"For the sport of athletics to expand it is very important to have a grass root level structure. Youngsters should be given the right environment and encouragement to build the sport," the British runner told reporters in Mumbai on Friday.
"Talent is there but it's important to start from scratch. It's about people investing in initiatives that would be fruitful in future," Holmes, brand ambassador of the Standard Chartered Mumbai Marathon, added.
Holmes was of the view that the most successful athletes are those with inner drive and ability to push themselves beyond limits.
Talking about her gold medal-wining effort in the 800 and 1500 metres at the 2004 Athens Olympics, Holmes, who was awarded an MBE in 1998, said she made a lot of changes to her approach in the build-up to the Games.
"I think the pressure was on myself; I made a lot of changes in the approach, the physio work, the nutritional side, health side, the training programme leading up to the Games. All this gave me the extra confidence that I could do it," she said.
On her first visit to India, Holmes, who claimed her first gold medal at the 1994 Commonwealth Games, said despite injuries the one thing that kept her going was her desire to be an Olympic champion.
"To become an Olympic champion was a vision since the age of 14 and I stuck to my task since despite adversities," said Holmes, who considers British athletics legend Sebastian Coe, whose passion and commitment she tried to emulate, her hero.
Retiring from the sport two years back, she revealed that her army stint helped tremendously to grow as an athlete.
"They gave me every element to be successful as an international athlete -- the discipline, dedication and respect -- planning and preparation put later into action.
"It gave me an air of confidence, little bit of aggression and put me in good stead as an athlete," said Holmes.