Startups in India outline their expectations from the new government

Startups in India are eagerly awaiting the new government's policies to address their specific needs, ranging from bolstering the EV industry to supporting small-town entrepreneurs and ensuring financial market stability. By implementing targeted policies and providing necessary resources, the government can create a conducive environment for the growth and success of startups across the nation.

Pratik Kamdar, CEO & Co-Founder, Neuron Energy, says "the new administration will need to support the growing electric vehicle (EV) sector. With rising environmental concerns, the government must focus on strengthening the industry."

Pratik Kamdar further claims that domestic manufacturing will continue to remain an important aspect to reduce dependency on imports. He notes, "Encouraging home manufacturing would boost the EV ecosystem while reducing reliance on external sources."

Kamdar also highlights key policy initiatives like the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME II & III) scheme and the Production-Linked Incentives (PLI) scheme, designed to promote local industry growth. These initiatives aim to enhance domestic battery supply, minimize imports, and cut battery costs, ensuring access to essential raw materials such as lithium, nickel, cobalt, and manganese.

India's new growth engine

Startups in smaller Indian cities can be the nation's new growth engine. Hifza Afaq, co-founder & CTO, Kaarigar Mandi says startups in smaller towns face unique challenges that the new government needs to address. Kaarigar Mandi operates from Agra, Uttar Pradesh where small brands face difficulties in accessing funding and investment opportunities. Afaq explains, "Venture capital and angel investors are more concentrated in metropolitan areas like Bengaluru, Mumbai, and Delhi."

She also points out that inadequate infrastructure, including unreliable internet connectivity and transportation networks, hampers operational efficiency. To support small-town entrepreneurs, she suggests that the government create special schemes, establish startup incubators in smaller cities, and provide training, investment, and resources.

Another startup emphasised on the importance of privacy and data security as well as regulations asking the new government to focus on these aspects to create a growth environment for startups. Darshil Shah, Founder and Director, TreadBinary, said "We expect the government to take a proactive approach in enhancing India's startup ecosystem. Prioritizing privacy and data security, regulations for the Digital Personal Data Protection Act (DPDPA) and amendment to the IT rules addressing crucial issues like AI-driven misinformation and deep fakes, serving as a stopgap until a comprehensive Digital India Act is developed.

He added, "Promoting innovation, and enabling Indian companies and startups to achieve global prominence is also one of the major expectations from the new government."