Electronics manufacturing policy may soon get nod [Governance]
- NITI Aayog may seek Cabinet’s approval in a fortnight for a long-term policy to boost manufacturing of electronic products by providing a host of incentives to attract investment.
- In view of great potential of electronics manufacturing sector, NITI Aayog has prepared a draft strategy paper titled ’Make in India—Strategy for Electronic Products.’
- Aayog had suggested a 10-year tax holiday for companies investing over $1 billion that can also create 20,000 jobs in electronics manufacturing activities. This would help bring some large foreign firms to India.
- NITI Aayog has also been asked to devise an export-oriented strategy for the industry, saying the domestic market at $65 billion remains small in relation to the world market, which is in excess of $2 trillion.
- NITI suggested that the country needs to forge free trade agreements (FTAs) to create duty-free market for electronic goods. It had also suggested setting up coastal economic zones (CEZ) which may be up to 200-250 kilometres wide from the coastline.