Gujarat topped the first ever startup ranking of states and was named Best Performer, on Thursday, followed by Karnataka and Kerala.
The ranking, done by the Department of Industrial Policy and Promotion, grades the states in six categories: Beginners, Emerging States, Aspiring Leaders, Leaders, Top Performers and Best Performers. Called ‘State Startup Rankings’ it was based on the startup policy frameworks of the states.
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Top performers: Gujarat, Karnataka, Kerala, Odisha and Rajasthan,
Leaders: Andhra Pradesh, Bihar, Chhattisgarh, Madhya Pradesh and Telangana
Aspiring leaders: Haryana, Himachal Pradesh, Jharkhand, Uttar Pradesh and West Bengal
Emerging states: Assam, Delhi, Goa, Jammu and Kashmir, Maharashtra, Punjab, Tamil Nadu and Uttarakhand.
Beginners: Chandigarh, Manipur, Mizoram, Nagaland, Puducherry, Sikkim and Tripura
“Gujarat has allocated Rs 100 crore budget for startups and provided assistance to 200 projects,” said Mamta Verma, Commissioner, Dept. of Industries, accepting Gujarat’s certificate for being the ‘Best Performer’.
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A total of 27 states and three union territories participated in the exercise. The DIPP consulted stakeholders of the startup ecosystem and came up with seven key reform areas as the basis of the ranking. An online portal was launched to help states submit their initiatives across the reform areas.
“The entire exercise was conducted in essence for capacity development and to further the spirit of cooperative federalism. Awareness workshops in all states, knowledge workshops in leading incubators, pairing of states for intensive mentoring, international exposure visits to the US and Israel and intensive engagement between states with the Startup India team helped many states initiate effective measures to support startups,” a DIPP statement said.
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.
So far 14,565 startups are recognised by the department. Out of this, maximum are from Maharashtra (2,787) followed by Karnataka (2,107), Delhi (1,949), Uttar Pradesh (1,201), Haryana (765) and Gujarat (764).
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These startups are from different sectors including IT services, healthcare, education, food, agriculture, renewable energy, and technology hardware.
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 inspector raj-free regime and capital gains tax exemption.
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