Sagarmala Innovation and Startup Policy

Draft "Sagarmala lnnovation and Startup Policy" Ministry of Ports, Shipping and Waterways 1 Background and Context lndia comprises a signilicant size maritime sector with 12 lt/ajor and 200+ Non- l/ajor Ports situated along its 7,500 km long coastline and a vast network of 14,500 km of potentially navigable wateruays. The country's maritime sector plays a crucial role in its overall trade and groMh, with g5% of the country's trade volume and 65% of the trade value being undertaken through maritime transport. Due to strategic location on key international maritime trade routes; lndia has embarked on the ambitious Sagarmala Programme to promote port-led development in the country. The vision of the Programme is to reduce logistics cost for EXltt/ and domestic trade with minimal infrastructure investment and this vision is being realized by port modernization, port led industrialization, enhancement of seamless port connectivity & coastal community development. ln pursuance with the above objectives, Ii/inistry ol Ports, Shipping and Waterways (MoPSW), through Sagarmala Programme, has been working on skill development and applied research inrtiatives to improve skills, technology usage and practices in the lndian maritime sector. lt has setup the National Technology Centre for Ports Waterways (NTCPWC) at llT lvladras, Centre of Excellence in lvlaritime and Shipbuilding (CEMS) at Vishakhapalnam and Mumbai and Centre for lnland and Coastal lVlaritime Technologies (CICMT) at llT Kharagpur. lt is also working on optimally using unused building in major ports (Jawaharlal Nehru Port, New l\/angalore Port, Chennai Port, Vishakhapatnam Port etc.) to create Multi Skill Development Centres (lt/SDCs) that can provide skilled manpower requirement to the port and maritime sector. MoPSW now envisages leveraging this background work to establish an innovation and entrepreneurship ecosystem for the maritime sector by operationalizing the "Sagarmala lnnovation and Startup Policy". This entails intensive collaboration of It/oPSW academic and training inslitutions, private sector and convergence of different Ministry schemes (Startup lndia, etc.) to develop an ecosystem to groom fresh ideas/ approaches to address and solve issues of the lndian port and maritime sector. 1.1 Challenges faced by Maritime startups ln the last 5 to 6 years, especially after the launch of Startup lndia campaign, there has been a continuous boom of startups in all industries, especially road transportation-logistics, agriculture, fashion, medical, e-commerce, etc. through Digital or lMobile App based technology as aggregation platform. But there was a noticeable absence o{ startups in maritime sector, despite the presence of lncubators all over lndia either on private basis or under schemes likeAtal lncubation centres. Following are the challenges and needs lor rise of maritime startups in lndia, . Lack o1 vast maritime specific ecosystem and induslry coordinalion for startups, so the creation of a solid sectoral innovation ecosystem is very imporlant to bring funds and support startups . lt/aritime startups are often hardware startups, rather than generally found software or app-based startups, and such hardware-based innovations require much higher financial support over time. This, combined with lack of sectoral private funding, are impediments for generating and deploying new ideas and creation of viable business model . Need lo enhance visibility ol startups and interaction with companies for market creation . Within the startup community, there is liltle in{ormation on various port and maritime seclor processes and priority areas. Hence, there is a need for dissemination of this information through startup ecosystem, incubators and various other stakeholders . Need to create an ideation-stage seed fund and to bring maritime professionals into angel investor's pool to bring lunding at initial stages . It/entorship from various sector associations, successful entrepreneurs and induslrialists is required to guide startups . Support from Government entitles for fast tracking the project activities related to ideasi concepts of startups is needed . Networking beyond country boundaries and participation in international projects can benefit startups in the sector . Lack of ancillary industry network or conlacts for protolyping and pilot project detailing needs lo be resolved . Lack of industry co-ordination centre to start joint industry proiects with participation of ship owners, shipyards to get lN KlNb support to startups . Ever growing lnternational regulatory requlrements