The rapid growth of the Indian economy has moulded a favourable atmosphere for new businesses to start. The

increasing population and limited job opportunities encourage people to become entrepreneurs rather than job

seekers. To accelerate economic development and remove obstacles, the Indian government launched the "Start-

up India" program in 2016. In Manipur, the "Start-up Manipur" program was initiated to promote sustainable

economic growth and create jobs in the State.

The article seeks to examine the current landscape for start-ups and the ecosystem supporting them in Manipur.

dreams. Factors such as expanding digital infrastructure, business-friendly reforms, government funding, and

the entrepreneurial spirit have contributed significantly to the development of the start-up sector in the country.

As of March 14, 2024, there were over 123,900 recognised start-ups in India, with a presence in every State.

These start-ups have generated direct employment for over 12 lakh individuals, putting India on track to become

a leader in cutting-edge technology and innovation. Start-ups have been instrumental in introducing new

technologies, products, and services that have the potential to change the world while creating jobs, establishing

valuable enterprises, and fostering innovation.

The Indian government has been instrumental in transforming the start-up ecosystem through targeted initiatives

that foster innovation and empower entrepreneurs. Historically, the Indian economy relied heavily on agriculture,

but recent years have seen a surge in the service sector. Although manufacturing has often been eclipsed by

1. Gain a deep understanding of the start-up ecosystem in India, specifically in Manipur.

2. Identify the role of incubators in supporting the growth of successful businesses.

3. Examine government policies that promote entrepreneurship and establish business incubators.

4. Discuss the availability of grants and their distribution to various start-up programs.

5. Provide recommendations based on the study's findings.

The methodology and overall structure of the study conducted here are based on the literature gathered from a

variety of secondary sources, including papers, department of planning reports, research and prior studies, blogs,

and websites, among others (Bryman, 1989, Stewart, 1984, Neuman, 1997 and Pallant, 2007)

The study relies solely on secondary data collected from various sources such as websites and reports. The data

The start-up ecosystem in India is the environment where new businesses are established. India is the world's

third-largest start-up hub, with a growth rate of 12-15% per year. While there are around 55,000 start-ups in

India, only a small percentage are successful, with a failure rate of about 15%. Most start-ups focus on

technology, and women entrepreneurs make up 15% of the total. New start-ups have created over 40,000 jobs

annually.

The Indian start-up ecosystem includes various players, such as the government (central and State), private

entities, technical business incubators, catalysts, accelerators, and individuals. To foster innovation, start-ups,

and private investment, the government launched the Start-up India initiative in 2016. Since its launch, the

Department for Promotion of Industry and Internal Trade (DPIIT) has recognised over 92,000 entities as start-

ups.

Source: PIB, Government of India

Fig-1: Start-up Funding Growth

Source: Singh, S. (2020). Presenting The State of Indian Start-up Ecosystem Report 2020

Indian start-ups have raised $63 billion over the past five and a half years since the launch of Start-up India.

Figure 1 illustrates a bar graph depicting the growth in start-up funding and the number of start-ups receiving

funding. This surge has significantly simplified the process of establishing start-ups. The start-up ecosystem has

experienced robust growth, expanding from 29,000 start-ups in 2014 to 55,000 by the end of 2020.

Figure 2. City-wise Start-up Count for India

Source: Singh, S. (2020). Presenting The State of Indian Start-up Ecosystem Report 2020

The Manipur government aimed to create a supportive environment for start-ups by providing incubation and

mentoring facilities and a network of funding options. In 2016, they introduced the Manipur Start-up Policy,

which was updated in 2022. The Start-up Cell oversees the implementation and monitoring of the Manipur Start-

up Scheme, with the Planning Department serving as the nodal department. A dedicated start-up team within the

nodal department assists in policy implementation. The "Start-up Manipur" initiative was launched to promote

economic growth and job creation in the State. The programme aims to empower the youth of Manipur to create

jobs, promote entrepreneurship and innovation and create an ecosystem that facilitates the growth of startups.

Manipur aims to become a major startup hub in the North-East of the country. The government is working to

improve the enabling environment for young entrepreneurs to unleash their ambitions and to create a robust

startup ecosystem in collaboration with all stakeholders through adequate incubation and mentoring

developing entrepreneurship programs in vocational institutions, and supporting outreach initiatives.

partnership with the private sector.

five years.

