In an effort to promote Odisha as an attractive destination for the electronics industry, State Cabinet headed by Chief Minister Naveen Patnaik on Tuesday approved "Odisha Electronics Policy 2021" to promote the Electronics manufacturing sector in the State.
This scheme will remain in force until 31st March 2026 or till substituted by another scheme.
"The Odisha Electronics Policy 2021 has been formulated to stimulate the Electronics System Design and Manufacturing (ESDM) industry in our state. It has been conceptualized to position Odisha as an attractive destination for the Electronics industry by providing a congenial, industry-friendly and proactive industrial climate with class-leading infrastructure, supporting facilities and policy initiatives. These, coupled with a skilled workforce would create a favourable ecosystem for growth and development of the Electronics industry in Odisha," said a statement from the Electronics and IT Department.
The statement adds. "This Policy aspires to promote excellence and innovation in the Electronics sector and significantly augment the availability of skilled manpower with a special focus on fostering a culture of research, innovation and entrepreneurship by building an ecosystem of interlinked Academia-Industry-Professional-Leaders. It also aims to give emphasis on MSME enterprises as the growth drivers of the economy."
Plenty of incentives will be provided under the policy to the stakeholders in the industry. New investment and expansion can avail production Linked Incentive (PLI) at 1 per cent of annual turnover for 5 years starting from the year of commencement of production, on a first come first serve basis for the first 10 investments.
Subsidy of range from Rs.10 crores to Rs. 250 crores will be provided to ESDM Units on the basis of their fixed capital investment.
In power incentives, exemption of Electricity Duty and Electrical Inspection Fees for a period of 5 Years. The eligible ESDM Units would be provided subsidy on power bills for a period of 5 years at 30 per cent limited to Rs. 50 Lakhs per unit. Besides, in the land incentives, 100 per cent exemption of stamp duty and 50 per cent exemption on the second transaction. Reimbursement of 100% of land conversion charges payable for converting land from agricultural use to industrial use will be provided.
A Subsidy of 10 per cent of Investment Subsidy limited to Rs. 1 crore will be provided to Entrepreneurs who are Women, SC/ST or persons with Disabilities. Provision of an additional 25 per cent subsidy on lease rentals up to Rs. 10 lakhs per Annum for 5 years will be provided.
The Government will provide special incentives to units that employ local youths on their roll. Local Enterprises are eligible to get set preference in public procurement as provided to the MSMEs, startups as per OGFR/Finance Department's 0M.
25% reimbursement on cleaner/greener production measures limited to Rs. 20 lakhs per unit on the basis of certification by accredited certifying agencies will be provided.
Recruitment Assistance will be provided at Rs. 8000 per newly recruited regular employee who are domiciles of Odisha with a maximum limit of Rs. 30 Lakhs for a period of 3 years. Additional Rs. 2000 will be provided for the employees who are Women, SC/ST or persons with disabilities.
Eligible Units will also be entitled to interest subsidy for timely payment at 5 per cent per annum on term loan availed from Public Financial Institutions/Banks for a period of 6 Years from the date of commencement of production.
Lastly, reimbursement of 100 per cent State Component of GST (SGST) as per actual paid for a period for 5 Years from the date of state of commercial production limited to 100% of the Fixed Capital Investment will be provided.
An Apex Committee chaired by the Chief Secretary will be formed to monitor the Policy implementation with regard to its target and objectives. The Odisha Computer Applications Centre (OCAC) on behalf of the Electronics and IT Department will be responsible for day-to-day monitoring of various activities under this policy.
( With inputs from ANI )
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor