Press Information Bureau

Government of India

Ministry of Communications & Information Technology

09-December-2011 15:43 IST

Shri Sachin Pilot, the Minister of State for Communications and Information Technology informed Rajya Sabha today in a written reply that a draft National Policy on Electronics has been announced on 3 October, 2011 and is available on www.mit.gov.in . A Round Table Conference on Electronic Policy 2011 was held in June 2011 by the Minister of Communications and Information Technology, representatives from Ministries/Department, industry associations, manufacturing units etc participated in the Round Table Conference.

The Minister further informed the House that the suggestions made in the aforesaid conference have been considered and several of these have been incorporated in the draft National Electronic Policy 2011. The salient ones include:

i) To facilitate setting up of Semiconductor Wafer Fabs and its eco-system for design and fabrication of chips and chip components.

ii) To provide Preferential Market Access for domestically manufactured/designed electronic products including mobile devices, SIM cards with enhanced features, etc. with special emphasis on Indian products for which IPR reside in India to address strategic and security concerns of the Government consistent with international commitments.

iii) To create an “Electronic Development Fund” to promote innovations and IP and R&D, commercialization of products, etc in ESDM, nano-electronics and IT sectors by providing appropriate funding/incentives to industry/academic/R&D institutions.

iv) To provide incentives for setting up of over 200 Electronic Manufacturing Clusters (EMCs) with world-class logistics and infrastructure and easy to do business facilities.

v) To provide attractive fiscal incentives across the value chain of ESDM sector through a Modified Special Incentive Package Scheme (M-SIPS) to eliminate the disability costs in manufacturing on account of infrastructure gaps relating to power, transportation, etc and to mitigate the relatively high cost of finance, etc.

vi) To set up a National Electronics Mission (NEM) with industry participation to evolve programmes in pursuit of the laid down policies and also to create institutional mechanism to advance the implementation of various programmes aimed at achieving the objectives enumerated in this policy and to promote as un Electronic Hardware Manufacturing Hub and suitably market “Brand India” in electronics.

The draft Policy proposes to achieve the turnover of electronic system design and manufacturing sector to USD 400 billion by 2020. This is expected to involve employment of around 28 million people at various levels, the reply stated.

SP/ska

National electronics policy to boost domestic manufacturing and prefer India-owned intellectual property for strategic supply security. Draft National Policy on Electronics proposes facilitation of Semiconductor Wafer Fabs and related ecosystems, establishment of over two hundred Electronic Manufacturing Clusters, fiscal incentives via a Modified Special Incentive Package Scheme, and Preferential Market Access for domestically manufactured or designed electronic products with Indian-held IP to address strategic and security concerns; it also proposes an Electronic Development Fund to promote innovation, R&D and commercialization and a National Electronics Mission with industry participation to implement programmes and promote India as an electronic hardware manufacturing hub.