Friday, 27 February 2015

Link pay of govt workers with productivity, recommends finance panel

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 Link pay of govt workers with productivity, recommends finance panel


NEW DELHI: The 14th Finance Commission has suggested linking pay with productivity with a focus on technology, skills and incentives, a move aimed at raising the productivity of government employees. 

The panel has recommended that in future additional remuneration be linked to increase in productivity. 

The Seventh Pay Commission is expected to submit its recommendations by August and it has been asked to look at the issue of raising productivity and improving the overall quality of public services in the country.

The Sixth Pay Commission had also said that steps should lead to improvement in the existing delivery mechanism by more delegation and de-layering and an emphasis on achieving quantifiable and concrete end results. Emphasis is to be on outcome rather than processes, it had said. The earlier Pay Commissions had also made several recommendations to enhance productivity and improve administration. 

The 14th Finance Commission's recommendations assume significance at a time when the Narendra Modi government has focused its attention to improve the delivery of public services and is taking steps to use technology to improve efficiency. 

The Union government has taken several steps to shore up the bureaucracy and has changed the way attendance is measured in government offices. 

"Further we recommend that Pay Commissions be designated as Pay and Productivity Commissions with a clear mandate to recommend measures to improve productivity of an employee," said the 14th Finance Commission headed by former Reserve Bank of India Governor Y.V. Reddy. 

The Reddy panel said productivity per employee can be raised through the application of technology in public service delivery and in public assets created. 

"Raising the skills of employees through training and capacity building also has a positive impact on productivity. The use of appropriate technology and associated skill development require incentives for employees to raise their individual productivities," the Reddy led panel said. 

"A Pay Commission's first task, therefore, would be identify the right mix of technology and skills for different categories of employees. The next step would be to design suitable financial incentives linked to measureable performance," the panel said. 

An internal study by the Commission showed that the expenditure on pay and allowances (excluding expenditure for Union territories) more than doubled for the period 2007-08 to 2012-13 from Rs 46,230 crore to Rs 1.08 lakh crore.

News Source : TNN | Feb 27, 2015, 12.18 AM IST / http://timesofindia.indiatimes.com/india/Link-pay-of-govt-workers-with-productivity-recommends-finance-panel/articleshow/46388833.cms


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Thursday, 26 February 2015

Delhi University sets up electronics incubator in tie-up with STPI

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 Delhi University sets up electronics incubator in tie-up with STPI

NEW DELHI, FEB 22:
The first-of-its-kind ‘Electropreneur Park’ to support start-ups in electronic design and manufacturing has been set up at Delhi University and will become functional from next month.

The said incubator has been set up in the varsity’s South Campus by a consortium comprising Software Technology Parks of India (STPI), under the Union Ministry of Communications and Information Technology, and the India Electronics and Semi Conductors Association (IESA), with an investment of Rs. 21 crore.

“We have signed an MoU with the STPI and IESA has also been involved in the project. The park has been set up on DU campus and our students will be the beneficiaries. The funding has been provided by the Government through STPI,” DU Registrar Tarun Das told PTI.

He said there was a disconnect between developments in industry and programmes in academic institutions.

“The park has been set up to bridge this gap and provide an entrepreneurial platform to students,” he added.

“We have been seeking STPI’s help in the past too for functioning of the computer centres in DU, installation of various software and hardware. Both our campuses are Wi-Fi zones and we had roped in STPI for that too,” Das said.

While the IESA is the implementation agency for the project, it has also roped in Cybermedia India Ltd (CMIL) to support it in execution of the project.

With STPI providing funding and management of the incubation centre and DU the infrastructure, knowledge experts and incubatees, IESA and CMIL will provide an industry connect, mentoring, technical know-how, promotion and outreach in addition to venture capital access for the incubatees.

The park which is the first of its kind to be established in the country has infrastructural facilities such as world-class testing systems and measuring equipment, and will become functional next month.

A model of the park was also set up at the university’s ongoing cultural and academic festival ‘Antardhwani’.

