Question : Incentives for Electronics Manufacturers

Will the Minister of Electronics and Information Technology be pleased to state:

(a) the status of the proposed fresh incentives and subsidies for electronics manufacturers;

(b) whether the Government proposes to incentivize the States by matching fifty per cent of the investments made by them in the Electronics System Design and Manufacturing (ESDM) and Intelligent Electronics Segment and if so, the details thereof;

(c) the status of renewal for the Modified Special Incentive Package Scheme (MSIPS), Electronics Manufacturing Cluster (EMC) and the Electronic Development Fund (EDF);

(d) whether the incentives proposed by the Government would also include setting up of new IT Parks and Centres in the country in addition to the existing IT SEZs; and

(e) if so, the details thereof along with the probable formation of new clusters and special zones in Karnataka, especially in Bengaluru?

(a) to (e): A Statement is laid on the Table of the House.








STATEMENT REFERRED TO IN REPLY TO LOK SABHA
STARRED QUESTION NO. *132 FOR 27-11-2019 REGARDING
INCENTIVES FOR ELECTRONICS MANUFACTURERS
......

(a): The aim of the new National Policy on Electronics, 2019 is to position India as a global hub for Electronics System Design and Manufacturing (ESDM) and create an enabling environment for the industry to compete globally. Under this policy, the Ministry of Electronics and Information Technology (MeitY), after due stakeholder consultation, has formulated the following three draft Schemes for promotion of electronics manufacturing in the country:

i. Interest Subvention Scheme
ii. Credit Guarantee Fund Scheme
iii. Electronics Manufacturing Clusters Scheme (EMC 2.0)

(b): No such proposal is under consideration of the Government.

(c): Though Modified Special Incentive Package Scheme (MSIPS) was closed to receive new applications on 31st December, 2018, applications received under MSIPS are for proposed investment till September, 2026.

The receipt of applications under Electronics Manufacturing Clusters (EMC) Scheme was closed in October, 2017. Disbursement of Grant-in-Aid will continue till October, 2022. Revised Electronics Manufacturing Clusters Scheme (EMC 2.0) is presently at draft stage.

Electronics Development Fund (EDF) was closed for selecting new Daughter Funds on 31st December, 2017. However, the funds are released as per the draw down requirements of approved Daughter Funds. Presently, there is no proposal under consideration to renew EDF.

(d): No, Sir.

(e): Does not arise.
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