India’s startup landscape has witnessed remarkable growth, establishing the nation as the third-largest startup ecosystem globally. Central to this evolution is Piyush Goyal, the Union Minister for Commerce and Industry, whose initiatives and perspectives have significantly influenced the direction of Indian entrepreneurship.
Advocating for Deep Tech Focus
In April 2025, during the Startup Mahakumbh event in New Delhi, Minister Goyal emphasized the need for Indian startups to pivot towards deep technological innovations. He highlighted that while sectors like quick commerce have seen substantial growth, there remains an urgent need to invest in areas such as semiconductors, artificial intelligence (AI), machine learning, robotics, and battery technology. Goyal pointed out that countries like China have made significant strides in these domains, suggesting that India should adopt a similar trajectory to bolster its position in the global tech arena.
Goyal’s remarks sparked diverse reactions within the startup community. Some entrepreneurs and investors expressed concerns about the challenges in deep tech sectors, including high capital requirements and extended research and development timelines. Conversely, others supported the minister’s vision, acknowledging the importance of building a robust technological foundation for sustainable growth.
Initiatives to Support Startups
Demonstrating commitment to nurturing the startup ecosystem, Goyal announced the establishment of a Startup India desk within the Department for Promotion of Industry and Internal Trade (DPIIT). This initiative aims to serve as a helpline for entrepreneurs, offering guidance and addressing grievances through a toll-free number accessible in regional languages. The desk is designed to streamline support for startups, ensuring they receive timely assistance and resources.
Additionally, Goyal introduced the MAARG portal (Mentorship, Advisory, Assistance, Resilience, and Growth), a platform dedicated to facilitating mentorship for startups across various sectors and stages. The portal enables live matchmaking between mentors and startups, fostering knowledge exchange and strategic guidance. As of early 2025, over 600 mentors and 800 startups had registered on the platform, reflecting its growing significance in the entrepreneurial community.
Financial Support and Policy Reforms
Recognizing the financial challenges faced by startups, the government, under Goyal’s leadership, launched the second Fund of Funds for Startups (FFS) with a corpus of ₹10,000 crore. This fund aims to provide early-stage funding, particularly targeting innovations in AI, robotics, and other cutting-edge fields. The initiative underscores the government’s dedication to fostering a conducive environment for technological advancements.
In a significant policy shift, the government abolished the ‘angel tax’ in July 2024. This tax had previously imposed duties on capital raised by startups over fair market value, posing a hurdle for early-stage investments. The removal of this tax was lauded by industry leaders, as it alleviated compliance burdens and encouraged greater investment in the startup sector.
Encouraging Domestic Investment
Goyal has also highlighted the importance of increasing domestic capital participation in startups. He expressed concerns over the dominance of foreign investors in acquiring Indian startups and emphasized the need for more Indian investors to support and retain control over homegrown enterprises. This perspective aligns with the broader goal of ensuring that the economic benefits of India’s startup boom are retained within the country.
Piyush Goyal’s multifaceted approach to enhancing India’s startup ecosystem reflects a strategic vision aimed at fostering innovation, providing robust support structures, and encouraging a shift towards deep technological advancements. By implementing mentorship platforms like the MAARG portal, establishing dedicated support desks, and introducing favorable financial policies, Goyal aims to create an environment where startups can thrive and contribute significantly to India’s economic growth. The emphasis on deep tech and domestic investment further underscores the commitment to building a self-reliant and technologically advanced nation.