including IMO Regulations, green ports, environment, safety and security . Current stadups are working in silos and there is a need to bring them together to avoid duplication, make alliances, assist each other and expand themselves through networking .1 .2 lt,laritime Startup's growlh stages compared to Other Startups Ivost of the marilime innovations involve complex hardware, governed by climate change and marine pollution regulations, so it takes at least 2 years to reach a minimum viable product. Even in case of digital solutions, it is not easy to implement startup products and services due to varied stakeholders involved due to regulations of state, central and international requirements. There is a higher exlent oJ sensor use in shipping, making digitalization a costlier affair due to monitoring, reporting and veri{ication regime adopted by IMO regulations to gain the trust, avoid loopholes in manne safety and pollution control measures. Therefore, early-stage Seed funding will be required to complete minimum viable product in small scale to pilot scale phases.-) STARTUP DEVELOPMENT PHASES oo €.t bll.hlno Figure 1: Long development phase lor Maritime Startups, lrom ldeation to Validalion 10 Cerlilication p Lilec ! A &rowlh, Late. Stir'}(} *ip" prritoryprr ' ?rort.r.i.ri..k rn : r.:t:,!aa..at,tra .i ,.r!. i olYrtr. t vtnu. tlr..ht Figure 2: Possible Stages and funding synchronization for Maritime Startups 2 Startup Policy Vision and Focus Areas This policy document lays down the {ramework to help maritime sector stakeholders, innovators and startups to co-create the luture of lndia's maritime sector. lt taps into the wider Blue Economy to extend financial, regulatory, technical, marketing support to startups through incubators and accelerators al various institutes. 2.1 Stariup Policy Vision . Bring ideas, innovative technology and entrepreneurial talent for port, shipping and wateMays sector led prosperity to create new iobs and technological selt sufficiency . Make lndia competitive with developed countries 1o achieve lion's share in lhe worldwide maritime market . Develop ecosystem 10 support maritime startups rom technical, regulatory, f financial and marketing point ol view by bringing stakeholders together 2.2 Key Focus Areas The lollowing are the key focus areas for the startups that can be considered during the irst three years ol the policy implementation: f a. Decarbonization of Maritime lndustry and Green Port Technologies b. Optimizing processes, improving efficiency and creating scale in the maritime sector using Artilicial lntelligence and Machine Learning (Al&ML) f(e.g. vessel{racking data using position analytics, improving logistics supply chain through technology) c. Enhancing security, transparency, and the traceability o{ data inputs Using-1 block chain for shared ledger d. New age maritime education and lraining through simulation & augmented reality e. Enhancing cargo and passenger movement utilizing multi-modes of transport f. Strengthen manufacturing processes through applications and innovation (e.9. 3D printing etc.) g. lnnovations in the field of alternate/ advance materials applicable in maritime sector h. Augmentation of Maritime Cybersecurity, i. Development of smart communication including satellite programs for maritime and waterways. j. Advancement of marine electronics k. Direct transferable product application to the port and maritime sector including Next generation e-Navigation, Smart technologies that automate processes l. Upliftment of coastal community Both financial and nonJinancial incentives have been detailed in this Policy. The mobilization of these incentives will help to establish a longterm action plan, network, infrastructure, and other resources to build a robust maritime innovbtion ecosystem 3 Framework for Policy lmplementation The framework is designed to evenly, as best as possible, distribute responsibilities and benefits towards supporting the maritime startup eco system in the country. The Framework is not only uselul for entrepreneurs with innovative ideas but to every industry stakeholder as a new form of business model to ensure economic justice to anyone risking his/her investment in Maritime Startups. The overall governance of the program shall be carried out by Apex Committee. Maritime lnnovation Hub (ltrllH) would be created as a separate vertical at the lnstitute/ Organization nominated by [i/oPSW. [/lH will act as a focal point for all startup activities in maritime sector for that lnstitutei Organization and shall include a mix of working facilities for incubators/ accelerators, fabrication space for prototypes, rental co-working spaces (for startup offices) and event space etc. The nomination of lnstitute/ Organization by IVoPSW for creation of MIH shall be on suo-moto basis or on the evaluation of proposals received from existing lnstitute/ Organization seeking to be part of this policy's framework. 