A month ago, at Antha Prerna 2021, a Startup Conclave and Entrepreneurship Summit one thought that echoed through various sessions was that Goa is an ideal state for the startup ecosystem to flourish and thrive, and there was the statement made that Goa can be another Silicon Valley. The individual who made that statement, added that in Goa the cost of living is considerably lower in comparison to the metros, the quality of life is better and one is able to attain a sense of balance. That is what exists, he then said that the future seemed bright because the state is setting up new infrastructure in terms of an airport and better road connectivity.
While Goa may look forward to becoming another Silicon Valley, does it, other than the way of life, have what is required for this?
When the conversation is about the IT industry, it naturally veers towards the startup ecosystem, as it is here that most of the IT entrepreneurs emerge from. If Goa intends to be anywhere close to a silicon valley kind of setup, it has to act fast on startup and information technology. Goa has just got a new startup policy over a year after the last one had lapsed. That one, as admitted by the Chief Minister had hiccups and was not very startup friendly. The new policy aims to rectify this by creating a startup-friendly environment in the State and wants 500 startups in three years with potential employment to 6000 persons. An interesting aspect of the policy is that it will not look just at the IT sector but will accept applications from business ventures from other sectors for incentives, besides special encouragement for women entrepreneurs.
The startup sector in the State has welcomed the new policy, despite not fully aware of what the document contains as it was yet to be made public. What they are hoping for is a smoother and easier procedure for the end users. They believe that it will boost the startup ecosystem and talk of Goa becoming a startup destination, with a number of companies from the rest of the country shifting base to Goa. This is also what the idea of making Goa a second Silicon Valley entails. The question that needs to be addressed is whether Goa wants to be a startup destination or a startup promotion State, where its potential entrepreneurs are given a boost and allowed to receive benefits.
The debate on destination versus promotion has arisen but is not conclusive. When there are thousands of youth in Goa standing in queue for government jobs and the State is unable to recruit even 10 per cent of them, shouldn’t the focus be on promoting homegrown businesses rather than expecting that already established ventures from outside the State will come to Goa because of the benefits to startups? For that matter, the conclave last month saw a live speed pitching session where 20 shortlisted entrepreneurs from incubators across the State pitched their ideas to 12 angel investors. So Goa has youth looking to take a plunge in the startup ecosystem. The focus should be prmoting them, and not promoting the relocation of an existing business to Goa.
One aspect that was brought up by those in the startup ecosystem is that they hope that adequate structures have been created with office bearers capable of implementing the policy in word and spirit. A suggestion on that aspect is that Information Technology and startups must come under the Chief Minister’s Office so that there is top down approach and not the other way around. If Goa is indeed serious of a vibrant startup ecosystem then there has to be quick decision making. The 2017 policy that lapsed a year ago was extended twice before the new one was approved. Such delays cannot occur again.
