New Delhi, April 4, 2025: The stage of Startup Mahakumbh 2025 is the center of discussion these days. In this event going on at Bharat Mandapam in New Delhi, a comment by Union Commerce and Industry Minister Piyush Goyal has created a new controversy. Goyal questioned India’s startup ecosystem and linked it to China, after which a wave of resentment ran among entrepreneurs. In this debate, Adit Palicha, CEO of quick commerce company Zepto, took the lead and gave a befitting reply to the government with figures.

What is the whole matter?

From the stage of Startup Mahakumbh, Piyush Goyal compared the startup scenario of India and China. He said, “Should we aspire to be delivery boys and girls? Is this the future of India?” Goyal was pointing towards those startups, which according to him are focused on food delivery and hyperfast logistics. He further said, “We are pushing the youth towards cheap labour so that the rich can sit at home and eat. We are proud of what India has achieved, but are we the best in the world? Not yet.”
Goyal cited the example of China, where startups are moving ahead in areas such as robotics, machine learning and semiconductors, while India is still stuck in convenience-based services. This statement created a stir in the startup community.
Zepto CEO’s response: Criticism is easy, reality is different
Zepto CEO Adit Palicha expressed his views on the social media platform X on Goyal’s comment. He wrote, “It is easy to criticise Indian consumer internet startups, especially when you compare them to the technological excellence of the US and China. But the truth is that today 1.5 lakh people are earning their livelihood from Zepto – a company that did not even exist 3.5 years ago.”

Presenting figures, Palicha said, “We pay more than Rs 1,000 crore in taxes to the government every year, have brought in more than a billion dollars in foreign investment and have invested hundreds of crores of rupees in improving India’s supply chain, especially for fresh fruits and vegetables. If this is not a miracle of Indian innovation, I don’t know what is.” His post quickly went viral and fueled the debate in favor of startups.

Emphasis on the power of startups

Palicha underlined the contribution of startups and said that these companies are not only providing employment but are also strengthening the economy and technology. He termed the delivery staff as the “backbone of the ecosystem” and asked, “Is the contribution of these people less?” He argued that startups are not only providing convenience but are also solving complex problems.

He also raised a big question, “Why doesn’t India have its own big AI model?” In response, he himself says, “Because we have not yet created strong internet companies. The technological revolution in the world started with consumer internet companies – be it Google, Amazon or Alibaba.” Palicha appealed to the government and investors to support startups instead of pulling them down.

Resentment among entrepreneurs, debate intensifies

Palicha is not alone. Many entrepreneurs are angry with Goyal’s remarks. A startup founder, on the condition of anonymity, said, “We work hard day and night, create jobs, pay taxes, yet we have to hear that we are creating cheap labor. This is disappointing.” Analysts believe that Goyal’s intention may have been to inspire startups towards deep technology, but his tone was critical, which gave rise to debate.

What do the figures say?

The impact of companies like Zepto is really big. 1.5 lakh jobs in 3.5 years and a tax contribution of over Rs 1,000 crore is proof that quick commerce is becoming the pivot of the economy, not just convenience. On the other hand, the number of deep-tech startups in India is still limited. According to a report, while China has thousands of deep-tech startups, the figure in India is around 1,000.

The way forward
This controversy gives rise to a bigger question—does India need a balance between convenience-based startups and deep-tech? While Goyal’s comment sparked a debate, Palicha’s answer brought out the power of startups. “India needs both. Delivery staff is as important as AI engineers,” said a tech expert.

For now, the stage of Startup Maha Kumbh is witnessing a war of ideas. It remains to be seen in which direction the government and entrepreneurs take this debate. But one thing is certain that India’s startup ecosystem is ready to make its mark—be it delivery or deep-tech.