<p>Fiber Bragg Grating (FBG) sensors are emerging as a critical technology for real-time, accurate, and distributed sensing in sectors such as infrastructure, energy, aerospace, healthcare, and defence. Their advantages—such as immunity to electromagnetic interference, multiplexing capability, and high sensitivity—make them ideal for smart and resilient systems aligned with India’s digital and industrial transformation. Despite their global adoption, commercialization of FBG sensors in India remains underdeveloped, due to several seen and unseen challenges like the dearth of indigenous supply of raw materials, manufacturing capabilities, standardization, skilled workforce, vendor networks, and certified calibration infrastructure. To overcome the bottlenecks hindering the commercialization of Fiber Bragg Grating (FBG) sensors in India, a focused and policy-backed strategy is essential. This strategy paper outlines the current national status of FBG sensors and discusses the various challenges associated with market penetration and commercial production of FBG sensors. This policy document critically emphasizes the role of Indian Government (Ministry of Electronics and Telecommunication) to establish an innovation platform to accelerate manufacturing of FBGs and therein the significant role played by CSIR-CGCRI. With its ability to bridge fundamental research and industrial application, CSIR-CGCRI is uniquely positioned to lead India’s FBG sensor ecosystem and catalyse the transition from R&amp;D to indigenous development and commercialization. Against the above perspective, a comprehensive roadmap to address existing challenges and establish a robust indigenous FBG sensor ecosystem is suggested. It emphasizes key recommendations for standardization and indigenization, investment in infrastructure and testbeds, promotion of Start-ups, and skill development tailored to the interdisciplinary nature of FBG technologies.</p>