"Minister's Challenge Sparks Debate on India's Start-up Focus"

Fri Oct 24 2025 17:24:34 GMT+0300 (Eastern European Summer Time)

"India's Commerce Minister calls for a shift towards deep-tech innovations, igniting discussions on the state of the start-up ecosystem."

"Piyush Goyal's recent remarks at Startup Mahakumbh have provoked a mix of praise and criticism, as Indian entrepreneurs grapple with the need for more ambitious technological pursuits in the face of fierce global competition."

India's Commerce Minister Piyush Goyal has stirred up a heated debate in the entrepreneurial community with his recent comments at the Startup Mahakumbh, a government-led start-up conclave. Goyal challenged Indian entrepreneurs to shift their focus from consumer-based products, like food delivery apps and artisanal brands, towards high-tech innovations essential for national progress.

While praising the flourishing start-up scene, which ranks India as the world’s third-largest ecosystem, Goyal emphasized the need for bolder moves in technology fields such as machine learning and robotics. Drawing comparisons to China's advancements in deep-tech, he posed a provocative question: "Do we want to make ice creams or semiconductor chips?"

Responses from the entrepreneurial community have been diverse. Some, like Aadit Palicha, co-founder of quick-commerce platform Zepto, defended the consumer tech space, asserting that such innovations have propelled technology development, with examples like Amazon starting in consumer internet and later excelling in cloud computing.

Others highlighted the financial challenges facing deep-tech start-ups. Mohandas Pai, an angel investor, pointed out that many investors favor lifestyle-focused businesses due to quicker returns, leaving deep-tech ventures struggling to secure funding despite their potential for groundbreaking innovations.

Entrepreneurs echoed this sentiment, voicing concerns over high import taxes and bureaucratic obstacles hindering their growth. Advocates for the minister’s message argued that his comments serve as a necessary wake-up call to the start-up ecosystem, urging both founders and investors to aim higher.

Analysts noted that in comparison, Indian start-up funding for deep-tech remains significantly lower than in China, calling for strategic governmental support such as deep-tech innovation funds and a stronger linkage between academia and start-ups. Goyal's comments may serve as a catalyst for pushing India's innovative capabilities into deeper tech development, as the country navigates a competitive global landscape.