3-1 Apex Committee The Apex Committee will provide overall guidance and approval to the Programme. lt will monitor and periodically review the progress made by MIH of various lnstitute/ Organizations. The Committee may also specify/ modify the eligibility and evaluation criteria lor Startups, lncubators and Accelerators. The Apex Commitlee shall initially consist of the lollowing members5- 1. Secretary, MoPSW - Chairman 2. Chairman, lnland Waterways Authority of lndia - [Vlember 3. Additional Secretary, MoPSW - Member 4. Additional Secretary & Financial Advisor, MoPSW - Ir/ember 5. Joint Secretary, Shipping - Member 6. Joint Secretary, Ports - Member 7. Chairman, lndian Ports Association - Member 8. At least 2 Experts on nomination basis (from organisations like Start up lndia/ lN/U/ CSL, DG Shipping etc.)- Ivlembers 9. Joint Secretary, Sagarmala - Member Secretary 3.2 [\.4arilime lnnovation Hub (IVIH) The policy for promotion of startups in the maritime sector will be implemented through MIH vertical created at lnstitute/ Organization nominated by tt/oPSW. lnitially, NTCPWC llT, Madras shall act as nominated institute for developing tr/lH under this policy. It is expected that in near future, Ir/lH will also come up in other centre of excellences, educational institutes and private sector. MIH's shall meet the strategrc objectives described below: . Serve as the hub of the startup ecosystem for national and international collaboration: ln order to maintain a thorough awareness of the worldwide maritime ecosystem of startups, organisations, and research institutions, MIH shall engage in knowledge-sharing and collaboration activities at national and international level (including non-maritime businesses).. As a result, the startups involved at IVIH will have access to resources including: . Technological advancement, success stories, and events taking place around the world; . Access to global subject matter experts, serial entrepreneurs, business leaders, and investors with the potential to get their entry and scaling in the lndia. . Develop centralized repository : MIH shall develop a central database for all pertinent information to assrst emerging entrepreneurs in the maritime industry. The information shall cover all aspects of maritime ecosyslem, such as business development, professional networking, educational programs, etc. . Develop incubators and accelerators - lr/lH shall setup physical facility for state- of-the-art incubators/ accelerators. The incubator/ accelerator shall be developed organically or by assislance/ collaboration with existing private players. . Attract investment - ln addition to the assistance ollered by this policy, IVIH is responsible for linding and enticing financial sources for eligible startup businesses and innovative maritime technology. Startups will receive assistance from IVIH in securing further capital from outside investors. . Entrepreneur development: MIH will offer the "know-how" sessions about the various aspects of the maritime industry to people of all ages, backgrounds and professions. The [\tllH will also offer students/ recent graduates/ professionals specialised knowledge programmes relating to entrepreneurship and startup ecologies. 3.3 Startup lr4onitoring and Evalualion Group (SEIVG) MIH shall be governed by Startup Monitoring and Evaluation Group (SEtr/G).-b- lnstitute/ Organization shall appoint at least one (1) full time personnel for handling day{oday operations and management of lvllH. SEIr/G shall initially consist of the ollowing members f 1. Head of lnstitute/ organization or olficial nominated by Head - chairman 2.2 Professors/ Principal Scientists on nomination basis from lnstitute/ organization in the areas of ocean Engineering, Naval Architecture, Al/ tt/ L/ loT etc. - Members 3. 1 Representative from 2 distinct tvlalor Ports each- Members 4. 1 Representative from MoPSW Organizations such as lnland waterways Authority of lndia (lwAl) and cochin Port Authority (csL) etc. based on focus area of MIH- Member 5. 1 Representative from Directorate General ol Shipping (DGS) - It/lember 6.2 expe( members on nomination basis from the starlup ecosystem, invesiors, experts in the domain of R&D, technology development and commercialization, entrepreneu rship and other relevant domains - Members 7. Personnel appointed for management of MIH - lVlember Secretary ln case, sElvlG feels that requisite expertise is not available, additional domain experts from academia/ industry/ other R&D organizations may be nominated, as required. The following are the functions of the SE[/G: 1. Operationalizing the Startup Policy in respective lnstitute/ Organtzation 2. Driving all necessary approvals, initiatives and funding for the Policy' 3. Development of MIH in line with this policy ob.iectives. 4. Finalization of Problem statements and setting up evaluation criteria for startups 5. Ensuring the flow oi funds to the selected startups through Accelerators and lncubators 6. Screening, shortlisting and selection ol the eligible startups for funding under this policy 7. Regular identilication of bottlenecks in ecosystem and resolving these bottlenecks B. Monitoring the progress of the lvllH atlnstitute/ organization and maritime innovation ecosystem across the country as a whole and provide perlormance reports to the MoPSW at regular intervals (including KPls provided in Annexure l). 9. Suggest Policy interventions to tvloPSW which will promote a conducive environment for Start Ups in lvlaritime Sector. .1 0. Ensuring that objectives of MIH are fultilled including mobilization of stakeholders (investors, academia, mentors, State Govt bodies, corporates, etc.) and other resources for maritime startups. 3.4 Sagarmala Startup Portal (SSP) IUopSfr shall develop and implement of Sagarmala Startup Portal ISSP) for the ouroose of this policv. The p<irtal shall be single window solution for all startup -actiuities' inclJding the details of startufl initiatives, publication of problem ief dieO statement, application protess and other knowledge resource etc' The broad guidelines for development of portal are provided inAnnexure l'- -'7 MoPSW reserves the right to select the portal development and management lll agency through nomination or tender basis. NTCPWC Madras shall be nominated, initially, to develop and implemenl of SSP. 3.5 lncubators and Accelerators Guidelines TTCHNOTOGY RTADINESS LTVEI (1RL) Z : O a) 6 5 t' For any Startup related to innovation or product development, there are Technology or Business Readiness Levels (TRLs) as illustrated by following figure. t Mostly TRLs 1-3 happens in the institutes and 4 to happens in real world industry environment; where regulatory, financial, and marketing help will be crucial lor success of any startup. For maritime seclor, this is more evident due to size of hardwares, costs and stringent regulatory aspects. So, based on TRL levels and startup requirements, lncubators help trom TRL 1-3/4 and the Acceleratoas help {rom TRL 4-9 is very important. 3.5. 1 Scope of work {or lncubators The main functions of incubators will be to support the startup fromTechnology Readiness level 1-3 for the following oiferings: . To provide the handholding support to startups for developing their products and concepts . ln depth calculations, study, design, data analysis, help for soltware's related to simulations and hardware resources related to experiments, prototyping and product development . Provide recommendations to the SEMG for evaluation of applications ior incentives under this policy to the startups being incubated by it . Provide working space, mentorship, business plan assistance, support in finance/ admin/ HR/ legal functions, etc. for startups which may not be even registered as companies . Any other functions as decided by the SEMG 3.5.2 Scope ol work for Accelerator The main functions of Acceleralor will be to support the startup lromTechnology Readiness level 4-9 for the lollowing olferings: . To provide recommendations to the SEI\/G for evaluation oi applications for incentives under this policy to the startups-b' . To provide 360-degree support to Startups for expansion in the market . To prepare feasibility report for technical or business animations, modelling, and dala analysis, technical calculations . To form/ Jacilitate consortium for undertaking joint industry pro.jects . To work with regulatory agencies for getting ln-principle approval for startup concepts/ products . To empanel maritime experts and mariners as mentors and angel investors tor pitching the ideas and funding. . To tie up and arrange funding for startups from other funding sources . To coordinate with shipping companies for onboarding pilot prolect testing in real waters and at commercial scale . To provide support in participating in exhibitions and international events for possible customers and scale up . To participate and disseminate information from lfUO-DG Shipping related