“The incubation park aims at providing budding entrepreneurs with tools that are generally very expensive.

The Centre will not only provide the infrastructure but enable access to domain experts, mentors, shared consultants and services. It will also help innovators seek funding from foreign investors, venture capitalists and angel investors,” said Dr Sanjeev Singh, member of the Projects Monitoring Committee.

“At the park, we aim to set up 50 enterprises in five years. We will invite ideas from young entrepreneurs and a panel of experts from industry and academia. Ten ideas every year will be selected and nurtured,” he said.

(This article was published on February 22, 2015)

Source : http://www.thehindubusinessline.com/industry-and-economy/education/delhi-university-sets-up-electronics-incubator-in-tieup-with-stpi/article6921897.ece


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STPI - ‘Electropreneur park’ at DU

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‘Electropreneur park’ at DU

NEW DELHI: ‘, February 23, 2015


Electropreneur park’ to support start-ups in electronic design and manufacturing has been set up at Delhi University and will become functional next month.
The incubator has been set up on the varsity’s South Campus by a consortium comprising Software Technology Parks of India , under the Union Ministry of Communications and Information Technology, and India Electronics and Semi Conductors Association with an investment of Rs. 21 crore.
“We have signed an MoU with STPI, and IESA has also been involved in the project, ” DU Registrar Tarun Das said. — PTI


News Source : http://www.thehindu.com/news/cities/Delhi/electropreneur-park-at-du/article6923586.ece

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DU signs MoU with STPI to establish 'Electropreneur Park'

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DU signs MoU with STPI to establish 'Electropreneur Park'


New Delhi: The first-of-its-kind "Electropreneur park" to support start-ups in electronic design and manufacturing has been set at Delhi University and will become functional from next month.


The said incubator has been set up in the varsity's South Campus by a consortium comprising Software Technology Parks of India (STPI), under Union Ministry of Communications and Information Technology, and India Electronics and Semi Conductors Association (IESA) with an investment of Rs 21 crore.

"We have signed an MoU with the STPI and IESA has also been involved in the project. The park has been set up on DU campus and our students will be the beneficiaries. The funding has been provided by government through STPI," DU Registrar Tarun Das told PTI.

He said there was a a disconnect between the developments in industry and programmes in academic institutions.

"The park has been set up to bridge this gap and provide an entrepreneurial platform to students," he added.

"We have been seeking STPI's help in past too for functioning of the computer centres in DU, installation of various softwares and hardware. Both our campuses are Wi-Fi zone and we had roped in STPI for facilitating that too," Das said.

While the IESA is the implementation agency for the project, it has also roped in Cybermedia India Limited (CMIL) to support it in execution of the project.

With STPI providing funding and management of the incubation centre and DU the infrastructure, knowledge experts and incubatees, IESA and CMIL shall provide industry connect, mentoring, technical know-how, promotion and outreach in addition to venture capital access for the incubatees.

The park which is first-of-its-kind to be established in the country has infrastructural facilities, including world- class testing systems and measuring equipment, will become functional next month.

A model of the park was also set up at the university's ongoing cultural and academic festival "Antardhwani".

"The incubation park aims at providing budding entrepreneurs with tools that are generally very expensive. The Centre will not only provide the infrastructure but enable access to domain experts, mentors, shared consultants and services. It will also help innovators seek funding from foreign investors, venture capitalists and angel investors," said Dr Sanjeev Singh, member of the Projects Monitoring Committee.

"At the park, we aim to set up 50 enterprises in five years. We will invite ideas from young entrepreneurs and a panel for experts from industry and academia. 10 ideas every year will be selected and nurtured," he said.



News Source : http://zeenews.india.com/news/delhi/du-signs-mou-with-stpi-to-establish-electropreneur-park_1550700.html


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Wednesday, 11 February 2015

Applicability of indirect taxes on packaged software – regarding

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Applicability of indirect taxes on packaged software – regarding 

Circular No. 15 /2011-CustomsF.No.354/189 /2009-TRU

Government of India
Ministry of Finance Department of Revenue (Tax Research Unit)*****
Room No. 146-H, North Block,New Delhi the 18 th March 2011.

