Enhanced Support For Deeptech, ESOP Taxation On Startups’ Wishlist For Budget

Our next horizon for startup enterpreneurship is really about core technology and innovation, which has a different playbook and different gestation period. So a lot more support for core research and development, engineering, product development, manufacturing related...precision manufacturing for instance...spacetech, deeptech, biotech. The next horizon is core deeptech engineering-related innovation in India

New Delhi: Ahead of the Union Budget, the startup industry on Thursday made a pitch for enhanced support for deeptech ventures, as well as thematic financing for critical technology domains.

Speaking at the National Startup day event -- which celebrates nine years of Startup India programme -- Anjali Bansal, Founder of Avaana Capital, said: “Startups have been in an extremely supportive policy regime over the last few years. Our next horizon for startup enterpreneurship is really about core technology and innovation, which has a different playbook and different gestation period. So a lot more support for core research and development, engineering, product development, manufacturing related...precision manufacturing for instance...spacetech, deeptech, biotech. The next horizon is core deeptech engineering-related innovation in India.”

Accel India Founding Partner Prashant Prakash said just like sharp focus on AI mission, multiple areas, including deeptech, need to be spotlighted.

“Sector-specific funds...just like we have the AI mission...we need specifically for multiple deeptech areas. Also, the ESOP taxation issue, it is still a pending issue. Just like we had a disruptive initiative in the last Budget on the angel tax, we are hoping we will see something on ESOP taxation this year," he said. Bansal said financing and public infrastructure build-out for supporting some of the deeptech areas would be key. "...thematic financing that is aligned with national priorities like AI, but also a whole host of other deeptech technologies is what we would like to see even more support for, perhaps thematic funding, incentives and mandates," she added.