On Thursday, April 3, 2025, Union Commerce Minister Piyush Goyal delivered a bold and unfiltered critique of India’s startup ecosystem during his address at the Startup Mahakumbh 2025 held at Bharat Mandapam in New Delhi. The event, now in its second edition, drew thousands of entrepreneurs, investors, and innovators, but Goyal’s words left the audience reflecting deeply on the direction of Indian entrepreneurship. He didn’t hold back, pointing out what he sees as a troubling lack of ambition and innovation among Indian startups, especially when compared to their Chinese counterparts.

Goyal kicked off his speech by unveiling a stark comparison between Indian and Chinese startups. He showcased a chart that highlighted how Indian startups are largely focused on food delivery, instant grocery services, and trendy consumer products—think fancy ice creams and cookies with eye-catching labels—while Chinese startups are making waves in cutting-edge fields like semiconductors, electric vehicles (EVs), battery technology, and Artificial Intelligence (AI). “We are very proud of what India is now,” Goyal said, acknowledging the nation’s progress. “But are we the best in the world as yet? Not yet. Should we aspire to be, or are we going to be happy being delivery boys and girls?” His question hung heavy in the air, challenging the room to rethink their goals.

He didn’t stop there. Goyal took aim at what he called superficial entrepreneurship. “Fancy ice cream and cookies—I know at least three or four billionaires whose children make one brand or the other of very fancy ice cream and cookies, and run a very successful business. I have no complaint against that. But is that the destiny of India?” he asked. He argued that slapping labels like “healthy ice cream,” “gluten-free,” or “vegan” on a product doesn’t make it a startup—it’s just business as usual. “This is not a startup. This is entrepreneurship. This is business,” he emphasized, urging the audience to distinguish between convenience-driven ventures and true innovation.

Goyal painted a vivid picture of the global competition. “Look at what the other side is doing—robotics, machine learning, preparing themselves for 3D manufacturing, next-generation factories that are more efficient. They compete with the rest of the world and capture markets,” he said. He reminded the young entrepreneurs that they are the ones who will shape India’s future. “We won’t be there to witness India in 2047. We are the sculptors of India, but you have to make Viksit Bharat 2047 happen. And that is eminently possible,” he added, tying his vision to the government’s goal of a developed India by its centennial independence.

India Needs to Choose Between Making Ice Cream and Semiconductor Chips

The Minister didn’t just critique—he offered a choice. “What will India be manufacturing, ice cream or chips (semiconductors)?” he asked pointedly. Goyal stressed that while India has made strides in AI and semiconductors, the journey is far from over. “We are developing our own Artificial Intelligence. We are investing heavily to become self-reliant, building chips, AI models. We should prepare the nation for the future,” he said. He celebrated successes like instant grocery delivery startups, which have attracted billions in valuation, but added a caveat: “I only wish they had more Indian investors rather than foreigners buying off all our startups.”

In a surprising twist, Goyal took a swipe at the investors on the popular TV show Shark Tank India. Addressing Aman Gupta, a well-known “shark” and co-founder of boAt, he said, “We will all have to show some courage for that. I am saying this to all the investors as well. Aman Gupta, please change your perspective on the Shark Tank.” His call was clear: investors need to stop chasing short-term gains and start backing ventures in transformative technologies like AI, semiconductors, and robotics.

Interestingly, Goyal admitted his speech wasn’t scripted. Holding up a piece of paper, he shared, “I had not planned this, by the way. Sitting there, I opened my talking points. I read it and said to myself that the people here have arrived organically, and if I speak a word from this, then I’ll be addressing an empty hall in the third edition of the Startup Mahakumbh.” His candidness added a human touch to his hard-hitting message, showing his frustration was genuine and his plea heartfelt.

For context, India’s startup ecosystem has indeed grown impressively—it’s now the third-largest in the world, with over 100 unicorns as of recent reports from the Department for Promotion of Industry and Internal Trade (DPIIT). Yet, Goyal’s comparison to China, where startups like BYD dominate EV markets and others lead in AI research, underscores a gap in deep-tech ambition.

Indian Entrepreneurs and Investors Need to Think Global: Goyal

Goyal’s vision wasn’t just about criticism—it was a rallying cry for ambition. “We’ll need to go global, we’ll need to think big. We’ll need to be ambitious. We’ll need to experiment. We’ll need to go beyond the boundaries of our own thinking,” he urged. He pointed out that India’s deep-tech ecosystem, with roughly a thousand startups, is still too small. “These are disturbing signs. Wealth creation in the short term may happen with some of these conveniences. But are we going to be limited to grocery stores only, or do we want to create an identity for India at the global level?” he asked.

He tied this ambition to the Modi government’s efforts to foster a startup-friendly environment. “Today, under Prime Minister Modi’s guidance and leadership, we are not aiming small,” Goyal said. He highlighted trade agreements with countries like the UK, Australia, Bahrain, and the European Union, noting that each includes a “startup bridge” to connect Indian innovators with global markets. “But I can’t take them to grocery stores and say this is what India is offering for startups,” he quipped, emphasizing the need for more substantial offerings.

Goyal also called on India’s unicorns—startups valued at over a billion dollars—to step up. “I appeal to the unicorns to contribute towards creating pools of domestic capital to support startups,” he said. He urged both Indian and global investors to be generous with clawbacks—contractual terms allowing entrepreneurs to reclaim equity—ensuring young founders retain “respectable ownership” of their ventures. Additionally, he proposed measures to help failed startups get back on their feet, signaling a balanced approach of critique and support.

For added context, recent data from Startup India shows that between 2014 and 2024, Indian startups received $160 billion in funding, compared to China’s $845 billion and the U.S.’s $2.3 trillion (as noted by Mohandas Pai in a response on X). Goyal’s push for domestic investment aligns with this gap, aiming to reduce reliance on foreign capital and build a self-sustaining ecosystem.

In sum, Piyush Goyal’s speech at Startup Mahakumbh 2025 was a wake-up call. He challenged Indian startups to move beyond convenience and aim for global leadership in technology, urging entrepreneurs and investors alike to think bigger, bolder, and beyond the grocery aisle. Whether this sparks a shift in focus—or a backlash from the startup community—remains to be seen, but his words have undeniably stirred the pot.