J&K’s Startup Founders Seek Incentive Boost in Budget 2025-26
Srinagar, Feb 26: As Jammu and Kashmir is set to witness its maiden budget being presented after a hiatus of six years, young entrepreneurs from across the Union Territory have pinned their hopes on a slew of announcements to be made for the startup ecosystem.
Srinagar-based Sheikh Yameen, co-founder of electric mobility firm Curve Electric, says Kashmir’s startup founders expect the government to lay a special emphasis on the startup ecosystem and introduce provisions in the budget for promotion of new-age businesses in J&K.
“The government should keep a provision for ‘fund of funds’, similar to the Union Budget for making sure adequate risk capital is provided to entrepreneurs to grow their ventures,” said Yameen. Besides, the startups should be facilitated with a single window system for all the registration and more funds should be infused as per the J&K Startup Policy 2024, Yameen added.
Notably, while the startups in Jammu and Kashmir have witnessed a multifold growth, experts suggest several unexplored areas, foraying into which can help youth create fortunes. In its recently held 28th Board Meeting in Srinagar, Director General, National Institute of Electronics and Information Technology (NIELIT), Dr MM Tripathi had made an announcement regarding setting up of an Artificial Intelligence (AI) data lab at its Srinagar centre. The DG NIELIT also underscored noticeable work at its Srinagar campus in terms of developing AI models for carpet technology. In addition a memorandum of understanding was signed between NIELIT and National Institute of Technology for fostering drone technology.
However, on the ground in Kashmir, the reality is that the retail and services sector have emerged as the most popular when it comes to setting up new ventures.
Shabir Handoo, Chairman, Kashmir Angels Private Limited says startups in a geography such as Kashmir mostly require a considerable risk capital. “The Startup Policy 2024, which was rolled out by the Lieutenant Governor administration, allocated Rs 25 crore with a total budget outlay of Rs 250 crore that will be spent over some years. The matter of fact is that we startups expect a more fast-track mechanism to see allocation of funds to support startups,” he said.
“Rs 25 crore in the current budget could be a support fund by the popular government and allotted through an easier channel which the government can decide. This would be for setting up private incubation centres and supporting any existing private incubation centres and to spend on seed fund for product development and traction of around 700 Department for Promotion of Industry and Internal Trade (DPIIT) registered startups of J&K,” Handoo further added.
Bhaderwah resident Touqeer Bagban, also known as a pioneer in purple cultivation, says agriculture remains the backbone of Jammu & Kashmir’s economy, employing a significant percentage of the population. However, farmers face challenges such as low productivity, outdated farming methods, market instability, and climate-related risks.
“The 2025-26 budget should focus on modernizing agriculture and improving farmer livelihoods through technology and policy support,” says Bagban.
The government must introduce precision farming, climate-smart agriculture, and hydroponics to increase yield and efficiency. It must provide subsidies and incentives for farmers adopting organic farming methods. “They must also establish organic certification centers to help them reach premium markets and set up district-level centers offering training in smart irrigation, use of AI in farming, and mechanisation,” he added.
The agri-tech startups have also demanded strengthening farm-to-market networks to eliminate middlemen and ensure farmers get fair prices and build cold storage units and food processing facilities to prevent post-harvest losses.
“Government should encourage horticulture, floriculture, and medicinal plant farming to increase farmers’ income. Provide easy credit access and crop insurance schemes,” he added. He said the government must create a J&K Start-Up Fund offering ₹10-20 lakh seed funding for young entrepreneurs. Providing subsidized co-working spaces and industry mentorship programs and establishing IT parks and promoting work-from-home job models should be this budget’s key focus, he added.
