Odisha's Startup Ranking Takes a Hit in Latest National Assessment
Odisha has experienced a significant drop in its national startup ranking. The state now finds itself in the 'aspiring leader' category according to the fifth edition of the States' Startup Ranking released on Friday. This marks a notable decline from its previous position as a 'top performer' in the 2022 assessment.
A Shift in Competitive Standing
The Department for Promotion of Industry and Internal Trade (DPIIT) conducts this comprehensive ranking exercise. In the latest results, Odisha shares the aspiring leader category with several other states including:
- Assam
- Bihar
- Jammu and Kashmir
- Sikkim
- Tripura
- Mizoram
Gujarat leads the overall ranking as the top performer. The hierarchy shows three states as 'best performers,' five as 'top performers,' and eleven in the 'leader' category. All these groups now rank above Odisha's current standing.
Historical Performance and Current Challenges
This year's placement represents Odisha's lowest ranking since the exercise began in 2018. The state's performance trajectory shows:
- In 2018, Odisha ranked among four top performer states
- In 2019, it figured among the top-five leader states
- In 2021, it maintained position among five top performer states
- In 2022, it remained a top performer
- Now in the latest ranking, it has slipped to aspiring leader
State officials have provided a clear explanation for this downturn. They attribute the lower ranking primarily to delays in submitting required data to DPIIT. The officials emphasize this procedural issue does not reflect any fundamental weakening of the state's startup ecosystem.
Official Responses and Future Plans
Prasanth Kumar Reddy, who serves as secretary for micro, small and medium enterprises and chairs Startup Odisha, addressed the situation directly. "We will analyze the reasons why the ranking fell and take necessary steps to remove bottlenecks if any," he stated.
Rasmita Panda, the chief executive officer of Startup Odisha, provided additional context. She explained that the ranking data covers the period from January 2023 to November 2024. During several months of this timeframe, work was affected by the model code of conduct implemented for elections.
"We took several initiatives after that and are striving hard to drastically improve the ecosystem. The outcome should be reflected in the next round of ranking," Panda affirmed.
DPIIT Assessment and Recommendations
The DPIIT report noted specific areas where Odisha could improve. The state was among those that did not provide adequate details about active policies or programs supporting young entrepreneurs. However, the report also acknowledged several positive initiatives undertaken by Odisha:
- Establishment of a bilingual state startup portal to improve accessibility
- Introduction of inclusive entrepreneurship policies for SC/ST communities, women, and persons with disabilities
- Financial and policy support for setting up new physical and virtual incubators
The report suggested Odisha could strengthen support for startups working in public welfare and social impact sectors through dedicated schemes. It also recommended expanding structured support for student entrepreneurs by enhancing programs and incubation facilities within educational institutions.
Industry Perspective
Satwik Swain, secretary general of the Odisha Assembly of Small and Medium Enterprises, offered his assessment of the situation. "After a good start, somehow it did not take off like many other states. The biggest challenge is to attract innovators," he observed.
Swain emphasized that more concerted efforts are needed to uplift the startup ecosystem in Odisha. His comments highlight the competitive nature of startup development across Indian states and the continuous effort required to maintain momentum.
The ranking exercise serves as an important benchmark for states to assess their startup ecosystems. While Odisha's current position shows a decline, state officials express confidence that their recent initiatives will yield better results in future assessments. The focus now shifts to implementing corrective measures and demonstrating improved performance in the next ranking cycle.