ToThe Chief Commissioner of Customs (All)
The Chief Commissioner of Central Excise (All)
The Chief Commissioner of Customs and Central Excise (All)
The Commissioner of Customs (All)
The Commissioner of Customs & Central Excise (All)

Madam/Sir,
Subject: Applicability of indirect taxes on packaged software – regarding 

Representations have been received from some industry association on behalf of software dealers about difficulties being expressed in the assessment to customs duty of documents of title for IT software or documents that enable the transfer of the right to use such software at the time of its sale. It has been reported that there are frequent imports of such documents without any accompanying software. Such packages do not contain software but consist of paper licenses or PUK (Personal Unlocking Key, usually in the form of a scratch card of paper board or plastic) that are used to convey the right to use such IT software. The software in these cases could be freely downloadable or loaded by the OEM supplier under an arrangement with the software company as pre-loaded trial version of software on the computer system requiring the customer to purchase license or PUK after the trial period. Typically these licenses are used either to authorize additional uses against a sale of IT software that has already taken place in the past or to service transactions where the connected software is downloaded electronically by the customer. It has been pointed out that some of the field formations are insisting on the classification of such documents, even when imported without the packaged software, under CTH 8523 i.e. the heading applicable to IT software. It has also been represented that in certain cases the entire value of the license representing the right to use such IT software is sought to be loaded to the value of past imports of IT software by the importer.

2. The issue has been examined. According to Rule 1 of the Rules for the interpretation of the Tariff Schedule, classification is to be determined according to the terms of the heading and any relative Section or Chapter Notes. Heading No. 85.23 refers to “Discs, Tapes, Solid-State Non-Volatile Storage Devices, “Smart Cards” and other Media for the recording of Sound or of other phenomena, whether or not recorded, including Matrices and Masters for the production of Discs,but excluding products of Chapter 37.” Tariff item 85238020 of this heading covers “Information Technology software.” The supplementary note to Chapter 85 defines “Information Technology Software” to mean any representation of instructions, data, sound or image, including source code and object code, recorded in a machine readable form, and capable of being manipulated or providing interactivity to a user, by means of an automatic data processing machine. It is evident that document conveying the right to use software by themselves do not satisfy this definition and therefore do not qualify for classification under this tariff item because they do not contain any representation of instructions, data, sound or image recorded in a machine readable form, which iscapable of being manipulated or providing interactivity to a user. On the other hand, tariff item 49070030 of heading 4907 refers directly to “Documents of title conveying the right to use Information Technology software”. Hence as per the said Rule 1 mentioned above, such paper licenses which are essentially documents conveying the right to use such IT software, merit classification under CTH 49070030. PUK cards on the other hand are not documents of title conveying the right to use Information Technology software per se but are actually printed matter containing numbers which when entered, enable the importer to access right to use such IT software. Hence they are liable to classified under CTH 4911 as “other printed matter”.


3.It is, therefore, clarified that paper licenses or PUKs merit classification as per their individual character under heading 4907 in case of paper license and heading 4911 in case of  PUK card, the same being other printed matter.

4. In the context of assessment of pre-packaged software imports, kind attention is also drawn to Notification No 30/2010- Central Excise (N.T.) dated 21st December, 2010 by which all such packaged software or canned software were brought under the purview of assessment based on retail sale price, as also Notification No.25/2011–Cus, dated 01-03-11 and Notification No.14/2011–CE, dated 01-03-11, whereby in case of such packaged software which does not require affixation of Retail Sale Price (RSP), exemption has been provided, from payment of Excise duty/ CVD, on the portion of value representing consideration for transfer of right to use such packaged/ canned software. These exemptions have been issued in order to rule out taxation of this portion of the value twice-once as Excise duty/Additional duty of Customs and another time as Service Tax on the consideration that all package software is not sold as shrink wrapped software and that affixation of retail sale price is not required for certain categories viz.
 (i) software on optical media supplied free of charge, for which right to use or license is purchased separately;
 (ii) full pack –packaged software with limited validity, not for resale and generally imported for demonstrations or for OEMs;
(iii) up-grade full pack-packaged software- supplied free of charge under annual maintenance/subscription/software assurance contract; and
(iv) up-dates for packaged software- supplied free of charge under annual maintenance/subscription/software assurance contract etc.

