Lok Sabha Question No. 1279 (UNSTARRED), answered on 2022-02-09
Subject: Startups
Ministry: COMMERCE AND INDUSTRY
Asked by: Abdul Khaleque

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY

## DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE LOK SABHA

UNSTARRED QUESTION NO. 1279. TO BE ANSWERED ON WEDNESDAY, THE 9 TH     FEBRUARY, 2022.

## STARTUPS

## 1279.  SHRI ABDUL KHALEQUE:

## Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) the number of Startups functioning across the country since 1st January 2019 to 31st December 2021 particularly in Assam, year-wise;
- (b) the total value of the Startups including those in Assam;
- (c) the total number of indirect employment generated by the Startups in Assam during the last three years, district-wise; and
- (d) the  measures taken by the Government to popularise Startup ventures and support them in Assam?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री सोम प्रकाश ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI SOM PARKASH)

- (a): The  total  number  of  Startups  recognized  by  Department  for  Promotion  of Industry and Internal Trade(DPIIT) since 1 st  January 2019 to 31 st  December 2021 in the country, including Assam is placed at Annexure-I.
- (b): The valuation of Startups is industry driven and such data is not compiled by the Government.
- (c): The district wise details of employment, as reported by the Startups, in the State of Assam during the last three years is placed at Annexure-II.
- (d) The measures taken by the Government to popularise Startup ventures and support them in the country including Assam are placed at Annexure-III. All the initiatives  under the Startup India are inclusive and are implemented across States, cities, towns and rural areas.

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## ANNEXURE-I

## ANNEXURE  REFERRED  TO  IN  REPLY  TO  PART  (a)  OF  THE  LOK  SABHA UNSTARRED QUESTION NO. 1279 FOR ANSWER ON 09.02.2022.

The total number of Startups recognized by Department for Promotion of Industry and Internal Trade (DPIIT) since 1 st  January 2019 to 31 st  December 2021 in the country, including Assam is as below :

| Year        | No of Recognized Startups in the Country   | No of Recognized Startups in Assam   |
|-------------|--------------------------------------------|--------------------------------------|
| 2019        | 11505 67                                   |                                      |
|             | 14673 119                                  | 2020                                 |
| 2021        | 190                                        | 20244                                |
| Grand Total | 46422                                      | 376                                  |

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## ANNEXURE-II

## ANNEXURE  REFERRED  TO  IN  REPLY  TO  PART  (c)  OF  THE  LOK  SABHA UNSTARRED QUESTION NO. 1279 FOR ANSWER ON 09.02.2022.

The details of the total number of employment in the State of Assam including district wise distribution during the last three years is as below:

| State   |   Total number of Employees |   Total number of Employees |   Total number of Employees |   Total number of Employees | Total number of Employees   |
|---------|-----------------------------|-----------------------------|-----------------------------|-----------------------------|-----------------------------|
|         |                        2019 |                        2020 |                        2021 |                        2022 | Grand Total                 |
| Assam   |                         733 |                         877 |                        1446 |                         200 | 3256                        |

| Districts     | Number of Employees   | Number of Employees   |   Number of Employees | Number of Employees   | Number of Employees   |
|---------------|-----------------------|-----------------------|-----------------------|-----------------------|-----------------------|
| Districts     | 2019                  | 2020                  |                  2021 | 2022                  | Grand Total           |
| Baksa         | 4                     |                       |                     2 |                       | 6                     |
| Barpeta       |                       | 5                     |                    28 |                       | 33                    |
| Biswanath     |                       | 4                     |                     6 |                       | 10                    |
| Bongaigaon    | 21                    | 15                    |                    25 |                       | 61                    |
| Cachar        | 16                    | 59                    |                    82 | 4                     | 161                   |
| Darrang       |                       |                       |                    52 |                       | 52                    |
| Dhemaji       |                       | 7                     |                    23 |                       | 30                    |
| Dhubri        | 4                     | 23                    |                    15 |                       | 42                    |
| Dibrugarh     | 28                    | 54                    |                   157 |                       | 239                   |
| Golaghat      |                       | 3                     |                    21 |                       | 24                    |
| Guwahati      |                       |                       |                   104 | 130                   | 234                   |
| Hailakandi    |                       | 6                     |                     3 |                       | 9                     |
| Hojai         |                       |                       |                    20 |                       | 20                    |
| Jorhat        | 10                    | 19                    |                    94 |                       | 123                   |
| Kamrup        | 42                    | 131                   |                   209 | 7                     | 389                   |
| Kamrup Metro  | 546                   | 417                   |                   431 | 25                    | 1419                  |
| Karbi Anglong | 5                     |                       |                     3 |                       | 8                     |
| Karimganj     |                       | 2                     |                    24 |                       | 26                    |
| Kokrajhar     |                       | 38                    |                    10 |                       | 48                    |
| Lakhimpur     |                       | 4                     |                     7 |                       | 11                    |
| Marigaon      |                       | 9                     |                    35 |                       | 44                    |
| Nagaon        |                       | 32                    |                    31 |                       | 63                    |
| Nalbari       |                       |                       |                     8 |                       | 8                     |
| Sivasagar     | 8                     | 14                    |                    17 | 1                     | 40                    |
| Sonitpur      | 41                    | 25                    |                    16 |                       | 82                    |
| Tinsukia      | 8                     | 10                    |                    23 | 33                    | 74                    |

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## ANNEXURE-III

## ANNEXURE  REFERRED  TO  IN  REPLY  TO  PART  (d)  OF  THE  LOK  SABHA UNSTARRED QUESTION NO. 1279 FOR ANSWER ON 09.02.2022.

