Arunachal CM Launches ACE Programme and 'Mini NITI Aayog'
CM Pema Khandu announces the ACE programme and ITA think tank to transform Arunachal Pradesh into a startup and investment hub.
In a major push to transform the economic landscape of the state, Arunachal Pradesh Chief Minister Pema Khandu has announced a series of high-impact initiatives aimed at strengthening the startup and investment ecosystem. Central to this vision is the launch of the Arunachal Creative Economy (ACE) programme and the establishment of the Institute for Transforming Arunachal (ITA), which the Chief Minister has described as a "mini NITI Aayog" for the state.
Speaking at a milestone event marking the graduation of the fourth cohort and the commencement of the fifth cohort of the Arunachal Pradesh Entrepreneurship Development Program (APEDP), Khandu outlined a roadmap to turn creative ideas into thriving economic enterprises. The move seeks to solidify Arunachal Pradesh's position as a leader in the Northeast startup scene.
A New Era for Startups and Policy
The newly proposed ACE programme, managed by the Chief Minister's Office, is designed to provide a dedicated platform for young innovators to scale their creative concepts into formal businesses. Complementing this, the ITA will function as an expert think tank, bringing together specialists to shape policy in critical sectors such as tourism and agriculture.
To bridge the gap between local talent and global capital, the Chief Minister revealed that he is actively engaging with venture capitalists. He plans to host a dedicated conference where existing startups from Arunachal can pitch their business models directly to potential investors.
Financial Incentives and Structural Reforms
The state government is also looking at significant fiscal support for growing businesses. Khandu has directed the Planning and Investment Department to consult with the Department for Promotion of Industry and Internal Trade (DPIIT) regarding state-level incentives. These may include income tax-related support for startups transitioning from simple proprietorships to more formal structures like Private Limited companies or Limited Liability Partnerships (LLPs).
Furthermore, the Chief Minister has ordered the acceleration of the conversion of the Arunachal Pradesh Innovation & Investment Park (APIIP) into a Section 8 company, a strategic move intended to enhance its operational efficiency in supporting the entrepreneurship ecosystem.
Scaling the APEDP Success Story
Since its inception in 2021 during the COVID-19 pandemic, the APEDP has been a cornerstone of the state's growth, helping to launch over 150 startups. The programme's success has placed Arunachal Pradesh among the top three states in the National Startup Ranking Framework—making it the only state in the Northeast to receive such recognition.
To build on this momentum, the government has implemented several scale-up measures:
- Increased Intake: The number of startups accepted under the programme has doubled from 50 to 100.
- Enhanced Seed Funding: Seed money has been significantly boosted, with amounts rising from 5 lakh to 10 lakh rupees, and from 4 lakh to 8 lakh rupees.
- Mentorship: The 100 entrepreneurs in Cohort 5 will undergo a nine-month incubation period at APIIP, receiving guidance from prestigious institutions, including the Indian Institutes of Management (IIM).
Local Successes Inspiring the Next Generation
The Chief Minister highlighted several alumni who have already made significant strides on both national and international stages. Notable examples include:
- Arunachal Ivory and Ornaments: Known for 3D-printed replicas of traditional headgear, featured in the Prime Minister's Mann Ki Baat.
- KT Marketing (Ziro): Winner of the Bharat Entrepreneur Award 2025.
- Popil Tunes: Selected for the STPI Octane Program 2025.
- House of Macnok (Pasighat): Engaged in a global project with the University of Oklahoma, USA.
- Mete Foods and Slot Allot: Recognized in the NEC's top 50 incubation list.
Expanding Academic Footprints
To ensure incubation services reach every corner of the state, the government has expanded its network of satellite incubation cells. Virtual inaugurations were held for cells at seven institutions, including Rajiv Gandhi University and NIT Jote. Additionally, five new Memorandums of Understanding (MoUs) were signed with colleges in Kamki, Bomdila, Tezu, Seppa, and Ziro to further decentralize support for young entrepreneurs.