Yet, it is difficult to deny that food tech startups in India have been facing headwinds for some time now. Most companies scaled too fast, offered minimal delivery charges in a business where logistics costs are significant. Unsurprisingly, by end of 2015, some startups had to bite the dust.

In October 2015, for instance, Bengaluru-based Dazo shut down operations due to lack of funding. A month later, Mumbai-based TinyOwl Technology Pvt Ltd, scaled down operations amid news reports of lay-offs. In December, Foodpanda, funded by the local unit of Rocket Internet, laid off some 300 employees and was reportedly looking for buyers.

“What has happened is investors were promised specific growth rates and profitability estimates which were used for forecasting valuations,” said Arvind Singhal, chairman and managing director of Technopak, a consulting firm. “But both have not been met. These companies are taking longer than what they promised.”

“Initially exuberance had overtaken pragmatism,” he added.

Time for a reality check.

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