Karnataka plans to become the first state in the country to allow start-ups to pitch for local government contracts, a move that could potentially revolutionise procurement for government agencies by bringing down costs and access to new technology solutions.
The move called ‘the start-up forum’, a collective of new enterprises across technology; manufacturing and services could pitch directly for government orders and execute them within the set cost and timelines.
“The move is a way to showcase innovation of colleges and others at the grass root levels. The start-ups, on the other hand, will benefit from the government, which is a very big buyer,” T V Mohandas Pai, Chairman of Manipal Global Education and an advisor to the Karnataka’s start-up policy. Typically, government purchases follow protocols that mandate suppliers to either have a minimum threshold for revenue or have a three-year track record. “Because of the existing government policies, it is very difficult for them (governments) to tap into innovative solutions. Often, they are shut out from the innovative ideas to fix their issues,” said Pai.
Karnataka’s information technology and biotechnology Director Tanusree Deb Barma said that the framework for the start-up forum is ready.
Pai, who also advises Rajasthan and West Bengal governments on start-ups, said the move by Karnataka will enable these start-ups to get better access to capital and clients.
Source: Business Standard
Image Courtesy : The Hindu Business Line