The success of any enterprise depends on the social, political, and economic conditions of the region. An enabling

ecosystem is essential to create a favourable environment for entrepreneurs to grow their businesses and partner

with educational institutions.

As part of the pre-idea stage, the state government will undertake the following activities:

The state government has taken the following steps to incubate entrepreneurs:

advanced learning and other government establishments.

Product Development Stage

During the product development stage, the state government will:

service providers.

Source: DIT, Government of Manipur, India

Table-3 outlines various start-up support programs across different years, showing details such as the number of

applicants, selected start-ups, beneficiaries, total project costs, and subsidies disbursed. In the Revenue stage,

for the years 2017-18, 2018-19, 2020-21, and 2021-22, the number of applicants ranged from 211 to 498, with

selected start-ups between 42 and 192 and beneficiaries between 9 and 30. The total project costs varied, and

their start-ups. Implementing specific incentives for women-led start-ups, such as a monthly support stipend,

could further encourage their growth. Establishing University Innovation Hubs in urban centres could engage

students in remote areas.

The State could establish more incubators to guide young entrepreneurs and consider virtual incubation options.

Providing financial support to new incubators, such as capital assistance, stamp duty reimbursement, and power

tariff subsidies, could be beneficial. Expanding the reach of acceleration programs can help more start-ups

benefit. Leveraging virtual platforms for seminars and discussions can connect with stakeholders outside the

State and country. Engaging with mentors from outside the State, nationally and internationally, can provide

start-ups with diverse perspectives.

Manipur has made progress in providing incubation and mentorship support to start-ups. However, expanding

the number of incubators, offering financial incentives, and leveraging virtual platforms can further enhance the

The Manipur government has been supporting local start-ups through a variety of incentives under the Manipur

Start-up Scheme. This includes reimbursements and grants awarded via events and competitions. Over 90 start-

ups have received funding through these state-backed funds. Additionally, the State facilitated opportunities for

ten start-ups to connect with private investors during the World Expo in Dubai in 2022.

The state government could further diversify its funding options by offering grants, monthly allowances, interest

subsidies, and more. Information about available grants should be widely shared with start-ups. Collaborating

with financial institutions, venture capitalists, and angel investors could provide additional funding streams.

Regularly organising events and conferences focused on funding opportunities and processes would further

enhance support for start-ups.

Enhancing the capabilities of key stakeholders and enablers is crucial for fostering the growth of the entire start-

up ecosystem. Providing essential information to ecosystem facilitators enables start-ups to actively participate

in government initiatives. This area evaluates the effectiveness of sensitisation workshops, programs for

government officials, and training for state-supported incubators. It also emphasises developing the capacity of

potential private investors to stimulate local investment in start-ups.

The Manipur government has conducted sensitisation workshops for government officials and programs aimed

at encouraging potential investors to invest in start-ups. The State has taken several initiatives to build capacity,

equipping incubator managers with skills in business training, financial management, monitoring, evaluation,

about start-up investment opportunities. Additionally, the government could organise quarterly workshops for

different government departments and officials to facilitate more interaction with start-ups, helping them better

understand these businesses' challenges. The State could also enhance the training of state-supported incubators

by collaborating with incubators from other states, allowing for shared learning and capacity-building

opportunities.

The government of Manipur has been conducting workshops to educate government officials and potential

investors about start-ups. They have also trained incubator managers in various areas to improve their skills.

However, there is potential to expand these efforts further by conducting more frequent workshops and

collaborating with other states.

This initiative aims to foster innovation in rural start-ups while prioritising sectors such as renewable energy,

Additionally, the State could create a separate "Social Impact" parameter to recognise start-ups based in rural

areas that promote sustainable practices, renewable energy, circular economy, and climate change solutions.

The government of Manipur aims to promote innovation in rural start-ups, particularly in renewable energy,

sustainability, and climate change. They plan to clearly define sustainability-focused start-ups and develop

specific incentives to support them. Additionally, they will conduct workshops to educate stakeholders about

these areas and consider creating a separate parameter for start-ups that promote sustainable practices in rural

areas.

In conclusion, Manipur has made notable progress in establishing a robust start-up ecosystem through various