Chennai: Chief Minister Edappadi K Palaniswami today unveiled a new electronics and hardware manufacturing policy. The new policy is expected to increase the State’s electronics industry output to $100 billion by 2025.
The policy will also undertake skill training for more than 1,00,000 people by 2024 to meet the incremental human resource requirement projected by NSDC for the State in electronics and hardware sector.
Aligned with the National Policy of Electronics 2019, the State government will provide special support for developing core competencies in the sub sectors.
According to the policy, all incentives offered by the state government to units in the electronics manufacturing industry shall be in addition to the incentives offered by the government of India to those units. Investments made from 1 January will be considered eligible for availing incentives.
The government will formulate a special package of incentives for ESDM units in the MSME sector. For core investments the policy has identified districts in three categories.
For investments worth Rs 200-500 crore capital subsidy in category A district would be 15 per cent, in category B district 20 per cent and in C category district 25 per cent. For inveestments over Rs 500 crore capital subsidy in A district would be 18 per cent, B district 24 per cent and in C district 30 per cent.
According to the policy, the State will also support start-ups in the electronics and hardware space by promoting the development and acquisition of IPs in ESDM sector, support well-functioning ATAL Tinkering Labs for the procurement of new, electronic equipment, establish a cloud server to connect all the incubation centres across the state and make it available to all the start-ups, at low or nominal costs.
The government also announced stamp duty exemption, training subsidy, interest subsidy, exemption of electricity tax, environmental protection infrastructure, subsidy for intellectual capital among others.