India Pledges Additional ₹10,000 Crore for Deep Tech Growth

In a significant move to boost India’s deep-tech ecosystem, Commerce and Industry Minister Piyush Goyal announced that the government has allocated an additional ₹10,000 crore under the Fund of Funds scheme. 

The announcement was made during an event organised by IIT Madras and its alumni association in Bengaluru. This funding, which follows a previously committed tranche of ₹10,000 crore, is aimed at supporting innovation, cutting-edge technologies, and the next generation of Indian startups.

Government Push to Power Deep-Tech Innovation

“Having now committed the entire first tranche of Fund of Funds of ₹10,000 crore in the last Budget, another ₹10,000 crore has been provided,” Goyal said. He emphasised that this round of funding will primarily support the deep-tech ecosystem. “We are just formulating the guidelines and the full money goes to promote innovation, absorption of newer technologies and the deployment of newer tech in contemporary fields,” he added.

The government had earlier announced the initiative in the Union Budget to catalyse the emergence of next-generation startups, amid concerns that private sector spending on R&D continues to lag despite various incentives. Minister Goyal has consistently urged Indian entrepreneurs to shift from being the world's back office to becoming global leaders in technology and innovation.

#100DesiDeepTechs Initiative Gains Momentum

Coinciding with the fund announcement, the Startup Policy Forum (SPF) has launched #100DesiDeepTechs, a multi-stakeholder initiative aimed at identifying and supporting 100 top-tier deep-tech startups across India. 

Developed in collaboration with Startup India (DPIIT), MEITY Startup Hub, and IIT Madras, the programme is focused on strengthening policy dialogue and bolstering the deep-tech landscape.

The programme invites applications from Indian deep-tech startups, offering selected participants access to closed-door policy discussions with industry and government stakeholders. These deliberations will culminate in a white paper containing regulatory recommendations. Focus sectors include semiconductors, defence, quantum tech, green hydrogen, space, drones, electric vehicles, biotech, robotics, advanced manufacturing, and communications.

The #100DesiDeepTechs cohort will receive guidance from a Mentor Board comprising founders, investors, policymakers, and domain experts. The initiative will conclude with the release of the white paper at “Deeptech Baithak,” a forum that will also inaugurate SPF’s Centre for Deep-Tech Policy Research.

Read More: SEBI Plans Awareness Drive on F&O Risks, Cyber Fraud, and Promotes Smarter Investing!

Conclusion

The Indian government’s proactive approach, marked by a renewed ₹10,000 crore investment and collaborative initiatives like #100DesiDeepTechs, signals a strategic thrust towards deep-tech innovation. With the sector witnessing a 78% rise in funding to $1.6 billion in 2024, the momentum is strong. As Goyal noted, India’s readiness to adopt new-age technology is pivotal to sustaining growth amid global headwinds.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.