international projects . To tie up with international marine accelerators, technology centres, companies and venture lunds for scaling up Startups e.g. Port XL, pier 7.1 , Liquid Grid, Rainmaking, Maersk-Centre tor Zero Carbon Shipping . To provide legal and accountancy back up to startups for lp-patent filing, Company registration, annual filings and closures 4 Funding and Other Support for lVlaritime Startups 4.1 Financial support to lvlaritime Startups MoPSW shall earmark a corpus amount yearly for funding the startups in the key focus areas, as may be decided by its Apex Committee from lime to time. The available funding under this policy will be utilized to help maritime startups to reach minimum viable product level, to develop proof of concept, for market expansion, elc. The following are the funding support available to startups: 4. 1.1 Seed Fund Scheme 1. This will be available to select startups that are part of incubators/ accelerators that are setup under this policy. Under this, financial assistance of a maximum of Rs. 50 lakhs will be granted to potential startups to create a minimum viable product/ services (MVp) based on innovative solutions/ processes / products/ services/ business models in shipping and maritime sector. The applicant would be provided funds as per their genuine requirements and as per appraisal/evaluation of their business plans by the SEMG. 2. Expenses for the following broad activities would be supported under this programme: a. Prototype Development or Proof of Concept or Product Trials b. Expenses on data generation/data acquisition for ideas working on lT side/Al side c. Fees for lP issues/one{ime technology licensing fees-1- d. lvlanpower for day-to-day operations but not promoter's remuneralion e. Dayto-day operational expenses like electricity bill, incubation charges etc. f. Procurement of web hosting space, soltware licenses, marketing tools etc. 3. The grant shall be disbursed in milestone-based instalments. These milestones can be related to development of business plan, development o1 Minimum Viable Product etc. The milestones will finalised by SEti/G and startup at the time of evaluation of proposal of the startup. 4. The maximum limit of Rs.50 lakh may be relaxed for outstanding and strategic startups & ideas as decided by SEI\/G. 5. Seed fund shall strictly not be used by startups for creation of any lacilities and shall be utilized for the purpose it has been granted for 4.1.2 Tech Pilot Grant 1. This will be provided to select startups for the commercialisation of proprietary technology including market entry or scaling up. The Tech Pilot Grant will be amounting to a maximum of Rs. 100 lakhs per startup. 2. Expenses for the following broad activities would be supported under this programme: a. Market entry, Commercialisation or scaling up b. Manpower lor day{o-day operations bul not promoter's remu neration c. Day-to-day operational expenses like electricity bill, accelerator charges etc. d. Procurement of web hosting space, software licenses, marketing tools etc. 3. The grant shall be disbursed in milestone-based inslalments. The milestones will finalised by SEMG and Startup at the time of evaluation of proposal of the startup. 4. The maximum limit of Rs. 100 lakh may be relaxed for outstanding and strategic startups & ideas as decided by SEMG. 5. Tech Pilot Grant fund shall strictly not be used by startups for creation of any facilities and shall be utilized for the purpose it has been granted for 4.1.3 Support from lr/oPSW Subordinate Offices, Autonomous Agencies and Public Sector Underlakings All MoPSW organizations including the Major Ports, lWAl and CSL shall endeavour to create "Launchpads" for providing necessary handholding and field support to selected startups. Launchpads may be developed in collaboration with IUIH created under this policy. Launchpads shall be utilized lor the lollowing (including but not limited to): 1. Carrying out Proof oi Concept trials and subsequent extended trials for establishing the product perlormance in field environment 2. Facilitate pilot projects for nominated maritime startups. 3. Establishing working space at subsidised rates (preferably zero rental for 5 years; subsidized rentals for next 5 years) 4. Adoption of products and solutions on priority/ nomination basis._1.- The SEMG may seek support of Launchpads for startups under its Ir/lH. lf required, representative from such organizations may be made part of SElr/G for better evaluation and support. 