Kerala Startup Mission CEO issued a statement claiming this move by the state government will be a big boost to the startup ecosystem in the state.

Kerala govt invites startups to be part of IT projects worth upto Rs 1 crore
Atom Startups Wednesday, January 02, 2019 - 07:54

Kerala’s KSUM (Kerala Startup Mission) has been one of the active state level entities in trying to promote startups that register themselves in the state. The state has now announced that it has given its approval to the state’s departments and autonomous institutions to invite IT startups for their requirements costing up to Rs 1 crore in the state.

There are many departments, boards and local-self government bodies, universities functioning under the state government and state-owned corporations which deal with outside agencies and utilize their services for their IT requirements. Now, these state-owned/state-run institutions can invite startups to come and setup their projects/operations in Kerala, and bid for the tenders where the cost of such orders will be between Rs 20 lakh and Rs 1 crore. These could be for developing programmes, internal software packages towards digitizing their different functions and so on.

Dr Saji Gopinath, CEO, KSUM, has issued a statement claiming this move by the state government will be a big boost to the startup ecosystem in the state and expects a number of startups to move to Kerala.

It is being felt that the current move by the Kerala government follows a recent survey report by the Department of Industrial Policy and Promotion (DIPP), in which apart from the rankings of different states on their policy on startups etc., there were suggestions offered on what the states like Kerala could do to improve the situation as far as startups are concerned. Kerala figured a little below the top-ranking states like Gujarat.

Apart from the above move, the government of Kerala has also allowed its various departments to make direct purchases from an earlier limit of Rs 5 lakh to Rs 20 lakh from those ventures in the state which have been cleared by KSUM.

It is reported that there are already 40 different startups working in the state and involved with offering their products/services to state government entities.

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