India's states are actively rewriting the rules of the business landscape, initiating a series of reforms aimed at attracting startups and boosting manufacturing. These changes include easing land and labor regulations, reducing the frequency of compliance checks, and enabling mixed-use developments, which collectively contribute to a more business-friendly environment.
Several states are at the forefront of this transformation, with Madhya Pradesh, Andhra Pradesh, and Tripura leading the way by focusing on eliminating operational hurdles. Madhya Pradesh has been recognized as a "top achiever state" in key business reform areas such as business entry, labor regulation, land administration, and the service sector under the Business Reform Action Plan (BRAP) 2024. The state has focused on transforming "Ease of Doing Business" into "speed, scale, and skill of doing".
Other states including Maharashtra, Assam, Himachal Pradesh, Haryana, Odisha, and Uttar Pradesh have also been recognized as top achievers in three reform areas. Gujarat, Karnataka, and Tripura have been recognized in two reform areas, while Goa and Meghalaya were recognized in one.
The reforms extend to simplifying corporate compliance, reducing costs, and improving the ease of doing business for startups and MSMEs. Landmark reforms include enabling direct overseas listing for Indian public companies, which strengthens Brand India and provides tech startups with access to global capital markets. Faceless adjudication of corporate default cases via online video conferencing is also reducing friction for founders and directors by replacing physical hearings with digital ones, saving time and costs. Furthermore, mergers, especially those involving foreign holding companies merging with Indian subsidiaries, now only require Central Government approval, allowing the National Company Law Tribunal (NCLT) to focus on more complex cases.
For early-stage founders, starting a business has become faster and less costly. The SPICe+ integrated web form combines 11 key services, from name reservation to PAN, GST, and even EPFO/ESIC registrations. Zero incorporation fees for companies with authorized capital up to ₹15 lakh significantly lower entry barriers. The Central Registration Centre and Central Processing Centre now handle company and LLP incorporation centrally, ensuring uniformity and speed.
In addition to these broader reforms, a new wave of young entrepreneurs is revitalizing Ayurveda, blending traditional wellness principles with modern tools such as AI and biotechnology. These "ayurpreneurs" are focusing on sustainable, science-backed products and addressing the global demand for natural health solutions. Many are collaborating directly with farmers, promoting regenerative agriculture, reviving endangered herbs, and ensuring ethical harvesting.
The Union Minister of Commerce and Industry, Shri Piyush Goyal, has emphasized the central government's commitment to supporting states and union territories in ensuring high-quality products reach consumers. He also highlighted the importance of strong Centre–State collaboration in driving industrial growth, encouraging states and union territories to establish third-party mechanisms to effectively implement and monitor industrial incentives.