4.1 .4 Process of f unding to lnslitute/ Organization The following details will be utilised with regard to funding under this policy: 1. The lnstitute/ Organization nominated be It/oPSW shall prepare a proposal clearly explaining the available resources, inlrastructure and action plan to operationalise and augment the startup ecosystem under this policy and send it to Sagarmala Wing of It/oPSW. 2. The proposal shall be appraised and approved by the Apex Committee. A Grant of up to Rs. 10 (ten) crore shall be provided to an approved lnstitute/ Organization in milestone-based instalments (minimum 3 instalments 40%, 40%,20%). The quantum of grant for each lnstitute/ Organization shall be finalised by the Apex Committee based on proposal of lnstitute/ Organization. 3. A component ol lVlanagement Fee @ 5% of grant to the lnstitute/ Organization will be provisioned for administrative expenditure including functions of SEMG (selection and due diligence of startups, and monitoring of progress of beneficiary startups). For e.g. il an lnstitute/ Organization is granted Rs. 1 crore of grant, then by including management fee @ 5%, the total assistance would be Rs. 1.050 crore. The management fee shall not be utilised for facility creation. 4. The grant will be disbursed to the lnstitute/ Organization in a separate account created for the purpose of IVIH vertical as per fund flow procedures defined by It/inistry of Finance. 5. When the cash-in-hand of the MIH vertical goes below 10% of the total commitment by lVoPSW, the lnstitutei Organization may request lor the next instalment, which shall be released to Institute/ Organization on submission of proof of achievement of KPls and funds utilization certificate. 6. Apex Committee shall carry out periodic reviews based on a reporting mechanism to be finalised with lnstitute/ Organization from time to time (at least half yearly). The broad list of Key Performance lndicators is provided in Annexure ll. 7. An lnstitute/ Organization can re-apply for funds under the policy when MIH vertical has disbursed or committed its entire previously released grant. B. ln case ol poor performance of any selected lnstitute/ Organization, Apex Committee may decide to discontinue fund support and take further action, as may be required. The un-utlized funds (including interest amount) shall be remitted to Government of lndia as per applicable rules and procedures. 4.2 Other support to Maritime Startups through lt/oPSW Once the Pilot Project is successful for any sta(up, the following initiatives may be taken up by the lr,/oPSW on recommendation of SEtvlGs. 4.2.1 Relaxation for Public Procurement lf in any tender bidding especially Government one, the maritime startups would be given relaxation as given in the General Financial Rules 20.17. MoPSW may further provide exempt/relaxation from financial qualification and experience requirements for manufacturing inlensive startups.\t- - 4.2.2 Procurement through Tender lVloPSW or its associated organizations may invite tenders for providing solutions to specific problems that can be solved by startups or explore alternative models. 4.2.3 Procurement lhrough Subcontracting Tender documents may also incentivize the winning bidder to engage startups as sub-contractors to deliver solution and services through Startups under the lncubators/ Accelerators approved under this Policy, by exemption and relaxation in case of any sub-contracting eligibility criteria (i.e., turnover, experience) stated in the bidding contract. 4.3 Other support to lt4aritime Startups through ltrllH 4.3.1 Buyer-Seller lt/eets Many times, Government entities are not apprised of the innovative technologies that exist in the market. To lacilitate this information exchange, dedicated buyer- seller meets shall be organized between Government departments, PSUs, and autonomous bodies and startups. Many of the startup products may be a ready lit for the Government departments to procure and hence shall provide a great push in helping the frugal innovations. 4.3.2 Annual Startup Awards Every year select startups will be recognized on an All-lndia basis based on their innovation and impact to the maritime sector. These select startups will be taken up by lncubators and Acceleralors, under this policy, for their turther growth. This event maybe linked to any national maritime event or be conducled separately. This event will be organized at MIH ol Instltute/ Organization nominated by MoPSW on rolling basis. 4.3.3 Technical Knowledge Support for VCs A lot o{ VCs do not actively invest in sectors that they do not have technical experlise in. ln order to encourage the participation of VCs in the shipping space, MIH vertical oJ the lnstitute/ Organization may collaborate with VCs to carve a space for shipping startups in the respective VC's investment thesis. 