AHMEDABAD: The Gujarat Congress on Saturday launched a sharp attack on the BJP-led state government, alleging that its push for innovation and entrepreneurship has failed to translate into opportunities for more than 19,000 start-ups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT).
The Opposition claimed that despite introducing the Gujarat State Procurement Policy-2024, the government has failed to ensure its effective implementation across departments, leaving young entrepreneurs struggling to secure government contracts.
Addressing a press conference, Gujarat Congress spokesperson Parthiv Raj Kathwadia alleged that while the State government continues to promote initiatives such as Innovation Gujarat, Make in India and Atmanirbhar Bharat, the benefits promised under the procurement policy remain largely confined to paper.
Kathwadia said that the Union Government had already issued public procurement guidelines for Micro, Small and Medium Enterprises (MSMEs) in 2012 and 2017 to encourage the participation of start-ups and small businesses in government purchasing.
Building on those directives, the Gujarat government introduced the Gujarat State Procurement Policy-2024, promising procurement preference to DPIIT-recognised start-ups and Micro and Small Enterprises (MSEs), besides granting relaxations in eligibility conditions such as prior experience and annual turnover in specified cases.
However, he alleged that the implementation of the policy has remained inconsistent across government departments, boards, corporations, authorities and local self-government institutions.
"The Gujarat government framed a procurement policy to encourage start-ups, but it has not ensured its implementation. Different departments continue to issue tenders that ignore the policy provisions, depriving eligible start-ups of opportunities," Kathwadia alleged.
The Congress further claimed that government entities in Gujarat procure goods and services worth more than Rs 80,000 crore every year, yet start-ups are effectively able to compete for tenders worth only around Rs 1,000 crore, accounting for barely 1 per cent of the State's total procurement.
According to the party, several tender documents continue to prescribe stringent eligibility conditions, including excessive prior experience, exceptionally high annual turnover requirements, mandatory records of previous government supplies and other restrictive clauses that prevent innovative and emerging enterprises from participating.
"Many tenders are drafted with excessive experience requirements, unrealistic turnover conditions and restrictive eligibility criteria. As a result, quality and innovative DPIIT-recognised start-ups are excluded from the bidding process, while only a limited set of established players qualify," Kathwadia claimed.
The Congress alleged that such practices raise questions over transparency in public procurement and create an uneven playing field for new enterprises.
"When government departments disregard their own procurement policy, it creates the impression that tender conditions are being designed to favour a select few rather than promote fair competition," Kathwadia alleged.
Demanding immediate corrective measures, the Opposition urged the Gujarat government to issue a comprehensive circular directing all departments, boards, corporations and local bodies to strictly implement the provisions of the Gujarat State Procurement Policy-2024.
The party also sought mandatory scrutiny of tender conditions before publication to ensure that relaxations promised to DPIIT-recognised start-ups and MSEs are uniformly incorporated across all government procurements.
The Congress maintained that unless procurement norms are implemented in both letter and spirit, flagship initiatives promoting innovation and entrepreneurship would remain ineffective.
"After making grand promises under Innovation, Make in India and Atmanirbhar Bharat, the government has failed to provide real opportunities to young entrepreneurs. The procurement policy must be implemented uniformly so that start-ups receive the benefits they have been promised," Kathwadia said.