The government of Assam has unveiled a Rs 250 billion scheme to accelerate electronics manufacturing in the state, with a significant portion dedicated to incentivising component manufacturers.
Assam will provide up to 60 per cent incentives to component makers in addition to the union government’s grant, with the incentive structure adjustable based on specific investment proposals.
The state’s scheme includes production linked incentives (PLIs) and capital subsidies. Furthermore, Assam offers more fiscal advantages than other states, enabling companies to stack benefits from the central government’s incentive programmes, Assam’s own scheme, and the Northeast-focused “Unnati” package, which provides interest subvention, and power and tariff incentives.
In addition, the state was recently selected by Tata Electronics for a Rs 270 billion chip assembly and test plant. The facility in Jagiroad is expected to begin operations by March-April next year. Further, there are plans for a dedicated Ratan Tata Electronics City to further anchor the state’s ambitions in semiconductor and electronics production.