## Measures taken by the Government to popularise Startup ventures and support them

- i. Startup India Action Plan : An Action Plan for Startup India was unveiled on  16 th   January  2016.  The  Action  Plan  comprises  of  19  action  items spanning across areas such as 'Simplification and handholding', 'Funding support and incentives' and 'Industry-academia partnership and incubation'.  The  Action  Plan  laid  the  foundation  of  Government  support, schemes and incentives envisaged to create a vibrant startup ecosystem in the country.
- ii. Startup India: The Way Ahead : Startup India: The Way Ahead at 5 years celebration  of  Startup  India  was  unveiled  on  16 th   January  2021  which includes  actionable  plans  for  promotion  of  ease  of  doing  business  for startups, greater role of technology in executing various reforms, building capacities of stakeholders and enabling a digital Aatmanirbhar Bharat.
- iii. Startup India Seed Fund Scheme (SISFS) : Easy availability of capital is essential for entrepreneurs at the early stages of growth of an enterprise. The capital required at this stage often presents a make or break situation for startups with good business ideas. The Scheme aims to provide financial assistance to startups for proof of concept, prototype development, product trials,  market  entry  and  commercialization.  Rs.  945  crore  has  been sanctioned under the SISFS Scheme for period of 4 years starting from 2021-22.  It  will  support  an  estimated  3,600  entrepreneurs  through  300 incubators in the next 4 years.
- iv. Fund  of  Funds  for  Startups  (FFS)  Scheme :  The  Government  has established FFS with corpus of Rs. 10,000 crore, to meet the funding needs of startups. DPIIT is the monitoring agency and Small Industries Development Bank of India (SIDBI) is the operating agency for FFS. The total corpus of Rs. 10,000 crore is envisaged to be provided over the 14th and 15th Finance Commission cycles based on progress of the scheme and availability of funds. It has not only made capital available for startups at early stage, seed stage and growth stage but also played a catalytic role in terms of  facilitating  raising  of  domestic  capital,  reducing  dependence  on foreign capital and encouraging home grown and new venture capital funds.
- v. Ease of Procurement : To enable ease of procurement, Central Ministries/ Departments  are  directed  to  relax  conditions  of  prior  turnover  and  prior experience in public procurement for all Startups subject to meeting quality and  technical  specifications.  Further,  Government  e-Marketplace  (GeM) Startup Runway; a dedicated corner for startups to sell products & services directly to the Government.
- vi. Self-Certification under Labour and Environmental laws :  Startups are allowed to self-certify their compliance under 6 Labour and 3 Environment laws for a period of 3 to 5 years from the date of incorporation.
- vii. Income Tax Exemption for 3 years : Startups incorporated on or after 1st April 2016 can apply for income tax exemption. The recognised startups that are  granted  an  Inter-Ministerial  Board  Certificate  are  exempted  from income-tax  for  a  period  of  3  consecutive  years  out  of  10  years  since incorporation.
- viii. Exemption  for  the  Purpose  Of  Clause  (VII)(b)  of  Sub-section  (2)  of Section 56 of the Act : A DPIIT recognized startup is eligible for exemption from the provisions of section 56(2)(viib) of the Income Tax Act.
- ix. Startup India Hub : The Government launched a Startup India Online Hub on 19 th  June 2017 which is one of its kind online platform for all stakeholders of the entrepreneurial ecosystem in India to discover, connect and engage with each other. The Online Hub hosts Startups, Investors, Funds, Mentors, Academic Institutions,  Incubators, Accelerators,  Corporates,  Government Bodies and more.
- x. National  Startup  Awards :  National  Startup  Awards  is  an  initiative  to recognize and reward outstanding startups and ecosystem enablers that are building innovative products or solutions and scalable enterprises, with high potential  of  employment  generation  or  wealth  creation,  demonstrating measurable social impact.
- xi. International Access to Indian Startups : One of the key objectives under the Startup India initiative is to help connect Indian startup ecosystem to global startup ecosystems through various engagement models. This has been done though international Government to Government partnerships, participation in international forums and hosting of global events. Startup India  has  launched  bridges  with  13  countries  (Brazil,  Sweden,  Russia, Portugal, UK, Finland, Netherlands, Singapore, Israel, Japan, South Korea, Canada, Croatia) that provides a soft-landing platform for startups from the partner nations and aid in promoting cross collaboration.
- xii. Support for Intellectual Property Protection : Startups are eligible for fasttracked  patent  application  examination  and  disposal.  The  Government launched Start-ups Intellectual Property Protection (SIPP) which facilitates the startups to file applications for patents, designs and trademarks through registered facilitators in appropriate IP offices by paying only the statutory fees. Facilitators under this Scheme are responsible for providing general advisory  on  different  IPRs,  and  information  on  protecting  and  promoting IPRs  in  other  countries.  The  Government  bears  the  entire  fees  of  the facilitators for any number of patents, trademark or designs, and startups only bear the cost of the statutory fees payable. Startups are provided with an 80% rebate in filing of patents and 50% rebate in filling of trademark visa-vis other companies.
- xiii. Faster Exit for Startups : Ministry of Corporate Affairs has notified Startups as 'fast track firms' enabling them to wind up operations within 90 days visa-vis 180 days for other companies.

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