Executive Summary:
The Indian government addresses challenges faced by aspiring entrepreneurs, particularly in Tier II and III cities, regarding access to skill development, incubation, and export training. The response outlines various schemes and initiatives under Startup India, Make in India, and other industrial promotion efforts aimed at boosting entrepreneurship, supporting MSMEs, establishing incubation hubs, and improving ease of doing business. The information was provided in response to Lok Sabha Unstarred Question No. 1404 on July 29, 2025.
Key Points / Main Content:
Boosting Entrepreneurship:
* The Ministry of Skill Development and Entrepreneurship (MSDE) promotes entrepreneurship through initiatives like SANKALP, STRIVE, EAP, EDP, FDP, PMJANMAN, and Udyam Disha Mentor Platform.
* The Skill India Mission (SIM) provides skill, reskill, and upskill training via PMKVY, JSS, NAPS, and CTS through ITIs.
* The Ministry of Rural Development supports Self-Help Groups (SHGs) through the Startup Village Entrepreneurship Programme (SVEP).
* Startup India initiatives such as FFS, SISFS, CGSS, States Startup Ranking Framework, National Startup Awards, Innovation Week, Startup Mahakumbh, Startup India portal and BHASKAR, corporate mentorship programs, and district outreach are undertaken.
* The Ministry of Education's Innovation Cell (MIC) and AICTE promote innovation and entrepreneurship in educational institutions.
* The Ministry of Youth Affairs and Sports has introduced youth-centric initiatives through Mera Yuva Bharat (MYBharat).
* The Ministry of Minority Affairs (MoMA) implements skill development schemes like Seekho Aur Kamao and PM VIKAS for minority communities.
Supporting MSMEs:
* The Ministry of MSME promotes new enterprises and builds capacity through the Entrepreneurship and Skill Development Programme (ESDP).
* The Khadi and Village Industries Commission (KVIC) implements the Prime Minister's Employment Generation Programme (PMEGP).
* Various schemes such as PMEGP, Credit Guarantee Scheme for Micro and Small Enterprises, PM Vishwakarma Scheme, and others support MSMEs to enhance competitiveness and exports.
* The Udyam Registration Portal is linked with other platforms to facilitate credit, skilling, and recruitment.
* The Bureau of Indian Standards (BIS) offers concessions in processing fees for MSMEs for certifications.
* MSMEs have enhanced accessibility on the Government e-Marketplace (GeM) portal through API integration, marketplace filters, exemption from caution money, creation of online stores, and handholding support.
* Startups recognized by DPIIT can avail benefits such as exemption from Earnest Money Deposit (EMD) submission on GeM.
* Make in India 2.0 focuses on 27 sectors to facilitate investment, innovation, infrastructure, and manufacturing.
Promoting Incubation:
* Ministries and Departments promote incubation centers through initiatives like SISFS, TIDE 2.0, CoEs, RABIs, TBI, AIC, STPI, LBIs under ASPIRE, and BIRAC-backed incubators.
* The Ministry of MSME implements the MSME Innovative Scheme to support creativity and technology adoption.
Improving Ease of Doing Business:
* Initiatives like Business Reform Action Plan (BRAP), B-Ready assessment, Jan Vishwas, and Reducing Compliance Burden on Businesses and Citizens are undertaken.
* The Regulatory Compliance Burden (RCB) initiative supports Ministries, Departments, and States/UTs in reducing compliance burdens through simplification, rationalization, digitization, and decriminalization.
* The Regulatory Compliance (RC) Portal tracks actions taken to reduce compliance burden.
* The Jan Vishwas Amendment of Provisions Act, 2023, decriminalized 183 provisions across 42 Central Acts.
* DPIIT has undertaken an analysis of criminal provisions under the Jan Vishwas 2.0 initiative.
Impact Analysis:
Entrepreneurs (Aspiring and Existing):
* Impact: Access to improved skill development, incubation support, funding, and a more business-friendly regulatory environment.
* Action Required: Utilize available schemes, participate in training programs, register on relevant portals (Udyam, GeM), and stay informed about regulatory changes.
