Take us through your journey transitioning from a corporate role to becoming an entrepreneur?
After completing my engineering in Electronics from IIT Kanpur, I did my MBA from ISB Hyderabad. Later, I worked with Google heading AdX for India, SEA, and Korea, and leading strategic initiatives across APAC. It was during my stint at Google that my horizon expanded, and I felt inclined towards entrepreneurship. I was working for one of the world’s most innovative companies and I realised that there were some fundamental gaps in the market that needed solutions.
That’s when I founded Moglix. Moglix aimed to solve the challenge of unorganised procurement. We are on a journey to reimagine procurement and supply chain for the manufacturing sector with a tech-first approach.
Transitioning from a corporate role to entrepreneurship has been an incredibly rewarding journey. It does come with its own set of challenges. Every action one takes as an entrepreneur has a much wider impact than when one works as an individual employee. This also means that as a leader you’ve to act more responsibly. This greater level of responsibility was a new and thrilling challenge for me and proved to be a huge learning opportunity as well. Being an entrepreneur has helped me grow not just as a leader but also as a person.
As a first-generation entrepreneur, what are some of the factors that either attract people to entrepreneurship or dissuade them from pursuing it?
Entrepreneurship, to me, is akin to experimenting and problem-solving—constantly testing new ideas and seeing what works. I come from a non-business family. And while it was natural for me and expected from me, that I’d to follow a secure, well-defined path, I had the entrepreneur’s itch to build something of my own, to solve an unsolved problem. The thrill of building something from scratch is unmatched. There is a sense of purpose and passion in bringing your ideas to life, creating jobs, and potentially transforming industry practices.
There’s a steep learning curve that most successful entrepreneurs experience before they can be confident about their venture. The fear of failure can be daunting sometimes. You know a lot is at stake. Because you are responsible for yourself and your employees, you may sometimes lose work-life balance and feel burnt out.
Securing capital is another substantial hurdle, especially for those without established networks. Additionally, navigating regulations can feel overwhelming at times.
Having said this, the deep-rooted passion for solving larger-than-life problems is the primary motivation for many who finally navigate through these challenges. I’ve observed that successful entrepreneurs possess a similar fire— sense-of-purpose and resilience are two factors that truly make a difference.
India has the world’s third-largest startup ecosystem. According to you, how will startups help India’s become the third largest economy?
India is on the cusp of an economic transformation. We are poised to become a $7 trillion economy within the next seven years, a “7-in-7” milestone. At the center of this goal are startups that are propelling India towards a high growth trajectory.
There is a growing wave of digitization, transforming both consumer and B2B services. The penetration of the internet in tier-two and tier-three towns is creating huge demand for novel services. We are also witnessing a massive growth in sectors like food delivery, ride-hailing, and e-commerce. These have laid a robust foundation for a vibrant startup ecosystem. A growing middle class with increasing disposable income is also driving demand for superior-quality services and products. This demand is again fuelling a thriving startup ecosystem.
Besides filling market gaps and meeting growing demand, startups are vital in job creation and boosting local economies. Indian startups have generated approximately 12 million jobs and are set to create 50 million jobs by 2030. Moreover, with several startups mushrooming in fields like fintech, healthtech, edtech, EVs etc, startups that excel at emerging technologies can prove to be pioneers in their respective fields with truly transformative impact on industries globally.
As Indian startups expand globally, they are attracting massive capital inflows, further stimulating economic growth.
Entrepreneurship revolves more around technology and services rather than manufacturing. Is this perception changing in the Indian context?
Traditionally, startups in India have focused more on B2C-oriented technology and services. Be it IT, e-commerce, or fintech. However, the landscape is evolving. There is a renewed interest in manufacturing and industrial innovation. These SMEs are vital if India as a country aims to look inward to fulfill its manufacturing needs. Becoming an Aatmanirbhar (self-sufficient) Bharat, in other words.
There is government intent and push for India to become a global manufacturing powerhouse. There are strong tailwinds, including government PLI schemes to boost and nurture entrepreneurship in manufacturing. Given this, B2B marketplaces could be game changers. They streamline procurement for SMEs and large enterprises. Moglix is an example. We were initially an e-commerce site for industrial tools. Now, we have transformed into a comprehensive digital platform for procurement and supply chain management.
