Lok Sabha Question No. 4046 (UNSTARRED), answered on 2026-03-17
Subject: Startup Recognition
Ministry: COMMERCE AND INDUSTRY
Asked by: Dr. Raj Kumar Chabbewal

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY

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

## UNSTARRED QUESTION NO. 4046.

TO BE ANSWERED ON TUESDAY, THE 17 TH  MARCH, 2026.

## STARTUP RECOGNITION

## 4046.  DR. RAJ KUMAR CHABBEWAL:

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

- (a) whether  the  Government  has  expanded  the  scope  and  eligibility  criteria  for recognition of startups under the Startup India initiative and if so, the details thereof and if not, the reasons therefor;
- (b) if so, the details of the number of start-ups recognised before and after the said expansion in the country, State/UT-wise including in Punjab;
- (c) whether the Government has assessed the impact of the expanded recognition for startups and if so, the details thereof; and
- (d) the steps taken by the Government to ensure that start-ups in smaller cities and non-metro  regions  are  able  to  fully  benefited  from  the  revised  recognition framework?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a): The Government has expanded the scope and eligibility criteria for recognition of startups under the Startup India initiative through notification G.S.R. 108(E) dated 4 February 2026 to better reflect the evolving scale and diversity of India's startup ecosystem. The key revisions are as follows:
- i. Increase in turnover ceiling : The annual turnover ceiling upto which a startup can remain recognised as a 'startup' has been increased from Rs. 100  crore  to  Rs.  200  crore,  enabling  scaling  enterprises  to  continue availing benefits under the Startup India initiative.
- ii. Introduction of a 'Deep Tech Startup' category :  A separate category has  been  introduced  for  startups  working  on  advanced  and  emerging technologies with extended eligibility parameters:
- a. Age limit: Up to 20 years from the date of incorporation or registration.
- b. Turnover ceiling: Up to Rs. 300 crore, recognising the longer gestation periods and  capital intensity associated with deep  technology ventures.
- iii. Expansion of eligible  entity  types :  Multi-State  Cooperative  Societies registered  under  the  Multi-State  Cooperative  Societies  Act,  2002  and Cooperative Societies registered under State/UT Cooperative Societies Acts are now eligible for startup recognition, subject to fulfilment of the prescribed criteria.

The gazette notification can be accessed at: https://egazette.gov.in/WriteReadData/2026/269843.pdf

These  revisions  were  formulated  following  consultations  with  stakeholders across  the  startup  ecosystem  and  relevant  Ministries/Departments  to  better support innovation-driven enterprises and sectors requiring longer technology development cycles.

- (b) & (c): The number of entities recognised as startups under the Startup India initiative has increased from approximately 500 in 2016 to 2,12,283 as on 31 January 2026. The State/Union Territory-wise number of entities recognised as startups, including those from the State of Punjab, as on 3 February 2026 (prior to the revised framework) and from 4 February 2026 to 28 February 2026 (after the revised framework) is placed at Annexure-I .

The  revised  recognition  framework  was  formulated  after  consultations  with stakeholders across the startup ecosystem as well as with relevant Ministries and Departments. While the revised framework has been notified recently, the expansion of eligibility parameters will enable a wider set of innovation-driven enterprises,  including  deep  technology  ventures  and  eligible  cooperative institutions,  to  be  eligible  for  startup  recognition  and  access  the  benefits available under the Startup India initiative.

- (d): Startup  recognition  under  the  Startup  India  initiative  is  processed  through  a digital application system available on the Startup India portal and the National Single Window System (NSWS), enabling entrepreneurs across the country, including those in smaller cities and non-metro regions, to apply online. The recognition process is based on self-certification with simplified documentation, and  guidance  material,  such  as  recognition  handbooks  and  tutorials,  are available on the portal to assist applicants in navigating the process.

