The Union Cabinet has approved the proposal to provide a special incentive package to promote large-scale manufacturing in the Electronic System Design and Manufacturing,ESDM sector. The Cabinet meeting chaired by Prime Minister Dr Manmohan Singh approved the proposal today.
According to an official release issued in New Delhi, it will foster the manufacturing of indigenously designed and manufactured chips creating a more cyber secure ecosystem in the country. The scheme is called the Modified Special Incentive Package Scheme , M-SIPS. The policy is expected to create an indigenous manufacturing eco-system for electronics in the country.
It will enable India to tap on the great economic potential that this knowledge sector offers. The increased development and manufacturing in the sector will lead to greater economic growth through more manufacturing and consequently greater employment in the sector.
The scheme provides subsidy for investments in capital expenditure – 20 per cent for investments in Special Economic Zones ,SEZs and 25 per cent in non-SEZs. The incentives are available for investments made in a project within a period of 10 years from the date of approval.
In another decision, the Cabinet Committee on Infrastructure, CCI, today approved the proposal for the development of the two laning of Raibarelly – Jaunpur section on NH – 231 in Uttar Pradesh under NHDP Phase IV on design, built ,finance, operate and transfer, DBFOT basis.
The main object of the project is to expedite the improvement of infrastructure in Uttar Pradesh and also in reducing the time and cost of travel for traffic, particularly heavy traffic, playing between Raibareilly – Jaunpur. It will also increase the employment potential for the local labourers for the project activities. The project will cover the districts of Raebareilly, CSM Nagar, Pratapgarh and Jaunpur in Uttar Pradesh.
The total cost estimated of the project will be 647.98 crore rupees out of which 78.62 crore rupees will be for land acquisition, resettlement and rehabilitation and preconstruction and 569.36 crore rupees will be for construction. The total length of the project will be 166.40 km.