MSMEs:
* Impact: Enhanced support for growth, access to credit, technology adoption, and increased competitiveness in both domestic and global markets.
* Action Required: Register on the Udyam portal, explore available schemes, leverage GeM for procurement opportunities, and seek certifications.
Youth (Especially in Tier II and III Cities):
* Impact: Increased opportunities for skill development, entrepreneurship, and employment through various government initiatives.
* Action Required: Participate in skill development programs, explore entrepreneurship opportunities, and utilize available resources.
Government (Ministries and Departments):
* Impact: Responsibility to implement and monitor the effectiveness of various schemes and initiatives.
* Action Required: Streamline processes, reduce compliance burdens, promote awareness of available support, and track progress.
General Citizens:
* Impact: Benefit from a more robust economy, increased employment opportunities, and improved ease of living.
* Action Required: Stay informed about government initiatives and provide feedback to improve their effectiveness.
Key Entities Referenced
Startup India: A Government of India initiative to build a strong ecosystem for nurturing innovation and Startups in the country.
Make in India: A major national program of the Government of India designed to facilitate investment, foster innovation, enhance skill development, protect intellectual property and build best-in-class manufacturing infrastructure in the country.
Ministry of Micro, Small and Medium Enterprises (MSME): The ministry responsible for the formulation and administration of rules, regulations and laws relating to micro, small and medium enterprises in India.
Pradhan Mantri Kaushal Vikas Yojana (PMKVY): The flagship scheme of the Ministry of Skill Development & Entrepreneurship (MSDE) implemented to enable Indian youth to take up industry-relevant skill training that will help them in securing a better livelihood.
Department for Promotion of Industry and Internal Trade (DPIIT): A department under the Ministry of Commerce and Industry, Government of India, responsible for formulation and implementation of policies for promotion and growth of industry and internal trade.
Skill India Mission (SIM): An initiative of the Government of India to empower the youth with skill sets that make them more employable and productive.
Udyam Registration Portal: A portal for registering Micro, Small and Medium Enterprises (MSMEs) in India.
Government e-Marketplace (GeM): An online platform for procurement of goods and services by government departments and public sector units.
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE & INDUSTRY
DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE
LOK SABHA
UNSTARRED QUESTION NO. 1404.
TO BE ANSWERED ON TUESDAY, THE 29TH JULY, 2025.
ASPIRING ENTREPRENEURS
1404. SHRI ZIA UR REHMAN:
SHRI CHAMALA KIRAN KUMAR REDDY:
Will the Minister of COMMERCE AND INDUSTRY be pleased to state:
वाणिज्य एवं उद्योग मंत्री
(a) whether the Government is aware that a large number of aspiring entrepreneurs and
youth, especially from Tier-II and Tier-III cities, face challenges in accessing skill
development, incubation support and export-oriented training;
(b) if so, the details thereof along with the steps being taken under schemes such as
Startup India, Make in India, and other industrial promotion initiatives to boost
entrepreneurship, support MSMEs, establish district-level incubation hubs and improve
ease of doing business; and
(c) if not, the reasons therefor?
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)to (c) : Government has implemented various measures/schemes across the country
including in non-metro regions to promote entrepreneurship among the youth;
support Micro, Small and Medium Enterprises (MSMEs); promote incubation;
and improve ease of doing business. Details of such initiatives are placed as
Annexure-I.
****ANNEXURE-I
ANNEXURE REFERRED TO IN REPLY TO PARTS (a) to (c) OF THE LOK
SABHA UNSTARRED QUESTION NO. 1404 FOR ANSWER ON 29.07.2025.
1. Boosting Entrepreneurship
The Ministry of Skill Development and Entrepreneurship (MSDE) through its
autonomous organizations, namely National Institute for Entrepreneurship and
Small Business Development (NIESBUD) and Indian Institute of Entrepreneurship
(IIE) has taken various initiatives to promote entrepreneurship development
amongst all sections of the society. These initiatives include Skills Acquisition and
Knowledge Awareness for Livelihood Promotion (SANKALP) Scheme, Project
Swavalambini, Skill Strengthening for Industrial Value Enhancement (STRIVE),
Entrepreneurship Awareness Programmes (EAP), Entrepreneurship Development
Programmes (EDP), Faculty Development Programmes (FDP), Pradhan Mantri
Janjati Adivasi Nyaya Maha Abhiyaan (PM-JANMAN), Entrepreneurship
Development Centres (EDC) in North East Region’s Educational Institutions, and
Udyam Disha – Mentor Platform.