 5. Accordingly, all packaged/ canned software imported in shrink wrapped packages, will attract Excise duty/CVD on such retail sale price declared being the combined value of thesoftware and the licenses (right to use). Such software will, however, be exempt from payment of service tax under the category ITSS (as provided in Notification No. 53/2010-ST dated 21 st December 2010). On the other hand, such packaged/ canned software, on which affixation of retail sale price is not required under the relevant provisions for the packaged commodities, and the assessment is based therefore, on the value determined under section 4 of the central excise act,1944, the excise duty/ CVD will be charged only on the value, excluding the value representing consideration for transfer of right to use such packaged/ canned software. However, service tax under the category ITSS would be levied on such portion subsequently.

6. All pending assessments of software, paper licenses and PUK cards may be finalized accordingly. These instructions may also be brought to the knowledge of the field formations andthe trade. Any difficulty faced in implementation of these instructions may be brought to the attention of the Board.Yours faithfully,Sd/- 18.03.2011 (Yogendra Garg)Director Tel: 23092236

Email: dirtru-cbec@nic.in

*********************************************
SEE - CBEC CIRULCAR : - http://www.cbec.gov.in/customs/cs-circulars/cs-circulars11/circ15-2k11-cus.pdf
******************************************




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Friday, 6 February 2015

Wi-Fi Gulmarg still a distant dream

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Wi-Fi Gulmarg still a distant dream

Omar’s pet project fails to take off

Srinagar: Four years after being formally launched by the former chief minister, Omar Abdullah, the much hyped hi tech Gulmarg Wi-Fi project continues to be in doldrums as the government failed to make it operational completely.
The Wi-Fi project was set up in 2011 to keep Gulmarg connected not only with rest of the world but to ensure tourists  with services like Gondola tickets, air tickets and to avail other online benefits on the spot.
It was also established that time interventions are made to meet natural calamities like avalanches and blockades.
Initially the project was targeting to provide internet services to the tourist bowl in areas with poor connectivity like Gulmarg, Kongdoori and Apharwat coving an area of five square kilometers. "The hi- tech project was first of its kind in state to attract foreign tourists. The devices used have been designed with lightening protection which can withstand temperatures as low as -40 degrees Celsius and heavy snow-storms," said an official from Gulmarg Development Authority(GDA) ," adding, the Wi-Fi network was regarded as one of the highest Wi-Fi zones in the world at an altitude of 4120 metres above sea level.
Now when the government had already spent lakhs of rupees on the projects to procure costly equipments including power backing system to ensure the functioning of the project even in minus 40 degrees, the project is not benefitting the tourists visiting from across the world. "The project was handed over to Gulmarg Cable Car Corporation. Right now the project is in its initial stage and will take some time. So far the hoteliers have using their own internet system," said Chief Executive Officer GDA, Nazir Ahmad Mir .
"The Gulmarg Development Authority (GDA) has provided Rs 19 lakh while the Cable Car Corporation invested an amount of Rs 13 lakh for WIFI and the project has been implemented through Kashmir University," he said.
It is worth to mention that the project was conceived, designed and implemented by the network design team from Directorate of Information Technology and Support System (IT & SS), University of Kashmir with bandwidth being provided by Software Technology Park of India (STPI).
Although, the Directorate of IT&SS KU had claimed that the project was completed in a record time of 4 months, but in places like Kangdoori, Apharwat tourists face poor connectivity in terms of internet and other facilities. "The Gulmarg being one of the famous destination should have such facilities. It should at par with Switzerland where visitors enjoy different facilities even in heavy snowfall," said a group of tourists who had visited here from West Bengal.
Officials from the Gulmarg Cable Car Corporation said the service was stopped because the authority alone could bear the huge monthly bills. "We are using V-sat services and the billing per month would touch lakhs of rupees. The department could bear the huge amount due to which the service was stopped," Executive Engineer Mechanical wing Gulmarg Cable Car Corporation said


