ANNOUNCEMENT 25 Oct 2012

In October 2012, the government of India announced the National Policy on Electronics.

NUMBER OF INTERVENTIONS

2

  • 0 harmful
  • 2 neutral
  • 0 liberalising
Inception date: No inception date

Tax-based export incentive

On 25 October 2012, the Government of India approved the National Policy on Electronics. The policy aims to establish India as a hub for Electronic System and Design and Manufacturing (ESDM) to meet the domestic demands and to use the capabilities to successfully export the products.
 
To achieve its aim, the policy proposes the following strategies with relevance for international commerce:

  • "Creating an eco-system for globally competitive ESDM sector: The strategies include provision of fiscal incentives for investment, setting up of electronic manufacturing clusters, preferential market access to domestically manufactured electronic products, setting up of semiconductor wafer fabrication facilities, industry friendly and stable tax regime." 
  • "Promotion of Exports: The strategies include aggressive marketing of India as an investment destination and providing incentives for export."
  • "Developing and mandating standards to curb inflow of sub-standard and unsafe electronic products by mandating technical and safety standards which conform to international standards."

The implementation of these strategies is left to future legislative acts.
 
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries. 

AFFECTED SECTORS

 
N/A

AFFECTED PRODUCTS

 
N/A
Inception date: No inception date

Tax or social insurance relief

On 25 October 2012, the Government of India approved the National Policy on Electronics. The policy aims to establish India as a hub for Electronic System and Design and Manufacturing (ESDM) to meet the domestic demands and to use the capabilities to successfully export the products.
 
To achieve its aim, the policy proposes the following strategies with relevance for international commerce:

  • "Creating an eco-system for globally competitive ESDM sector: The strategies include provision of fiscal incentives for investment, setting up of electronic manufacturing clusters, preferential market access to domestically manufactured electronic products, setting up of semiconductor wafer fabrication facilities, industry friendly and stable tax regime." 
  • "Promotion of Exports: The strategies include aggressive marketing of India as an investment destination and providing incentives for export."
  • "Developing and mandating standards to curb inflow of sub-standard and unsafe electronic products by mandating technical and safety standards which conform to international standards."

The implementation of these strategies is left to future legislative acts.
 
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries. 

 
N/A
 
N/A