How Can a Startup in Bhutan Help in Reducing Unemployment?
Unemployment, undoubtedly, is an issue in Bhutan. According to the labor force survey report, in 2020, the overall unemployment rate in Bhutan hit 5%.This figure is directly related to the Covid-19 pandemic. The novel virus affected businesses in Bhutan and put the Bhutanese economy to a standstill.
Often, the emphasis on the export of hydroelectricity and tourism has been overstated. It is fair to shift the topic of discussion to the emergence of start-ups in Bhutan. Start-ups have gained momentum and their potential to contribute to the economy is humongous.
The growth of start-ups in Bhutan involves a process. The foremost step toward being an established start-up is mobilizing resources for investment.
Now, coming to the crux of the content, the following information will guide you regarding, “How a startup in Bhutan assists in reducing unemployment.”
SUSTENANCE VS CREATING EMPLOYMENT
A startup should be able to sustain itself before creating employment. Sustenance means being self-sufficient in all facets! This will only occur after months or even years of hard work and perseverance. A start-up should be a powerhouse of ideas. These ideas should, in turn, be able to make a massive difference. Eventually, such a venture should work efficiently to invest resources such as time, money, and effort to upgrade themselves from the ‘sustenance’ phase to the phase of ‘creating employment.
In contrast to the overall unemployment rate, the youth unemployment rate statistics in Bhutan according to the labor force survey report, 2020 showed a staggering 22.6%.
With the growth in unemployment, there has been an increase in criminalized activities of the youth. Start-ups in Bhutan should be able to fulfill their objective of recruiting as many youths as possible. The youth unemployment rate and the overall unemployment rate share a cause-and-effect relationship. The decrease in the youth unemployment rate would eventually decrease the overall unemployment rate too. Remarkably, this change would have a direct impact on the decrease in criminal activities associated with youth.
COMMUNICATING IDEAS THROUGH A CONVENIENT CHANNEL
You would have heard the phrase, “Great minds think alike.” There was a dire need for the existence of a platform for people who shared similar goals and aspirations. This platform finally got formulated in the form of the CSI Startup Centre, located at Changzamtog, Thimphu.
Exquisite business ideas in the Start-up center are fostered and supported through inputs such as training, marketing, mentoring, designing, and development of products. The CSI market promotes and sells products of the local start-ups in the market.
These start-ups would have previously faced problems while penetrating the market because of staunch competition from other international products. However, the initiative of few start-up companies to come up with highly ambitious blueprints of success has been commendable. For example, within a short time, AB Ventures, a start-up company that involves collaboration between Bhutan and Australia has built a strong foundation with its specific targets firmly affixed.
The increase in start-ups indicates good news for the Bhutanese economy. The only way for start-ups in Bhutan is forward.
Start-ups can be marketed through several channels. The future of a business and in this case, start-ups too, depends on the efficiency of digital marketing. Job descriptions such as social media management, graphic designing, and content writing attract the attention of youth. In turn, recruits who excel in these designations can boost the status of the start-ups by marketing their products and services. Consequently, the start-ups who hire these recruits gain the expertise of these people and experience growth.
SUPPORT RURAL COMMUNITIES
There are start-ups in Bhutan that contribute toward community development. These start-ups support many rural households. The agricultural produce of the villagers is utilized by the start-ups in the form of raw materials. These rural communities thus attain the status of being called commercial farmers. Bhu Org farm and Kingdom Essences are two of the renowned start-ups in Gelephu and Trongsa respectively. Other start-ups rooted in the villages support themselves too. They manufacture products such as cheese, tofu, ice cream, and bio-fertilizers. CSIs such as OGOP and Bhutan Natural also rear honey.
Written by: Vyas Chettri