- Under this policy, investors will be eligible for capital subsidy of 15 per cent and additional capacity subsidy of 10 per cent on investments of more than Rs. 1000 crore
- The state’s prime focus will also be to establish three Electronics Manufacturing Clusters focusing on mobile manufacturing consumer durables, telecom, IT hardware, medical equipment, defence, among others
- The policy aims at inviting investments of Rs. 40,000 crore in five years and creating 4 lakh direct jobs
According to a report, the Uttar Pradesh government released a new electronics manufacturing policy to become a global electronics hub. This will in turn help in attracting international investors looking to shift their base in India in the post Covid 19 Scenario.
An official spokesman revealed that the policy aims at inviting investments of Rs. 40,000 crore in five years and creating 4 lakh direct jobs. Uttar Pradesh Electronics Manufacturing Policy 2017 received tremendous success and it had also the achieved the given target of investment and employment generation in the third year itself.
Mobile manufacturing hubs
Noida, Greater Noida and Yamuna Expressway regions have been manifested as on one of the upcoming mobile manufacturing hubs in the world which has attracted foreign direct investments from many countries. The state accounts for than 60 per cent of all the mobile phones manufactured inn India.
The coverage of the new electronics manufacturing policy 2020 has been extended to the entire state from the current electronics manufacturing zones of Noida, Greater Noida and Yamuna Expressway regions. This would further accelerate the electronics ecosystem.
Upcoming manufacturing units
The incentives proposed in the policy shall be applicable to all units setting up their bases anywhere in Uttar Pradesh. Furthermore, to address the regional imbalance, double the rate of land subsidy has been provided to investors for setting up manufacturing units in Bundelkhand and Purvanchal regions.
To promote MSME units in electronic manufacturing, the state government will encourage development of rental facilities on ‘Plug and Play’ model through public private partnership (PPP) mode.
Establishing Centres of Excellence
The state government is looking forward to create world class infrastructure in the form of Centres of Excellence to promote research, innovation and entrepreneurship in the ESDM (Electronic System Design and Manufacturing) industry.
The state’s prime focus will also be to establish three Electronics Manufacturing Clusters focusing on mobile manufacturing consumer durables, telecom, IT hardware, medical equipment, defence, among others.
Under this policy, investors will be eligible for capital subsidy of 15 per cent and additional capacity subsidy of 10 per cent on investments of more than Rs. 1000 crore. Along with this, they would also be eligible for interest subsidy of 5 per cent per annum on the loan obtained from scheduled banks/financial institutions, the spokesman added.
