Gujarat, Goa and Arunachal Pradesh have emerged as India’s top-performing startup ecosystems, according to the fifth edition of the States’ Startup Ecosystem Ranking released by the Department for Promotion of Industry and Internal Trade (DPIIT).
Released under the Startup India initiative, the rankings assess how effectively states and Union Territories support startups. The evaluation period covered January 1, 2023 to November 30, 2024.
Gujarat Tops Category A for the Fifth Straight Year
In Category A, which includes states and UTs with populations above one crore, Gujarat secured the highest rank, placing in the 90–100 percentile bracket. This marks Gujarat’s fifth consecutive year at the top.
Karnataka, Punjab, Tamil Nadu and Uttar Pradesh followed as top performers, ranking between the 70–89 percentile.
States such as Rajasthan, Kerala, Madhya Pradesh, Uttarakhand, Telangana, Maharashtra, Andhra Pradesh and Haryana earned the leader status.
Odisha, Assam, Bihar and Jammu & Kashmir featured as aspiring leaders, while Chhattisgarh and NCT of Delhi fell under the emerging startup ecosystem category.
Goa and Arunachal Pradesh Lead Category B
In Category B, which includes states and UTs with populations below one crore, Goa and Arunachal Pradesh claimed the best performer tag.
Himachal Pradesh ranked as a top performer, while Manipur, Meghalaya and Nagaland secured positions as leaders.
Mizoram, Sikkim, Tripura and Andaman & Nicobar Islands emerged as aspiring leaders.
UTs such as Puducherry, Chandigarh, Ladakh, Lakshadweep, Dadra and Nagar Haveli and Daman and Diu remained in the emerging ecosystem category.
How DPIIT Evaluated the Rankings
A total of 34 states and UTs participated in the ranking exercise. DPIIT assessed them across parameters such as institutional support, infrastructure, funding access, market reach, ecosystem capacity, and innovation focus.
The evaluation also considered startup policy execution, availability of incubators and R&D centres, PE and VC funding activity, access to mentorship, and efforts around diversity and sustainability.
DPIIT assigned 75% weightage to documents submitted by states and UTs. Startup feedback contributed 15%, while private ecosystem mapping accounted for 10%.
Industry bodies such as FICCI, NASSCOM and CII joined the evaluation panel. Private players including Google and Zerodha-backed Rainmatter also took part.
What Startups Want from State Governments
The report highlighted the need for better awareness of state-level startup schemes. Startups also asked for stronger seed funding support and easier access to working capital.
Many founders stressed the need to include service-based startups in incentive programs. They also sought greater support for IP protection, patent filing, and R&D assistance.
PM Modi Calls for Focus on Manufacturing and Deep Tech
The report coincided with 10 years of Startup India and the fifth National Startup Day. India now hosts over 2 lakh DPIIT-registered startups, making it the third-largest startup ecosystem globally.
During the celebrations, Prime Minister Narendra Modi urged entrepreneurs to prioritise manufacturing and advanced technologies in the coming decade. He said this shift would strengthen India’s role in global supply chains.
While praising digital startups, the Prime Minister stressed the need for stronger AI, semiconductor, data centre and green hydrogen capabilities. He said these sectors would drive long-term growth and job creation.
