ICEA Urges Interstate Coordination To Maximize Electronics Manufacturing Incentives

(MENAFN- KNN India) Amaravati, Jun 7 (KNN) The India Cellular and Electronics Association (ICEA) has called for enhanced interstate coordination to better leverage central government manufacturing incentives.

Several states including Tamil Nadu, Assam, Uttar Pradesh, and Andhra Pradesh are developing distinct policies to encourage component manufacturing within their jurisdictions.

This state-level initiative reflects broader national objectives to strengthen domestic electronics manufacturing capabilities and reduce import dependence across the supply chain.

During an industry event in Andhra Pradesh on Friday, Sushil Pal, Joint Secretary, Ministry of Electronics and Information Technology (MeitY), outlined the central government's commitment to fostering domestic electronics production through a hybrid incentive structure.

The scheme combines capital expenditure support with turnover-linked incentives specifically designed for component manufacturers, emphasising the critical role states must play in transforming India into a global component manufacturing hub.

Bhaskar Katamneni, Secretary, Information Technology and Electronics Communications for the Andhra Pradesh government, presented the draft Electronics Component Manufacturing Policy (ECMS) during the event.

The proposed Andhra Pradesh policy includes substantial financial incentives designed to accelerate investment across the component manufacturing value chain.

Key provisions include 50 percent capital expenditure support for component manufacturers establishing operations in the state, turnover-linked incentives that double central government incentives, development of specialised infrastructure and plug-and-play industrial clusters, and comprehensive support for talent development, skills training, and research and development activities.

Pankaj Mohindroo, Chairman, ICEA, emphasised the importance of industry commitment to achieving high domestic value addition and establishing robust supply chain infrastructure for electronics manufacturing.

The association's position reflects growing recognition that successful implementation of component manufacturing initiatives requires coordinated effort between government policy frameworks and private sector investment strategies.

(KNN Bureau)

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