In addition, the Government undertakes outreach, awareness and ecosystem development initiatives across States and Union Territories in collaboration with State startup nodal agencies, incubators and other ecosystem stakeholders to promote startup recognition and support innovators in emerging startup hubs. Capacity-building  workshops  and  stakeholder  consultations  are  organised across regions to strengthen local startup ecosystems and facilitate participation from smaller cities.

Further, national initiatives such as the States' Startup Ranking Framework, National Startup Awards, Startup Mahakumbh, ASCEND (Accelerating Startup Caliber & Entrepreneurial Drive) sensitisation workshops in the North Eastern region, and Startup India Innovation Week provide platforms for entrepreneurs from across the country to engage with investors, incubators and policymakers, thereby promoting entrepreneurship and encouraging startup participation from non-metro and emerging innovation clusters.

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## ANNEXURE-I

## ANNEXURE REFERRED TO IN REPLY TO PARTS (b) & (c) OF THE LOK SABHA UNSTARRED QUESTION NO. 4046 FOR ANSWER ON 17.03.2026.

The  State/Union  Territory  (UT)-wise  number  of  entities  recognized  as  startups  in  the country is placed below:

| State/UT                                 |   No. of entities recognized as startups as on 3 rd February 2026 |   No. of entities recognized as startups from 4 th February 2026 till 28 th February 2026 |
|------------------------------------------|-------------------------------------------------------------------|-------------------------------------------------------------------------------------------|
| Andaman and Nicobar Islands              |                                                                93 |                                                                                         3 |
| Andhra Pradesh                           |                                                              4015 |                                                                                       122 |
| Arunachal Pradesh                        |                                                                88 |                                                                                         3 |
| Assam                                    |                                                              2070 |                                                                                        48 |
| Bihar                                    |                                                              4757 |                                                                                       153 |
| Chandigarh                               |                                                               670 |                                                                                        12 |
| Chhattisgarh                             |                                                              2306 |                                                                                        62 |
| Dadra and Nagar Haveli and Daman and Diu |                                                                90 |                                                                                         1 |
| Delhi                                    |                                                             20318 |                                                                                       352 |
| Goa                                      |                                                               785 |                                                                                        13 |
| Gujarat                                  |                                                             18234 |                                                                                       459 |
| Haryana                                  |                                                             11033 |                                                                                       281 |
| Himachal Pradesh                         |                                                               783 |                                                                                        18 |
| Jammu and Kashmir                        |                                                              1452 |                                                                                        35 |
| Jharkhand                                |                                                              2000 |                                                                                        59 |
| Karnataka                                |                                                             21647 |                                                                                       428 |
| Kerala                                   |                                                              8278 |                                                                                       173 |
| Ladakh                                   |                                                                25 |                                                                                         0 |
| Lakshadweep                              |                                                                 3 |                                                                                         0 |
| Madhya Pradesh                           |                                                              7090 |                                                                                       208 |
| Maharashtra                              |                                                             36861 |                                                                                       816 |
| Manipur                                  |                                                               258 |                                                                                         6 |
| Meghalaya                                |                                                                92 |                                                                                         2 |
| Mizoram                                  |                                                                64 |                                                                                         1 |
| Nagaland                                 |                                                               116 |                                                                                         3 |
| Odisha                                   |                                                              3686 |                                                                                        75 |
| Puducherry                               |                                                               226 |                                                                                         8 |
| Punjab                                   |                                                              2372 |                                                                                        50 |
| Rajasthan                                |                                                              7714 |                                                                                       192 |
| Sikkim                                   |                                                                18 |                                                                                         2 |
| Tamil Nadu                               |                                                             14124 |                                                                                       293 |
| Telangana                                |                                                             11780 |                                                                                       346 |
| Tripura                                  |                                                               201 |                                                                                         8 |
| Uttar Pradesh                            |                                                             20782 |                                                                                       593 |
| Uttarakhand                              |                                                              1744 |                                                                                        51 |
| West Bengal                              |                                                              6965 |                                                                                       161 |
| Total                                    |                                                            212740 |                                                                                      5037 |

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