‘Now’ is the right time to launch a business in Nagaland

Posted by Admin

August 7, 2025

The Department for Promotion of Industry and Internal Trade (DPIIT) reported that as of January 31, 2025, Nagaland had 88 DPIIT-recognized Startups and as of July 2025 over 60,000 MSMEs registered on the Udyam Portal. Although this figure may appear modest in absolute terms it indicates that the idea of entrepreneurship is no longer limited to a niche demographic. Instead, it is gradually becoming embedded in the broader economic aspirations of the state.
One of the key enablers of this shift has been the Startup Nagaland Policy, initiated by the state government to promote and support startup culture. Through seed funding, incubation support, policy facilitation, and access to shared infrastructure, this policy has created a more structured and responsive ecosystem for aspiring entrepreneurs. The establishment of nodal agencies such as the Investment and Development Authority of Nagaland (IDAN) has further strengthened this ecosystem by fostering inter-agency coordination, policy advocacy, and facilitation of knowledge-sharing platforms.

This institutional support has been complemented by central initiatives under the Startup India umbrella. Since its launch in 2016, the Startup India programme has extended training and mentoring programmes such as the ASCEND Start-up Workshop Series, and Knowledge Exchange and Capacity Building Workshops. These platforms have been instrumental in equipping entrepreneurs with technical know-how, regulatory awareness, and operational best practices all essential for running a sustainable business.

Particularly noteworthy is the Startup India Yatra, launched in 2017, which has made concerted efforts to reach rural and semi-urban areas in Nagaland. By conducting bootcamps and idea-pitching sessions in educational institutions and local communities, the initiative has succeeded in drawing interest from individuals who may not have previously considered business creation as a viable path. Similarly, the WING (Women Entrepreneurship Program) has offered gender-responsive training and funding acces.

Financial institutions have also played a vital role in making entrepreneurship more accessible. The North Eastern Development Finance Corporation Ltd. (NEDFi), operating under the Ministry of Development of North Eastern Region (MDONER), has been active in providing financial assistance to early-stage businesses in Nagaland. Its role in extending credit and capacity-building support to local enterprises has been significantly crucial.

The present moment is also defined by several larger trends that favour entrepreneurship in Nagaland. First, there is an increasing awareness about the limitations of the traditional employment model and entrepreneurship offers an opportunity for creative expression, economic independence and impact at the community level.

Second, digital infrastructure has improved significantly, even in remote areas of the state. Greater internet penetration, widespread smartphone use, and the availability of digital payment systems has created a level playing field for small businesses and allowed them to collaborate and manage operations.

Third, there is a cultural and generational shift underway. The notion that meaningful work must happen elsewhere in larger cities or outside the state is being challenged. Increasingly, people are choosing to build where they are.
Of course, challenges remain. Infrastructure gaps, limited market access, and high logistical costs. However, the emerging ecosystem is better prepared today than it was a few years ago to respond to these challenges. With policy momentum and institutional backing the conditions are aligned for entrepreneurial growth. Yet, one of the biggest gaps that persist is that local entrepreneurs still hesitate to invest in themselves. Until this mind-set shifts, even the best policy frameworks and financial support will fall short of their transformative potential.

In conclusion, for those considering entrepreneurship whether in services, agriculture, technology, crafts, or education there is no better time to begin. The state has never been more prepared, and the need for innovation, job creation, and community-based enterprises has never been more urgent. Those who act now will not only benefit from the current momentum but will also help shape the future of business in Nagaland.

Entrepreneur School of Business, Dimapur

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