Source : http://www.kashmirmonitor. in/news-wi-fi-gulmarg-still-a-distant-dream-78706.aspx


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India semiconductor market grew by 8 to 10% in 2014

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India semiconductor market grew by 8 to 10% in 2014

Realising the vision is the focus at this year's IESA Vision Summit event scheduled on 2nd and 3rd of February 2015 at Leela Palace, Bengaluru (Bangalore). Ashok Chandak, Chairman, India Electronics and Semiconductor Association (IESA) shared these below thoughts about this year's event and also some market figures on the Indian electronics and semiconductor industry.

The focus of this year's IESA vision summit 2015:

Ashok chandak: At this vision summit, the theme is "Make in India: Vision to Reality". In past obviously Vision Summit was always focusing on creating vision for the country, we see that the time has come to really focus on realising this vision.

If you look at the call of Make in India coming from the highest office of the country like Prime Minister and other Council of Ministers, there is no doubt that in the next decade, India going to focus on the indigenous manufacturing. For electronics sector, the manufacturing is different than the other sectors actually, and we see for India to become more global hub with excellence in electronics manufacturing, product development and innovation has to go hand-in-hand, which is going to be the focus of the vision summit. The industry leaders, thought leaders in acedemia, government officials from various verticals and geographies come together to really look at the point of, how India can dominate the world of semiconductors and electronic industry in future.

The positive things in regard to realization of vision:

Ashok chandak: We see that the biggest positive thing is, there is strong support and vision from the Government on Make in India program, and we have been participating in various meetings organised by various ministries as well as Prime Minister office actually, and workshops and other stuff -- and we see that --this is translating into a lot of positive optimism within the industry circle-- in most of the sectors including the electronics and semiconductor industry, that is the biggest positive thing we see.

At IESA, we think that it is the 4D Effect, Prime Minister keep saying 3-D effect, (demography, Democracy, and demand), the fourth D what we see is all these 3Ds contributing to Economic Development of the country. If we recollect our IESA vision, we used to say electronics can change India, we see now that time has come where electronics will really change India with this 4D effect.

India electronics semiconductor market growth figures in 2014 and forecast for 2015 and 2016:

Ashok chandak: In terms of the semiconductor demand which is also dependent on the electronics market in the country, the problem in our industry is, semiconductor numbers is always how you look at, if you look at the numbers from purely the local consumption, those are quite low. If you look at our report, there are two terminologies, one called TM (total market) and other called the TAM (total available market), the total market was with reference to the total electronics consumption in the country which is around 60 Billion US$, while the total available market with reference to what is made in the country which was only $20 Billion US$, the local manufactured electronics product. We see 1/3 is made here and 2/3 is imported. In the electronics market we have seen a growth in the range of 8 to 10% in 2014 and similar for the semiconductor.

Current year 2015 going to be in similar range, though I would expect 2016 will be a major jump. Some of the new electronics manufacturing ramp up that will get realised in 2016, we are expecting 15-20% up in 2016, based on the various new initiatives.

Some of the Dignitaries and Speakers at 2015 IESA Vision Summit include:

Siddaramaiah, Chief Minister, Govt. of Karnataka, with Chandrababu Naidu, Chief Minister, Govt. of Andhra Pradesh, Mr. Gustavo de Arístegui, Ambassador of Spain to India, R.S. Sharma IAS, Secretary of Dept. of Electronics and IT (DeitY) as Chief Guests and Director General of the Software Technology Parks of India (STPI) Dr. Omkar Rai as Guest of Honor.

