The government has cleared 74 investment proposals worth Rs 17,300 crore in the electronics manufacturing sector.
“Out of 195 proposals, entailing an investment worth Rs 1.21 lakh crore, we have approved 74 applications amounting to Rs 17,300 crore,” Ajay Kumar, additional secretary in the department of electronics and IT (DeitY), told ET.
Kumar said 94 proposals are at different stages of approval while 27 investment proposals have been declined due to “lack of communication” between the department and the private firms which submitted them.
“The government is giving tremendous importance to this (electronics) sector,” Kumar said, adding that the enthusiasm among private firms is such that some are even willing to diversify their business to include electronics.
The Centre, through its ‘Make in India’ programme, aims to fuel domestic manufacturing of electronic products in order to cut imports to zero by 2020. It is in talks with various large companies which are eager to establish production units in the country .
Chinese companies alone are expected to invest ‘Rs 13,400 crore to $2-3 billion (Rs 20,100 crore) in the Indian’ mobile manufacturing sector over the next two years.
The National Policy on Electronics aims to attract Rs 6.5 lakh crore worth of investment and generate employment for 28 million individuals. It entails setting up of at least 200 electronic manufacturing clusters by 2020.
The government is providing incentives to private firms to support capital expenditure, skill development, intellectual proprietary rights and exports. James Paxton JerseyShare This