Piyush Goyal’s Startup Mahakumbh 2025 Speech Sparks Debate

Union Commerce Minister Piyush Goyal made headlines yesterday with his comments at the Startup Mahakumbh 2025, a big event for startups held at Bharat Mandapam in New Delhi from April 3 to 5. 

The minister’s words about India’s startup scene stirred up a lot of talk with some leaders and business founders hitting back at him.

What Did Piyush Goyal Say?

During his speech on April 3, Goyal urged Indian startups to focus on high-tech fields like robotics, artificial intelligence (AI), and semiconductors instead of just food delivery and quick commerce apps. He compared India to China, saying Chinese startups are working on electric vehicles (EVs), batteries, and advanced tech, while many Indian startups are stuck on “fancy ice creams” and “grocery delivery.” 

He asked, “Are we going to be happy being delivery boys and girls? Is that India’s future?” Goyal also said some startups started by rich kids making luxury items aren’t real innovation. He aruged indian investors to more invest in startups and for young entrepreneurs to aim bigger and go global.

Criticism Rolls In

Goyal’s comments didn’t go down well with everyone. Startup founders and industry experts responded quickly, defending their work and highlighting the challenges they face. Aadit Palicha (CEO of quick-delivery company Zepto) said Goyal’s remarks were off target. He shared online that Zepto provides 1.5 lakh jobs and pays over ₹1,000 crore in taxes.

He asked why India doesn’t have big AI models yet and said it’s because the country hasn’t built strong internet companies like Amazon or Google. “It’s easy to criticize,” Palicha added, urging the government to help startups grow into “tech champions.”

Mohandas Pai (former Infosys executive) also jumped into the debate. He said Goyal shouldn’t “belittle” startups and asked what the minister has done to support deep-tech companies. Pai pointed out that India has many small startups in areas like chip design and robotics, but they lack money to grow. He compared funding: Indian startups got $160 billion from 2014 to 2024, while China got $845 billion and the US got $2.3 trillion. Pai blamed government rules, like the old “angel tax” that hurt startups, and said there’s no capital from big investors like insurance companies.

Anupam Mittal (founder of Shaadi.com and a judge on Shark Tank India) took a different angle. He said founders can’t do everything alone—they need support. Mittal defended india’s startup ecosystem, said it’s growing but agreed deep tech needs more focus. He suggested that minister's words should spark discussion not just anger.

The Debate Heats Up

Goyal’s speech kicked off a bigger conversation about what Indian startups should aim for. Some agreed with him that India needs more cutting-edge tech, not just apps for food and shopping. At the Mahakumbh, Goyal showed a slide comparing India and China’s tech progress, which he said “disturbed” him. He called for a Rs 500 crore prize pool for next year’s event to boost innovation in areas like AI and biotech.

But others said Goyal’s view was too harsh. They argued that food delivery and quick commerce startups solve real problems for millions of Indians and create jobs.

What’s Happening at Startup Mahakumbh 2025?

The event itself is bigger this year, with 3,000 startups, 1,000 investors, and people from 64 countries joining. It started on April 3 and will run until April 5. Goyal and Minister of State Jitin Prasada inaugurated this event which shows government interested in india's startup ecosystem. There’s even a ₹50 crore grant challenge to help new entrepreneurs. The Mahakumbh aims to be a place for learning and networking, with pavilions twice the size of last year’s.

Leaders Push Back and Look Ahead

The back-and-forth between Goyal and startup leaders has everyone talking. Ashneer Grover, another big name in India’s startup world, told Goyal to focus on growing the economy before “chiding job creators.” Vironika, founder of Proxygyan, said Goyal’s words made people think hard about deep tech, but it takes time and a mindset shift to get there.

Goyal didn’t just criticize—he also praised the Mahakumbh organizers and suggested making the next event even bigger, with participants from all 770 districts of India. He wants a nationwide contest to find young talent from colleges and incubators.

What’s Next?

The debate over Goyal’s statements shows the tension between India’s startup growth and its tech ambitions. While the minister wants startups to dream big in high-tech fields, founders say they need more support—like money and better rules—to make it happen. 

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