The research cell will deal with Army's requirements such as lighter and stronger bullet-proof jackets and materials to build bunkers, among other things.
The comments by the General Officer Commanding of the Army's 15 Corps, Lt Gen Subrata Saha, come a day after Chief Minister Omar Abdullah rubbished the appearance of the jihadist group's flags in the Valley as an act of "some idiots".
Lt Gen Saha said the stone-pelting incidents on the choppers involved in rescue and relief operations during the floods last month were "isolated" and driven by "angst" among the people.
Lt Gen Saha said the people of the Valley deserve all the respect and admiration for what they did during the floods.
Lt Gen Saha said checking infiltration from across the Line of Control (LoC) was an important factor in ensuring secure conditions for the upcoming assembly elections.