Goyal urges scaling domestic capital to boost DeepTech growth

Union Minister of Commerce and Industry Piyush Goyal reaffirmed the government’s commitment to strengthening India’s DeepTech ecosystem, fostering innovation-led growth, and building a future-ready economy. Addressing a roundtable in Bengaluru, Goyal urged the scaling up of domestic capital and homegrown funds to accelerate Aatmanirbhar Bharat through the development of frontier technologies.More than 35 DeepTech and semiconductor startups and over 30 leading venture capital firms participated in the session, which focused on advancing India’s innovation capabilities and improving the Ease of Doing Business. The interaction aimed to identify policy measures to support DeepTech innovation and reduce compliance burdens.
Aligned with the vision of Prime Minister Narendra Modi for 'Viksit Bharat 2047', Goyal emphasized that India’s long-term goal is to become an innovation-led economy by nurturing the DeepTech ecosystem and developing indigenous technologies across sectors such as semiconductors, quantum computing, artificial intelligence, robotics, and advanced materials.The session was hosted by T.V. Mohandas Pai, Chairman of 3one4 Capital, and Prashanth Prakash, Partner at Accel Partners, in association with Startup India, the Department for Promotion of Industry and Internal Trade (DPIIT), TiE Bangalore, and the Indian Venture and Alternate Capital Association (IVCA).DeepTech and semiconductor startups including Agnit Semiconductors, QpiAI, Nabhdrishti Aerospace, EtherealX, Fabheads, Ethereal Machines, Dozee, Exponent Energy, SignalChip Innovations, and QNu Labs shared their experiences and challenges. Key issues raised included access to patient capital, long development cycles, and the need for better pathways to technology commercialization.
Investors from leading funds such as Celesta Capital, Blume Ventures, Avaana Capital, Peak XV, Creagis, and 3one4 Capital discussed strategies for sustaining long-term DeepTech innovation. They also shared insights on co-investment opportunities, developing sustainable exit mechanisms, and enhancing India’s role in global technology value chains.Participants highlighted several policy priorities — extending Startup India recognition benefits for DeepTech ventures beyond the current 10-year limit, improving clarity on grant accounting and FCRA-related rules for R&D funding, and introducing targeted tax incentives to encourage private investment in research and development. They also stressed the importance of flexibility in fund regulations and reforms in DSIR registration norms to help early-stage DeepTech startups access R&D-linked benefits.
The meeting concluded with an agreement to establish structured engagement between DPIIT, TiE Bangalore, and the DeepTech ecosystem to advance long-term innovation goals. A follow-up mechanism will be set up to monitor progress and document actionable recommendations for the government.T.V. Mohandas Pai said sustained policy support and long-term commitment are crucial to strengthening India’s DeepTech foundations and global competitiveness. TiE Bangalore President Madan Padaki noted that the roundtable reflected the government’s proactive approach toward enabling collaboration between policymakers, startups, and investors.The Bengaluru roundtable forms part of a continuing dialogue series aimed at accelerating India’s transition toward an innovation-led, technology-driven economy.

(State Correspondent)