Today, we leverage AI and Industry 5.0 to provide efficient B2B solutions to manufacturing and other businesses. The opportunities are immense, and we are merely scratching the surface.
“India’s aspiration to become a $7 trillion economy within the next seven years is powered by our vibrant startup ecosystem. Embracing digitalization, these startups are revolutionizing industries globally and generating millions of jobs. Driven by a growing middle class and a relentless drive for innovation, India’s startups are not just reshaping their own country but also making a significant impact globally.”
Do you believe micro-entrepreneurs like street vendors, grocers, carpenters, and tailors are often overlooked in the entrepreneurship narrative? What actions should we take to support them?
The informal sector, comprising everyone from street vendors and small shop owners to household helpers, employs about 80% of India’s labour force and contributes 50% to its GDP. Agriculture which employs a huge workforce also comes under the informal sector. Those working in the unorganized sector lack formal job contracts or essential benefits like pensions and health insurance. Access to credit is another bottleneck.
Looking ahead, simplifying regulations and expanding access to benefits like pensions and health coverage would be transformative. Such measures would ensure that everyone in the unorganized sector can participate fairly in the economy and receive the support they deserve.
The government is implementing initiatives like microcredit schemes under the Pradhan Mantri Mudra Yojana (PMMY) and the Stand-Up India Scheme. These programs provide entrepreneurs in the informal sector access to much-needed finance and pave the way for broader economic inclusion.
How do you foresee the evolution of India’s industrial supply sector over the next 25 years, especially concerning the development of digital-trade ecosystems that connect B2B merchants and consumers?
India is entering an exciting new “tech-ade.” Historically, we have experienced a unique growth trajectory. Our services sector boomed to contribute 55% of GDP while manufacturing accounts for around 17%. However, to achieve our ambitious goal of becoming a $20 trillion economy by 2047, the manufacturing sector needs to elevate its contribution. With the right strategies and strong execution, we can push the manufacturing sector to comprise 22% of GDP.
Digitization is the key driver of this transformation. B2B e-commerce in India is gaining significant momentum. In 2022, it accounted for about 1% of the B2B market. As more MSMEs embrace digitalization, this sector is set to explode, potentially rising to 5% and becoming a $200 billion market by 2030.
The revolution in payment infrastructure is also playing a crucial role in transforming B2B transactions in India. With fast, secure, and convenient payment methods, businesses find it increasingly easier to interact with suppliers and customers, thereby streamlining operations and enhancing efficiency.
Over the next 25 years, India’s industrial supply sector will be reshaped by these digital-trade ecosystems. As more businesses adopt online platforms, the B2B marketplace will expand, driving robust economic growth and positioning India as a global manufacturing hub. However, amidst this promising future, there remains a significant gap in accessing credit facilities for MSMEs. Addressing this gap will be crucial for ensuring inclusive growth and maximizing the potential of small and medium enterprises in India’s industrial transformation. The future looks incredibly promising for our industrial sector, and we are on the cusp of a remarkable transformation that will propel India to new heights on the global stage.
Looking forward, what are your future goals and aspirations for Moglix’s role in philanthropy and social responsibility?
Sustainability lies at the core vision of Moglix. We are advancing with eco-friendly practices within our industry, and we are committed to the cause. Our primary focus is developing a circular supply chain. This closed-loop system reduces waste and maximizes resource efficiency, setting a new benchmark for operational excellence in logistics.
Moglix as an environmentally responsible company. Eco-friendly packaging solutions are a key element of our sustainability initiatives. We are transitioning to biodegradable materials and working to reduce packaging waste. This approach addresses pressing environmental concerns and resonates with our increasingly eco-conscious customers.
In line with our commitment to social responsibility, Moglix has proudly announced the launch of the Mogli Foundation. This philanthropic venture will focus on making significant contributions in the areas of Health, Environment, and Science, providing support through intellectual, physical, and financial means. Our efforts during the second wave of COVID-19 in 2021, when we supplied 2000+ O2 concentrators and delivered 15 mn+ PPE kits to more than 20 countries, show our dedication to making a tangible difference in times of need.
We are committed to creating a positive impact in our industry and in the broader community. We envision that our growth and success will contribute to a more sustainable and equitable future for all.