Twitter
Advertisement

Single window clearance for electronics manufacturing in works

The single window clearance for investors will be strengthened for facilitation of investment in electronics system and design manufacturing sector

Latest News
article-main
FacebookTwitterWhatsappLinkedin

Ministry of electronics and IT plans to strengthen the single window clearance for global investors to attract more companies in electronics manufacturing in India.

The ministry plans to handhold foreign firms till manufacturing unit becomes functional, according to the draft of the new policy, formulated to make the country import free in next couple of years apart from making India a global hub for electronics manufacturing.

The demand for electronics hardware is expected to reach $400 billion by 2023-24 which is why there is a huge push from the government for domestic manufacturing of electronics hardware and design in the electronics segment.

The single window clearance for investors will be strengthened for facilitation of investment in electronics system and design manufacturing (ESDM) sector as a one-stop shop for facilitation of investments/ businesses, coordination with the state governments, establishment of joint ventures, obtaining speedy approvals by coordinating with the concerned government agencies on behalf of the investors and hand-holding them till the manufacturing unit becomes functional, according to the draft policy.

A senior official from the ministry of electronics and IT says one of the main objectives of the new policy is to attract global manufacturers to the shore of the Indian market. Though there have been some firms who have been manufacturing here including mobile handset companies, but that's mainly for domestic consumption and not for exports. "Besides domestic manufacturing, the aim is to make India an export hub. Many measures for ease of doing business have been outlined in the draft to attract foreign firms."

There is also a proposal to promote investment in mega facilities abroad, such as an existing FAB facility, including support for setting up of research and development units abroad, where ecosystem exists for a particular technology.

The policy released by ministry late on Wednesday has a big focus on export promotion. It plans to provide an attractive package of incentives for promotion of indigenization and export of electronics allowing Indian ESDM exporters by facilitating global market access, entering into Free Trade Agreements (FTAs) with economies such as EU, Africa, South America.

"India cannot afford to bear a huge foreign exchange outgo on the import of electronics alone. Therefore, promoting domestic electronics hardware manufacturing, with high-value addition is of critical importance," the draft policy said.

Another important aspect of the policy is e-waste management. The policy will promote research, innovation and support to industry for green processes and sustainable e-waste management, including safe disposal in environment-friendly manner and development of e-waste recycling industry and adoption of best practices in e-waste management. DNA Money had reported about ministry's plans on e-waste in April this year on how the biggest challenge is the recycling of e-waste in non-formal units by unscientific, unhealthy and non-environmental friendly methods and there is a plan to undertake an assessment of the inventory of e-waste across states apart from creating awareness campaigns around it.

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement