturing high-end machines is ailing the development of machine tool industry in India. Speaking on the C-MAT Industry – Institute Interaction for Machine Tool Development in India at the Indian Science Congress today, he said that precision engineering, aerospace, defence and strategic sectors, automotives, sensors and bio medical engineering are affected by technological gaps.Reiterating that the gap between demand and production should be bridged to reduce the dependence of 70 per cent import in machine tool industry, Dr.Radhakrishnan said that creating infrastructure facilities for advanced machine tools and next generation grinding machine technology is necessary for self-reliance in the field of automotives. He said that India has a bright future in development of nano technology also if smart and intelligent systems are developed.