Chennai: In a big boost to start in Tamil Nadu, the state government has offered “procurement preferences” to beginners in public purchases, both products and services, by various government departments and connected organizations.
It has released a startup of several conditions including EMD payments (EMD) Earnest, turnover and previous experience, which has made them difficult to supply to the government in the past.
With the state government into a large buyer and with relaxation that applies to purchases of up to ₹ 20 lakh, this step will help some startups get orders from their initial stages, a phase when most units face difficulties, the government said.
According to Go, Startup in Tamil Nadu is technically able to provide solutions for governance and other problems faced by the Department in implementing the scheme.
Providing procurement preferences to startup will also help them improve rapidly and create very large work and wealth in the state.
“Good products and services from startup can be purchased and this includes a varied segment – it, Agritech and Edutech,” V Arun Roy, Secretary, MSME department, TOI.
Many startups struggle at the early stages due to lack of markets for their products.
With the government into major buyers in the economy, government protection can solve marketing problems from startup to most.
In addition, the purchase by the government is a good source of recognition for startup, said Ordo.
Procurement preferences will apply to all government departments, government public sector businesses, legal entities, local agencies, cooperatives, universities and communities.
Concessions are available for startups registered in the Department Portal for Industrial and Internal Trade (DPIIT) promotion or Tamil Nadu (Tansim) innovation mission.
Startup must have a registered office in Tamil Nadu.
“This is a very good start.
The government can help startup in two ways – by preparing a list of preferred startup after evaluating their products and connecting it with a proposal request (RFP) for a larger project.
The desired service can also be purchased, as far as permitted, based on The trial and tested.
If successful, the department can revolve RFP to streamline the procurement process, “Subramanian, Mentor, and Members, said the Indian Angel network.