:-
(a) whether the Government proposes to formulate a policy for development of electronic and IT hardware production in the country;
(b) if so, the details thereof;
(c) whether the Government proposes to announce special incentive package for setting up of FAB (fabrication) units in the country;
(d) if so, the details thereof; and
(e) the extent to which IT industry is likely to be benefited by such initiatives?
MINISTER OF STATE FOR COMMUNICATIONS AND INFORMATION TECHNOLOGY(DR.SHAKEEL AHMAD)
(a) to (e): In the last few years, the Government has taken a
number of measures to promote the growth of Electronics /Information Technology Hardware Manufacturing Industry, as given at Annexure. This is an on going process.
The Government has accorded approval to the Special
Incentive Package Scheme to attract investments for setting up
Semiconductor Fabrication and other micro and nano technology
manufacture industries in India. The incentive would be 20% of the
capital expenditure if the units are set up in the Special
Economic Zones (SEZ). For units set up outside SEZ, the incentive
would be 25% of the capital expenditure plus exemption from
countervailing duty (CVD). `Fab units` with threshold Net Present
Value (NPV) investment of Rs.2500 crore would be covered by the
Special Incentive Package Scheme. For other units in the eco-
system, there would be a threshold NPV investment of Rs.1000
crore. The details to implement the scheme are being finalized.
The Special Incentive Package will attract investments
to set up Semiconductor Fabrication and other micro and nano
technology manufacture industries in India, which will also create
an eco system for the development of Electronics/IT Hardware
manufacturing.