The Department for Promotion of Industry and Internal Trade (DPIIT) has signed agreements with more than 50 companies, such as ITC, Flipkart, and Mercedes-Benz, to foster a manufacturing and innovation environment for startups, according to reports.

The department has actively contacted several major corporations, industry groups, veterans, and unicorns to highlight the significance of establishing manufacturing incubators and the advantages of engaging with manufacturing startups.

The official stated that the department has signed memorandums of understanding (MoUs) with more than 50 companies for this.

This initiative aims to promote the startup ecosystem and the broader industry to enhance innovation in manufacturing through support and collaboration with startups, as well as the creation of manufacturing incubators.

Companies that have signed these MoUs with the DPIIT include boAT, HDFC Capital Advisors, Hero Moto, Zepto, Kotak Mahindra Bank, Yes Bank, Paytm, Walmart, and Ather Energy.

Also Read: Gemini Ultra, Veo 3, Stitch and More Highlights from Google I/O 2025

The activity is crucial since manufacturing startups need backing from various ecosystem participants to develop and expand.

Incubators centered on manufacturing are crucial supporters of startups since they offer vital pilot, scaling, and manufacturing spaces that deliver plug-and-play solutions to product startups, alleviating the pressure of significant capital expenditures.

Also Read: Moments of Transformation from India's Post-Independence Tech Progress

These incubators offer shared resources for startups to aid in innovative product creation and initial manufacturing, facilitating growth and expansion of the ecosystem.

They also serve as a bridge between startups and medium to large enterprises, offering access to pilot manufacturing facilities, testing grounds, prototyping labs, design studios, and assistance in technology management, market entry, and risk funding.

Also Read: The Global Fintech Fest 2025: Enabling Finance for Better World

According to reports, various entities, including corporations, academic institutions, and research organizations, can establish such incubators.