T.N. is a forerunner in promoting and supporting start-ups, says MP Su. Venkatesan

As per the data, the number of start-ups and the investment recorded in New Delhi in the last three years was equal to that of Coimbatore district and this has displayed the State’s support to the growth of new businesses, said Madurai MP Su. Venkatesan.  

Speaking at the Tamil Nadu ‘Startup Thiruvizha 2024,’ at Tamukkam grounds in Madurai on Saturday, Mr. Venkatesan said that though the Union Ministry of Micro, Small and Medium Enterprises (MSME) had replied to his question in Parliament that about 95% of the start-ups had failed in the last three years, the role of government and initiatives like ‘StartupTN’ was to support and help revive such failed businesses.  

“MSMEs, unlike large corporates and companies, take society along with them in their growth. About 8% of Gross Domestic Product (GDP) of the nation was from MSME, 40% of the nation’s total export was from MSMEs, 45% of the domestic enterprises was MSMEs and above all the sector provides 12 crore job opportunities,” he noted.  

Pointing out a famous Information Technology (IT) company in Madurai, he said, “While one of the nation’s largest companies provide 800 jobs, Gandhigram handloom khadi company with only 1% of the turnover of the company’s 25% turnover provides about 28,000 jobs.” 

While the government cannot discriminate between companies, the State should always show a little more favour towards the growth of a company that provides more job opportunities, he said.  

“Our State, which has more human resources than natural resources, should be well utilised with the inception of such companies and support entities,” Mr. Venkatesan said.  

Archana Patnaik, Secretary, MSME Department, said that while Tamil Nadu was the second largest economy in the nation, the State contributes about 9% to the nation’s GDP. 

Speaking of MSME, she said that about 8.60% of MSMEs is in Tamil Nadu and among the 8.60%, 24% was owned by women entrepreneurs.  

“As of date, 4,600 start-ups in the State are led by women. Many banks like NABARD, Indian Overseas Banks have started their own initiatives to support new start-ups in the State,” she added.  

As per the last Niti Aayog report, Tamil Nadu was placed number one in the Export Preparedness Index (EPI), Ms. Patnaik noted.  

Tamil Nadu Start-up and innovation policy was structured in a way to enable start-ups and incubation hubs to propel the growth of the State to achieve trillion-dollar economy by 2030, she said.  

About 10 regional hubs were created through ‘Start-up TN’ and to provide an equal and balanced growth, all hubs were focused, she noted.  

“For the first time in India, the government has participated as an equity partner. Through this, both the government and the company will both have a stake in the start-up,” she said.  

“We focus on inclusivity in terms of sectors and geography among others. By not just focusing on IT, the initiative gives an equal opportunity to sectors like food, agriculture, etc.”, she added.  

Through the export promotion fund, the government was planning to set up a testing facility at Madurai Agri Business Incubation Forum (MABIF) in Tamil Nadu Agricultural University, she said.  

Collector M. S. Sangeetha in her address said that the environment and culture in Tamil Nadu were that parents were keen on educating their children so that they get placed in a good paying job.  

“But, acting according to the current situation, parents should encourage their children to become job providers instead of becoming job seekers,” she said.  

Sivarajah Ramanathan, Chief Executive Officer, Startup TN, speaking to media persons, said that about 1,200 people had registered for the knowledge session arranged as part of the event.  

“About 150 start-ups from across the State have set up their stalls and we expect about 12,000 visitors in the two days,” he added.  

Answering to a question about comparatively lesser start-ups in southern districts, he said that though it was lesser than other districts like Chennai and Coimbatore, the number of start-ups has increased significantly from about 75 to 200 in the last three years.

Published - September 28, 2024 06:11 pm IST