Electronics System Design and Manufacturing (ESDM)
Electronics System Design and Manufacturing (ESDM) is one of the largest and fastest growing manufacturing sectors in the world. The Government of India (GoI) has, through its National Policy on Electronics, 2012, contemplated that the demand for electronic goods in India will rise to USD 400 billion by the end of the year 2020.
The policy has further contemplated domestic demand and production gap of nearly USD 300 billion by 2020.
With a view to provide focused attention on boosting manufacturing through
increased investment in setting up of ESDM, the Government of India has come up with National Policy on Electronics in the year 2012 which has been subsequently revised from time to time. Under the provisions of National Policy on Electronics, 2012, the GoI has issued Schemes and Implementation Guidelines for M-SIPS, Electronics Manufacturing Clusters (EMCs), etc.
The assistance under the scheme shall be available to applicants, for the purposes of eligible activities as specified above in relation to the development of EMC. Provided that for the project to be eligible for assistance, processing area in EMC, in area terms, shall not be less than 80% of the total area of EMC and 60% of processing area has to be allotted to ESDM units.
- Greenfield EMCs which are set up in an area less than 200 acres shall be entitled to an assistance of 25% of the eligible project cost subject to a ceiling of Rs. 25 crores.
- Greenfield EMCs which are set up in an area of more than 200 acres will be entitled to an assistance of 25% of eligible project cost subject to a ceiling of Rs. 100 crores.
- In respect of Greenfield EMCs, the assistance mentioned at para (a) and (b) above shall be subject to minimum promoter contribution equal to assistance by Government of Gujarat towards the eligible project cost.