4.3.4 Support to Non Registered Startups/ lndividuals/ Groups with ideas in Maritime Sector lf a studenUs or individual/s approache the MIH with an ideas that has potential in the Maritime Sector, MIH shali brovide requisite support to student/s or individual/s for registration of startup and availing Departmenl for Promotion of lndustry and lnternal Trade (DPllT) iecognition. Post which, the startup may seek support provided in this policy. 5 Seleclion ol Startups to get funding under the policy 5.1 Procedure for selection The following process will be utilised with regard to funding under this policy: 1. lnstitute/ Organization shall constitute SEMG posl seeking commitment jrom various member. tr/lH vertical will be created at lnstitute/ Organization. lncubators/ accelerators shall be developed organically and/ or lrom private sector at the MlH.2. Sagarmala Startup Portal, which will have details of the start up program, eligibility criteria, application form, contact details and FAQ's etc., will be used for the purpose ol this policy. 3. The startups shall be selected through an open, transparent and fair process, as per the approved policy, as amended from time to time. tr/lH will run online and offline campaigns to popularize this initiative and will reach out to startup community, institutions for better reach, visibility and soliciting applications. 4. SEMG shall create the problem statements. An online call for applications shall be hosted on an SSP ongoing basis (at-least half yearly). Applicants can apply for funds to any MIH of their prelerence. 5. Once the application deadline is over, All applications received will be shared online to incubators/ accelerators of the MIH selected by the startup. lncubators/ accelerators shall shortlist the applications based on the business proposal or the pitch deck submitted by startups conducting appropriate scrutiny and due diligence in line with eligibility criteria guidelines provided in section 5.2 (including but not limited to functionality, economic viability, team, educational background, product/service overview, business model, customer profile, market size, quantum o1 funds needed, pro.iected utilization plan lor funds and R&D capability etc.) 6. The shortlisted application shall be proposed to SEMG for approval by lncubators/ accelerators. lncubators/ accelerators may recommend startups on suo-moto basis. 7. SEMG selection meeting shall be organized lor tinal approval of shortlisted startups in line with criteria guidelines provided in section 5.3 (or as finalised by SEMG). It/inimum quorum for a SEMG selection meeting to happen is 7 and SEIvIG can opt- in additional members for required expertise. The shortlisted applicants shall be asked to pitch/present the idea to the SEMG. SEMG may request additional information from startup, il necessary, for evaluation. 8. SEMG shall arrive at final selection of startups through voting. Additional members nominated specifically for selection meeting shall not have voting rights. Along with the approval, SEMG shall clearly define the amount of grant, milestones for payment and KPls for evaluation tor startups. 9. lf solutrons offered by startups are sufficiently diflerent, SEI\/G may select two or more startups for one problem statement, 10. The detailed minutes of SEMG selection meeting and the list of selected startups shall be circulated among SEMG members and MopSW for information and suggestions (if any). 11. On approval, lncubator/ Accelerator shall reach oul to the startups and facilitate the lunding to them. The incubatori accelerator shall perform comprehensive due diligence before executing a legal agreement with the selected startups. The release of the grant to startup shall be post agreement. Subsequent disbursement shall be linked to the achievement of previously- specified milestones as per agreement between the startup and incubator/ accelerator. 5.2 Eligibility Guidelines The guidelines shall be as follows and in line with the Seed Fund Scheme oJ Startup lndia initiative:_tg- 1. At the time of application, startup shall be incorporated a. Seed Fund Grant: Not more than 2 years ago b. Tech Grant: Not more than 5 years ago 2. Startup must have a business idea to develop a product or a service with market fit, viable commercialization, and scope ol scaling. 3. Startup must have the solution or product in the maritime sector for Focus Areas as specified in this Policy. 4. Startup should be using technology in its core product or service, or business model, or distribution model, or methodology to solve the problem being targeted. 