Under the Government’s Skill India Mission (SIM), MSDE provides skill, re-skill and
up- skill training through an extensive network of skill development centres/
institutes etc. under various schemes, viz. Pradhan Mantri Kaushal Vikas Yojana
(PMKVY), Jan Shikshan Sansthan (JSS), National Apprenticeship Promotion
Scheme (NAPS) and Craftsman Training Scheme (CTS) through Industrial Training
Institutes (ITIs), across the country.
Under the Ministry of Rural Development, the Deendayal Antyodaya Yojana-
National Rural Livelihoods Mission (DAY-NRLM) through Start-up Village
Entrepreneurship Programme (SVEP) supports Self-Help Groups (SHGs) and their
family members to set-up small enterprises in the non-farm livelihoods sector.
Under Startup India initiative, Fund of Funds for Startups (FFS), Startup India Seed
Fund Scheme (SISFS), Credit Guarantee Scheme for Startups (CGSS), States’
Startup Ranking Framework exercise, National Startup Awards, events such as
Innovation Week and Startup Mahakumbh, digital platforms such as the Startup
India portal and BHASKAR, activities to encourage corporates to supporting
startups by way of mentorship, access to infrastructure, sharing resources and
knowledge, assistance in market linkages and investor connect and district
outreach programs are undertaken to encourage grassroots innovation and setting
up of startups across the country by entrepreneurs.
The Ministry of Education’s Innovation Cell (MIC) and All India Council for Technical
Education (AICTE) promotes innovation and entrepreneurship across educational
institutions.
Youth-centric initiatives have been introduced by the Ministry of Youth Affairs and
Sports such as setting up of the autonomous body called Mera Yuva Bharat (MYBharat), the purpose of it, is to provide an over-arching institutional mechanism
powered by technology for youth development and youth-led development through
Experiential Learning Programs (ELPs), volunteering opportunities, mentorship
programme, etc.
The Ministry of Minority Affairs (MoMA) implements various skill development
schemes namely ‘Seekho Aur Kamao’, ‘Upgrading the Skills and Training in
Traditional Arts/Crafts for Development (USTTAD)’, ‘Nai Roshni’ and ‘Nai Manzil’
for socio-economic development of youth from minority communities. These
schemes and initiatives have now been converged into an integrated Scheme called
‘Pradhan Mantri Virasat Ka Samvardhan’ (PM VIKAS).
2. Supporting MSMEs
The Ministry of Micro, Small and Medium Enterprises (MSME) through
Entrepreneurship and Skill Development Programme (ESDP) aims to promote new
enterprises, build capacity of existing MSMEs and inculcate entrepreneurial culture
in the country. Ministry of MSME, through Khadi and Village Industries Commission
(KVIC), is also implementing Prime Minister’s Employment Generation Programme
(PMEGP) for assisting entrepreneurs in setting up of new enterprises in the non-
farm sector. Schemes to support MSMEs to make them more competitive at global
level and enhance exports, such as, Prime Minister's Employment Generation
Programme, Credit Guarantee Scheme for Micro and Small Enterprises, PM
Vishwakarma Scheme, Entrepreneurship & Skill Development Programme
Scheme, Micro and Small Enterprises - Cluster Development Programme, Raising
and Accelerating MSME Performance, MSME Champions Scheme, Tool Room and
Technical Institutions (TR & TI), International Cooperation (IC) Scheme etc. are
being undertaken. The Udyam Registration Portal for MSMEs has been interlinked
with Ministry of Labour and Employment and National Carrier Service and Ministry
of Skill Development & Entrepreneurship’s Skill India Digital for facilitating credit,
skilling, recruitment, etc. The Bureau of Indian Standards (BIS) has also notified
concessions in processing fees for MSMEs for the purpose of certifications.
