Gujarat Govenment announces new policy to boost IT based start-ups


AHMEDABAD : As part of Prime Minister Narendra Modi’s “Make in India” and “Start-up India” moves, Gujarat Chief Minister Anandiben Patel, on Sunday, announced her government’s new policy for promotion of information technology (IT) and electronic start-ups, envisaging setting up of 50 incubators to provide leadership and facilities to 2,000 start-ups over the next five years. 

Declaring the policy here at a press conference, the CM added that through the policy estimated investment of Rs 7,000 crore was likely to come in Gujarat which would also bring in lots of employment opportunities. Under the policy, IT and Electronics start-ups will get a number of incentives and financial assistance from the state government for two years and the successful start-ups will continue to get incentives and benefits under the broader IT/ITeS & Electronics Policy of Gujarat Government which have already been announced.

The BJP government also announced a slew of incentives for incubators and start-ups, including financial assistance of up to 50 lakh for fixed capital investment and up to 5 lakh per annum for guidance of start-ups. They would be given 100 per cent waiver on stamp duty and registration. Also, they would get a rebate of 100 per cent amount of electricity duty for five years and 50 per cent assistance for software purchase up to 1 crore to incubators.

For start-ups, the government’s incentives include partnership of start-up units for government’s e-governance project, up to 25 per cent equity-linked financial assistance in fund taken for venture capital fund, 100 per cent discount on stamp duty and registration fee and product development and marketing assistance, 15 per square feet per employee lease rental assistance, 2 lakh for local patent and 5 lakh for international patent and some other incentives up to 7 years.