5. Startup should not have received more than Rs l0 lakh of monetary support under any other Central or State Government scheme. This does not include prize money from competitions and grand challenges, subsidized working space, {ounder monthly allowance, access to labs, or access to prototyping facility. 6. Shareholding by lndian promolers in the startup should be at least 51% at the time of application to incubator/ accelerator for the scheme, as per Companies Act, 2013 and SEBI (ICDR) Regulations, 2018. 5.3 Selection Criteria Guidelines The SEMG shall consider the {ollowing guidelines for selection ol Startups: 1. The incubators and accelerators would need to submit in the proposal the / details of team profile, problem statement, product service overview, business model, quantum ol funds needed, utilisation plan for funds and any other detail as may be required by the SEMG to select a startup under this policy. 2. The following provldes the indicative weights basis which the applications will be evaluated by the SEMG: S No. Criteria Details Weightage (%) ls there a need Market size, what market gap is it 1 it a lor this idea? filling, does solve real-world P"/" problem? 2 Feasibility and reasonability of the technical claims, methodology used/ Feasibility to be used for Prool of Concept and Q% for validation, roadmap product development 3 Maritime sub-sector focus oI the Potential startup, technology implemented and R% lmpact the measurable impact 4 Novelty USP of the technology S% 5 Strength of the team, Technical and r"k Team Business Expertise in maritime sector 6 Fund Utilization Roadmap of money utilization U% Plan Total 100/" signed bY the SEMG-tq - 3. The SEI\/G shall finalise the criteria and weightages for selection o1 the startups under this policy and present them during the proposal lor seeking funds from the Apex Committee. 6 Review MoPSW reserves the right to review and modify the sections ol the policy at any time. The programme will be subject to mandatory review every year. The programme will run for at least 5 years. 7 Annexure l:Guidelines for Sagarmala Startup Portal (SSP) SSP would cover the following (including but not limited to): .l . Centralised resource: Portal shall provide details of lramework(including regulatory and funding support) as provided through this policy. lt shall also provide additional information such as market research, patent/ trademark facilitation etc. 2. Application Process: Portal shall be the primary source for startup application and scrutiny process including the details of IMIH established under this policy. Each MIH shall have separate login for the portal to upload problem statements and retrieve applications. The startups shall be able to select its preferred It4lH for application. 3. Networking: Portal shall have a marketplace for startups to share their work and get connected to relevant stakeholders in the maritime ecosystem. lt shall provide a platform for communication with mentors, corporates, industry stakeholders etc. 4. Commercialization: Portal shall also act as a single point of contact for all lPR, commercialization, and licensing related queries 5. Awards and events: One stop portal for competition and events around the worlds. lt shall also host the annual startup awards as described in this policy 6. Online learning: Portal shall provide tutorials for startups to gain a competitive edge in the market 8 Annexure ll: Key Performance lndicalors for evaluating I\,41H The following shall be tracked and recorded by lvllH for objective evaluation report: . 1 Number of relevant Problem Statement generated 2. Number and Growth of applicants, interests of entrepreneurs for enrolling 3. Number and Growth of Startups enrolled_tt - 'I . For Seed Funds 2. For Tech Pilot Grant 4. For the all the startups enrolled, as applicable 1. Progress of proof of concept 2. Progress of prototype development 3. Progress of product development 4. Progress of field trials 5. Progress of market launch 6. Quantum of loan, angel or VC lunding raised through external sources 7. Gain in Technological/ Business Readiness 8. Actual/ Expected return on investment for each Startup 9. Jobs created by startup 10. Turnover of startup 11. Cost Savings '12. lncrease in Efficiency 13. Sustainability and scaling ol startup '14. Adoption of product in the market 5. Participation of startups in events across the world 1 5. Number of stakeholder interactions carried out 6. Number of Know-How session carried out 7. Any other appropriate parameter as decided during proposal evaluation ol MIH