Also, MSMEs are extended with enhanced accessibility on the Government e-
Marketplace (GeM) portal through: (i) API integration of GeM-Udyam Registration
databases to facilitate 2-step seller auto registration on the GeM portal upon
issuance of Udyam; (ii) marketplace filters and product catalogue icons to
distinguish products made by women and SC/ ST MSEs in Direct Purchase/ L1
modes of procurement; (iii) exemption from payment of Caution Money by Artisans,
Weavers, Self Help Groups (SHGs), women and SC/ ST owned micro and small
Enterprises, divyangjan/ persons with disabilities; and NGOs working with PwD,
Khadi Producers, Hunar Haat craftsmen, prison inmate products, ODOPs, FPOs,
etc. to promote social inclusion; (iv) creation of eight GeM #vocal for local online
Outlet Stores for listing and showcasing of products made by women MSMEs, SHG,
farmer producer organizations (FPO), artisans and weavers, and ODOP craftsmenamong others; and (v) handholding support to MSMEs for immersive onboarding
(from seller registration to product catalogue upload/ listing) through participation in
various fairs/exhibitions/trade shows/events, etc.
Startups recognized by the Department for Promotion of Industry and Internal Trade
(DPIIT) can also avail benefits such as exemption from Earnest Money Deposit
(EMD) submission, relaxation in prior turnover and prior experience on the GeM
portal. GeM has created necessary functionality on GeM portal allowing buyers to
provide such relaxations while creating the bids on the portal.
The ‘Make in India’ initiative was launched on 25th September 2014 to facilitate
Investment, foster Innovation, build best in class Infrastructure, and make India a
hub for manufacturing, design, and innovation. Presently, Make in India 2.0 focuses
on 27 sectors including 15 manufacturing sectors, implemented across various
Ministries and Departments and State Governments.
3. Promoting incubation across the country
Further, various Ministries and Departments are also promoting the development of
incubation centers across the country through initiatives like Startup India Seed
Fund Scheme (SISFS), Technology Incubation and Development of Entrepreneurs
(TIDE 2.0), Domain Specific Centres of Excellence (CoEs), Rashtriya Krishi Vikas
Yojana (RKVY) Agribusiness Incubators (R-ABIs), NIDHI Technology Business
Incubator (TBI), Atal Incubation Centres (AIC), Software Technology Parks of India
(STPI), Livelihood Business Incubators (LBIs) under ASPIRE, and Biotechnology
Industry Research Assistance Council (BIRAC)-backed incubators amongst others.
The Ministry of MSME implements MSME Innovative Scheme, an amalgamation of
Incubation, Design, and IPR schemes. The incubation component of the Scheme
aims to promote and support untapped creativity and the adoption of latest
technologies in MSME that seek validation of their ideas at 'proof-of-concept' level.
4. Improving ease of doing business
Initiatives aimed at simplifying and streamlining business regulations have also
been undertaken including the Business Reform Action Plan (BRAP), the B-Ready
assessment, Jan Vishwas and Reducing Compliance Burden on Businesses and
Citizens and measurement of Cost of Regulation. These initiatives are designed to
improve India's business climate, attract investments, and foster economic growth
by reducing compliance hurdles and making the regulatory environment more
business friendly thereby benefitting MSMEs, entrepreneurs, and startups.
Under, the Regulatory Compliance Burden (RCB) initiative various Ministries,
Departments, and States/UTs are supported in reducing the compliance burden on
citizens and businesses. The goal is to enhance Ease of Doing Business and Ease
of Living through four key strategies: Simplification of procedures, Rationalization
of laws, Digitization of processes, and Decriminalization of minor offences.Regulatory Compliance (RC) Portal has been developed for tracking action taken
by Ministries/ Departments and States/UTs to reduce compliance burden.
Also, to enhance ease of living and ease of doing Business, the Central
Government, through the Jan Vishwas (Amendment of Provisions) Act, 2023, has
decriminalized 183 provisions across 42 Central Acts administered by 19
Ministries/Departments. To further improve ease of doing business and ease of
living, DPIIT has undertaken an analysis of various criminal provisions (including
both major and minor offences) across multiple acts under the Jan Vishwas 2.0
initiative.
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