In a landmark move aimed at nurturing the city’s startup ecosystem, the Chandigarh Administration formally launched the Chandigarh Startup Policy 2025 after a prolonged delay of nearly seven years. The launch ceremony was held at Punjab Raj Bhawan and marked by the presence of Punjab Governor and UT Administrator Shri Gulab Chand Kataria, along with other key dignitaries, including Chief Secretary Rajeev Verma, Mayor Harpreet Kaur Babla, and Deputy Commissioner Nishant Yadav.
The Chandigarh Startup Policy 2025, which had been under deliberation since 2018, has finally come into effect to position Chandigarh as a vibrant startup hub, akin to cities like Pune, Bengaluru, and Ahmedabad. The launch event witnessed participation from a wide array of stakeholders, including academic institutions such as Panjab University, PEC, PGIMER, IISER Mohali, and IIT Ropar, as well as industry associations like CII, PHDCCI, ASSOCHAM, TiE, and Punjab Angels Network.
Governor Kataria emphasised that the policy reflects the vision laid out by Prime Minister Narendra Modi through the national Startup India initiative launched in 2016. He remarked that the policy will harness the potential of Chandigarh’s youth and foster innovation, entrepreneurship, and job creation, while also contributing to social causes such as combating drug abuse.
Policy Objectives and Framework
The Chandigarh Startup Policy 2025 aims to support the establishment and scaling of over 200 startups within the next five years. A total annual allocation of ₹10 crore has been earmarked by the administration to implement various components of the policy.
The policy targets inclusivity by supporting startups led by women, transgender individuals, and underrepresented communities. It also focuses on creating synergies between academia and industry by strengthening incubators and research institutions in the region.
Two key bodies have been established for policy governance:
- High-Powered Committee (HPC), chaired by the Chief Secretary, to provide strategic direction and review policy implementation.
- Policy Monitoring and Implementation Committee (PMIC), chaired by the Secretary, Industries, responsible for operational approvals and disbursement of incentives.
Incentive Structure
Financial Support for Startups:
- Idea Stage Grants: ₹2 lakh for the top 20 startups and ₹1 lakh for the next 50 startups through an annual grand challenge.
- Seed Stage Funding: Up to ₹7 lakh per startup, with an additional ₹2 lakh for women-led and transgender-led ventures.
- Commercialisation Grant: Up to ₹12 lakh, with a ₹2 lakh bonus for startups led by women or transgender individuals.
- Rental Subsidy: ₹5,000 per month for 12 months to startups using approved co-working spaces.
- Certification Support: 80% reimbursement up to ₹1 lakh per startup.
- Patent Filing Support: 80% reimbursement up to ₹10,000.
Support for Incubators:
- Technology Upgrade Grant: 25% of the project cost, capped at ₹30 lakh for public and ₹20 lakh for private incubators.
- Operational Support: ₹7.5 lakh annually for sustenance and ₹5 lakh annually for mentorship programmes.
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Non-Financial Incentives:
- Free access to incubation facilities for one year.
- Relaxed norms in public procurement and self-certification under six labour laws.
- Subsidised exhibition stalls at major trade fairs like IITF.
- Centralised service delivery through the “Start-in-Chandigarh” digital portal.
Eligibility Criteria and Compliance
Startups will be eligible for benefits under the policy for a period of 10 years or until their annual turnover exceeds ₹100 crore. Any complaints of misrepresentation or fraud will be referred to the High-Powered Committee for review.