Centre will have new policy to empower deeptech startups

Policy Final Stages

• Policy is in the final stages of inter-ministerial discussions
• India remains the third-largest tech startup ecosystem globally
• Investments in deeptech will continue to see upward trend in 2024

New Delhi: A dedicated policy for deep tech startups is in the final stages of inter-ministerial discussion and will be rolled out soon, a senior government official said on Monday.

Speaking at StartUp Mahakumbh, Department for Promotion of Industry and Internal Trade (DPIIT) Secretary Rajesh Kumar Singh said startups need to convert their innovation into intellectual property rights for the benefit of the nation and themselves. "Extensive R&D is the answer for that and Government of India is in process of creating a separate dedicated deep tech startup policy. The policy paper is now in the final stages of inter-ministerial discussion. We hope to bring it forward soon.

We will move towards creating funds of funds. Hopefully you will see separate window for deeptech startups," Singh said. The Prime Minister's Science, Technology, and Innovation Advisory Council (PM-STIAC), in its 21st meeting on July 7, 2022 had recommended the creation of a national consortium and a working group to propose a comprehensive policy framework to address the needs and strengthen the Indian deeptech startup ecosystem. Singh said that the provision of Rs 1 lakh crore for research and development (R&D) in the interim Budget is a path breaking exercise.

"We hope that DPIIT can play a role in intermediating between the business and the startup community to ensure that fund is leveraged to increase R&D expenditure, funding of startups, funding of commercialisation of prototyoes , that kind of activity, that can further the innovation ecosystem," Singh said. He said that more than funding, startups need order from the government, and Government e-Marketplace (GeM) is providing an opportunity to the segment. He also called for implementing the defence ministry 's iDex (Innovations for Defence Excellence) model across government departments. "I think they (GeM) have reached about Rs 22,000 crore of procurements from startups so far but I don't know how many of them are innovative that can benefit the country in the long run in bringing about innovation-led economy ," Singh said. IDex is an operational framework of Defence Innovation Organization (DIO), a special purpose vehicle under the aegis of Department of Defence Production, Ministry of Defence, to procure goods and services from innovative startups.