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State to launch new startup policy to encourage budding entrepreneurs
The policy aims to register 5 lakh technically-skilled youth, including ITI students, 10th-pass candidates, and beneficiaries of the Vishwakarma scheme, as pre-innovators. These individuals will receive financial assistance in the form of collateral free loans ranging from 5 lakh to 10 lakh
Pune: To boost grassroots entrepreneurship and formalise traditional enterprises, the state government is finalising a comprehensive ‘Startup and Innovation Policy’. Designed in consultation with senior bureaucrat Pravin Pardeshi and renowned scientist Dr Raghunath Mashelkar, the policy aims to scale up startups and innovation through structured support.
The policy aims to register 5 lakh technically-skilled youth, including ITI students, 10th-pass candidates, and beneficiaries of the Vishwakarma scheme, as pre-innovators. These individuals will receive financial assistance in the form of collateral free loans ranging from 5 lakh to 10 lakh, with the government subsidising 50 percent of the interest. The objective is to enable them to launch real businesses from day one, gaining hands-on experience before progressing to the next stages of innovation and entrepreneurship.
After one year, a simple aptitude test will help identify one lakh candidates, who will advance to the next stage as ‘innovators’. They will receive technical, financial, and marketing guidance through district level expert groups. Two years into the programme, 25,000 innovators will transition to the third stage of full-fledged startups, eligible for funding from central, state, and private sources.
State officials highlighted the need for such a programme, pointing out that even after 10 years of national startup programmes, India has only 1.6 lakh registered startups, with a success rate of just 10%. According to them, most aspiring entrepreneurs lack real world business exposure. “Innovation without experience rarely succeeds. Our model ensures that each individual starts by doing real business,” said a senior government official.
The policy also aims to convert traditional family-run businesses in agriculture, dairy, handicraft, and other sectors into scalable startups. To support this, the state will establish innovation hubs and micro incubators at the district level. Each ITI in the state will house an Innovation Centre, providing space for skill development, product display, industrial exhibitions, and recruitment drives.
Another key component is the Chief Minister’s Innovator Scheme, which will provide collateral free loans to technically-skilled youth. These loans will carry a 50% interest subsidy, and borrowers will be granted a one-year moratorium, with no direct subsidy being transferred to individuals. The subsidy will go directly to financial institutions
The policy offers significant incentives for industry partners as well. These include tax benefits, reimbursement on seat fees, permission to use ITI campuses for exhibitions and job fairs, and access to campus space for product sales and services. Industry partners will also be allowed to run additional batches and skill courses through affiliation with Maharashtra’s Skill University.
Officials say the policy is not only about promoting startups but also about ensuring employment, skill building, and enterprise development.
Minister Mangal Prabhat Lodha said, “We are changing the entire face of ITIs. A new government resolution (GR) will be issued within the next two months, which will completely transform ITIs. We are providing everything necessary to renovate these courses. We are even starting training programmes for teachers. I was shocked to know that some teachers haven’t received any training in the last 35 years. How can they effectively teach students without it? Deputy chief minister Ajit Pawar has allocated 10 crore to start a teacher training centre at Aundh.”
Lodha also said that from this year, ITIs will be equipped with electric vehicles, drones, solar technology, robotics, and additive manufacturing. “These ITIs will include both machinery and expert support. If any machine stops working, an expert will be available on site, so there will be no need to wait for a long time to get it repaired,” said the minister.
When HT asked him about the lower number of student registrations in ITIs of late, the minister responded, “We were unaware of this situation. We were only focusing on admission numbers which are increasing every year Now, we will focus on this issue. We are introducing many changes this year, and we are confident that students will definitely take admission.”
Starting this year, six new courses are being introduced in ITIs across the state. Each ITI would launch one or two courses based on the specific needs of the industries in their surrounding area.
“ITIs should also consider launching popular courses that are in high demand. Short-term courses ranging from three to six months can also be started to generate extra revenue and promote institutional growth,” said Lodha.
