Innovation is key to secured Indian growth story

One European asked on yahoo " Is India is threat to developed countries?"
His question was regarding to industrial threat. I answered him as follows.
India is just one more country where cost of living is much lower than Europe and USA. So Industries where manpower required is heavy, any low cost country will be economical. Today its China and India along with many other countries like eastern Europe, Vietnam, Indonesia etc BUT it may be some other names tomorrow like Bangladesh, South Africa, Pakistan, Nepal etc. Crux lies in Innovation. If we as a country do not learn to innovate, we will see the growth going to other countries. the way, salaries are going up in India, we are getting less competitive in many areas. We will be more organised after few years, PF, Health insurance, Environment protection etc will add cost, then we will not be able to hold competitiveness and we will loose out to other lower cost countries. But Nano has shown us that we are on right track. TATA has jumped into super computers, Ranbaxy is already showing good results in innovations, two days back, ISRO launched 10 satelites with PSLV, HAL is making its own helicopters. There are so many but still its not enough. We must press hard to innovation as this is the only way we can secure our future. We can't remain competitive forever neither we want to be low cost country for long. We want to be a country who has several thousands MNC's and millions of Patents on our name. I am firm believer of the fact that companies are realising and will soon learn in hard way as rupee will continue to be stronger leaving no choice for us.