Dr. Radhakrishan, former Chairman, ISRO will deliver the Theme Address at the conference.

Other prominent speakers include M K Tsai, Chairman, Mediatek Inc., Anil Menon, President, Smart + Connected Communities Cisco Systems Inc, Mr. Ulf Schneider, President – SSIA, Dr. Randhir Thakur, Executive Vice President, Applied Materials Inc., Rabindra Srikantan, MD, ASM Technologies Limited, Krishna Yarlagadda, President, Imagination Inc, Suket Singhal , Vice President, Secure Meters, Dr. Rajat Moona, Director General CDAC, Manish Muthal, Vice President, Marketing, Planning & Architecture, Seagate Technology etc.


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Monday, 2 February 2015

STPI on massive drive to promote start-up ecosystem

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STPI on massive drive to promote start-up ecosystem






Is building 1.5 mn sq ft of space across tier I, II cities to support entrepreneurship across the country


The government seems to be going all out to push the start-up ecosystem in the country.


Software Technology Park of India (STPI), which played a pivotal role in building the present day IT outsourcing services industry, is now creating massive infrastructure all across the country with an aim of incubating and promoting the start-up ecosystem and entrepreneurship.

As per the plan, the autonomous body under the Ministry of Communications and Information Technology, is developing a whopping 1.5 million square feet of space across almost 53 cities in the country.

Budding entrepreneurs aspiring to start their entrepreneurial journey can use the plug-in-play infrastructure at a 'promotional rate' and incubate their ventures, enjoying the various schemes and other support mechanism that the government is planning to come out with, STPI Director Omkar Rai told Business Standard.

Of the total infrastructure, some 65,000 square feet of space being developed in Gurgaon is almost ready to be handed over to STPI while the construction of about 1.4 lakh sq ft building area is in progress in Mohali, Chandigarh. Besides, around 1.25 lakh sq ft of space is coming up in Bengaluru, 40,000 sq ft in Mysore and around 1.95 lakh sq ft is coming up in Kolkata.

“Within three years, the entire infrastructure as we have planned would be ready and our plan is to promote at least 1,000 start-ups out of these facilities over the next five years,” said Rai.

“Over and above physical infrastructure, we are going to come out with various schemes, programmes and incentives which are required to support the entrepreneurs,” he added.

STPI, formed as an autonomous society in 1991, played a key role in promoting and boosting software exports from India in the initial days. Even though the tax holiday under section 10A and 10B of the Income Tax Act for most of the software units located in various STPI units is already over, still they account for almost 65% of the overall software services exports in the country.

“As far as STPI is concerned, we are looking beyond the promotion of traditional IT outsourcing by diversifying into areas like entrepreneurial development, supporting incubation programmes, product companies and dispersal of the IT industry beyond the metros. It is time for us to go for incubation and promotion of start-up culture and entrepreneurship in the country,” he added.

Under its 10,000 start-up programme, industry body Nasscom is also working with various state governments to set up ‘start-up warehouses’ wherein apart from the physical infrastructure, it is providing the start-ups with mentorship support.

“There is enough interest across the board to promote the start-up environment in the country. Today’s young entrepreneurs want to operate from wherever they are, in locations of their choices, and initiatives like this are very much needed at this stage of the industry,” said Ravi Gururaj, a serial entrepreneur and also chairman of the Nasscom Product Council.

Nasscom already operates a start-up warehouse in Bengaluru, which is of around 9,000 sq ft. The second such facility with a seating capacity of 500 people is also coming up in Bengaluru with an area of 40,000 square feet. Besides, Nasscom has recently launched a 6,000 sq ft start-up warehouse in Kolkata with a capacity of 60 seats.

News link : http://www.business-standard.com/article/companies/stpi-on-massive-drive-to-promote-start-up-ecosystem-115020300326_1.html


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