DIPP seeks stake­hold­ers’ views on draft method­ol­ogy for states’ startup rank­ing 2019

Financial Chronicle - - PLAN, POLICY -

THE Depart­ment of In­dus­trial Pol­icy and Pro­mo­tion (DIPP) has sought views of var­i­ous stake­hold­ers on its draft method­ol­ogy to rank states and union ter­ri­to­ries this year on the ba­sis of mea­sures be­ing taken by them to pro­mote star­tups.

In the last rank­ing an­nounced in De­cem­ber 2018, Gu­jarat has emerged as the best per­former in de­vel­op­ing startup ecosys­tem for bud­ding en­trepreneurs.

"We have drafted the method­ol­ogy for states startup rank­ing 2019 with sug­gested pil­lars, ac­tion points and pro­posed weight for feed­back. DIPP is seek­ing in­puts on the pro­posed method­ol­ogy," said a tweet by Startup In­dia. This Twit­ter han­dle is man­aged by the depart­ment, which is un­der the com­merce and in­dus­try min­istry.

The draft dis­cus­sion doc­u­ment has en­listed five broad prin­ci­ples for rank­ing. It in­cludes more em­pha­sis to be given on feed­back from ac­tual ben­e­fi­cia­ries; the frame­work shall be de­signed to in­spire states so that they can tar­get newer and higher goals; dif­fer­ent yard­sticks may be used for eval­u­a­tion for states with ma­ture startup ecosys­tems; and dis­tinc­tion may also be made on the ba­sis of large States and small states. The frame­work would eval­u­ate progress made from May 1, 2018 to May 31, 2019.

The six pil­lars over which the depart­ment wants to rank states in­clude aware­ness and out­reach; eas­ing pub­lic pro­cure­ment; an­gel and ven­ture fund­ing sup­port; seed fund­ing sup­port; in­cu­ba­tion cen­tres; and in­sti­tu­tional sup­port. There are 28 ac­tion points sug­gested in the draft un­der these six pil­lars. These points in­clude clear def­i­ni­tion of star­tups, sup­port from var­i­ous de­part­ments, spe­cial in­cen­tives for women en­trepreneurs, online sys­tems, startup reg­is­tra­tion process, men­tor net­work, R&D fa­cil­i­ties, and sys­tems to avail funds. Fur­ther, it has also en­listed feed­back ques­tions such as whether startup is aware of the startup pol­icy in the state; whether they are aware of ini­tia­tives and pro­grammes by other states; con­tact de­tails of nodal of­fi­cer and depart­ment; and whether they are aware of seed fund­ing guide­lines pro­vided by the state. As many as 22 states have so far for­mu­lated their re­spec­tive startup poli­cies. A to­tal of 27 states and three union ter­ri­to­ries par­tic­i­pated in the last year's rank­ing exercise.

Last year, the rank­ing frame­work cov­ers seven ar­eas of in­ter­ven­tion and 38 ac­tion points, in­clud­ing pol­icy sup­port, in­cu­ba­tion cen­tres, seed fund­ing, an­gel and ven­ture fund­ing and eas­ier reg­u­la­tions.

The govern­ment launched Startup In­dia Ac­tion Plan in Jan­uary to pro­mote bud­ding en­trepreneurs in the coun­try. The plan aims to give in­cen­tives such as tax hol­i­day and cap­i­tal gains tax ex­emp­tion.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.