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Home » The Indian Tribal / News » Centre Moves To Build A Start-Up Ecosystem For Tribals

Centre Moves To Build A Start-Up Ecosystem For Tribals

The Ministry of Tribal Affairs brought together major venture capitalists and impact investors to discuss strategies for empowering tribal entrepreneurs and fostering inclusive growth. The Indian Tribal reports

January 28, 2025
The Indian Tribal

Venture Capitalists And Impact Investors Discuss Strategies For Empowering Tribal Entrepreneurs

New Delhi

In line with Prime Minister Narendra Modi’s consistent emphasis on building an Atma Nirbhar Bharat (Self-Reliant India) and Atma Nirbhar Tribals (Self-Reliant Adivasis), the Ministry of Tribal Affairs (MoTA) has kickstarted a transformative initiative to develop a robust startup ecosystem among Scheduled Tribes. This is a key initiative under the MoTA’s 100-day agenda.

On Tuesday, MoTA organized Symposium on the Development of Startup Ecosystem among Scheduled Tribes, bringing together major venture capitalists and impact investors to discuss strategies for empowering tribal entrepreneurs and fostering inclusive growth.

Chaired by Secretary, MoTA Vibhu Nayar, the symposium saw the participation of renowned industry leaders. It provided a platform for the thought leaders and stakeholders to explore approaches for uplifting tribal entrepreneurs and catalysing investments in tribal-led startups.

Among those who participated included Alok Mittal (Indian Angel Network), Rakesh Rewari (Ex-DMD, SIDBI), Sanjeev Bikhchandani (Info Edge), Rajat Tandon (Indian Private Equity & Venture Capital Association – IVCA), Sowmya Suryanarayanan (Aavishkaar Capital), Pratekk Agarwaal (GrowthCap Ventures), Srinivas Ramanujam (Villgro), Manick Wadhwa (SKI Capital), Ajay Kumar Kapur (Ex CEO SIDBI Venture, Ex. DMD, SIDBI), V. Anish Babu (MD, IFCI Venture) and Arindam Roy (IFCI Venture).

The venture capitalists emphasized the importance of investing in sunrise sectors while ensuring impact and innovation remain at the core of tribal entrepreneurship initiatives. Mo

Key Recommendations From Venture Capitalists/Impact Investors:

  1. Strengthen Supply Chains: Build quality tribal enterprises that are investment-ready.
  2. Grassroot Training Programs: Conduct targeted capacity-building programs at the village level.
  3. Institutional Frameworks: Develop streamlined, inclusive, and institutionalized frameworks for startups to thrive.
  4. Public Market Access: Create pathways for tribal enterprises to access public markets.
  5. Inclusive Business Models: Encourage partnerships between tribal and metro entrepreneurs, ensuring no restrictions on holding patterns.
  6. Microfund Support: Establish micro funds for incubation-stage startups and collaborate with smaller VCs for scaling.
  7. Sectoral Focus: Identify specific industries with high potential for tribal empowerment and innovation, such as agriculture, handicrafts, and sustainable development.
  8. Support for Sunrise Sectors: Promote Fund of Funds (FOF) models to channel investments into innovative and impactful sectors.
The Indian Tribal
Symposium On Building A Startup Ecosystem For Scheduled Tribes Underway

Speaking on the occasion, Vibhu Nayar said, “This initiative is a step toward fostering inclusivity and creating opportunities for Scheduled Tribes at the grassroots level. By building a robust ecosystem that supports tribal entrepreneurs, we aim to promote innovation and bring tribal talent to the forefront of India’s entrepreneurial landscape. The insights from today’s symposium will help shape future policies and programs to drive sustainable development in tribal communities.”

“The Government of India is dedicated to empowering our tribal communities and nurturing their entrepreneurial spirit. With collective efforts, we can unlock the immense potential of tribal entrepreneurs and make them key contributors to the vision of Atma Nirbhar Bharat,” Union Minister of Tribal Affairs, Jual Oram’s vision for the initiative was shared.

MoTA said the symposium marks a significant step in fulfilling the Government of India’s vision of empowering Scheduled Tribes and creating an inclusive and self-reliant startup ecosystem. Through these collective efforts, tribal communities will gain greater access to resources, mentorship, and market opportunities, further driving innovation and sustainable development across the nation, it said in a statement.

MoTA has undertaken extensive brainstorming sessions with premier institutions such as IIM Calcutta, IIT Delhi, IFCI Venture Capital Funds Limited, Delhi and industry associations to ensure a grassroot-level impact. MoTA said a significant step in this direction was the initiation of a Venture Capital Fund for Scheduled Tribes with an initial corpus of Rs50 crore, aimed at promoting entrepreneurship among Scheduled Tribes and fostering innovation at the community level.

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The Ministry of Tribal Affairs has signed a Memorandum of Understanding with Coal India Limited (CIL) to upgrade infrastructure and strengthen capacity in 76 Eklavya Model Residential Schools (EMRS) across Jharkhand, Chhattisgarh, Madhya Pradesh and Odisha. The MoU was signed between CIL and the National Scheduled Tribes Finance and Development Corporation, a Section 8 company under the Ministry, in the presence of Union Tribal Affairs Minister Jual Oram and Union Coal and Mines Minister G Kishan Reddy. CIL has sanctioned Rs 10 crore from its corporate social responsibility funds to provide 1,200 computers with UPS units, 110 tablets, 420 sanitary pad vending machines, 420 sanitary pad incinerators and career counselling for over 6,200 students of Classes 10 and 12
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