Question : Development of Electronics and IT Sector

Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to state:
(a) whether the Government has any special projects, schemes for development of Electronics and Information Technology sectors in Tamil Nadu and if so, the details thereof;
(b) the total amount allocated and disbursed in the last three years in this regard;
(c) whether the Government has taken any effective steps to support and develop the large number of small and medium-sized IT and ITES companies in Tamil Nadu; and
(d) if so, the details thereof?

(a): The Government has launched an India BPO Promotion Scheme (IBPS) under Digital India Programme. IBPS provides employment opportunities through promotion of investment in IT/ ITeS sector across the country including Tamil Nadu.

The IBPS incentivises setting up of 48,300 seats for BPO/ ITeS operation through financial support up to Rs. 1 lakh per seat in the form of Viability Gap Funding (VGF) towards Capital and Operational expenditure. The Scheme also provide special incentives to the units for promoting employment to women and especially abled persons, setting-up of operations in locations other than the State Capitals, generating employment beyond target, and promoting local entrepreneurs, within the overall Viability Gap Funding of Rs. 1 lakh per seat. Till now, in the State of Tamil Nadu 45 units have been approved to setup BPO/ITeS operations for a total of 6370 seats, Out of which 26 units for a total of 4120 seats have started operations across 17 locations.

Electronic manufacturing Modified Special Incentive Package Scheme (M-SIPS) has been launched by the Government in 2012. The Scheme provides 20-25% subsidy for investments in capital expenditure for setting up of new electronic manufacturing facility or expansion of the existing electronic manufacturing facility. These incentives are available in any industrial area notified by Centre/ State/ local authorities across the country.

(b): The total outlay of the IBPS scheme is Rs. 493 crore of which till now Rs. 1.68 crore has been disbursed/ approved to BPO/ ITeS units in Tamil Nadu.

Under the M-SIPS, 9 applications with proposed investment of Rs. 4,547 crore have been approved for the State of Tamil Nadu of which Rs. 43.67 Cr. has been disbursed.

(c) and (d) In addition to IBPS and M-SIPS, Government is implementing Software Technology Parks (STP) scheme and the Electronics Hardware Technology Parks (EHTP) scheme for the promotion of IT/ ITeS/ Hardware industry including SMEs. A total of 58 STPI Centres have been established in the country, out of which 5 STPI Centres are operational in the State of Tamil Nadu.
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