The 74th session of the Cupboard Assembly convened on Thursday on the Lok Seva Bhawan in Bhubaneswar, Odisha, underneath the management of Chief Minister Naveen Patnaik, centered on amending the Odisha Semiconductor Manufacturing and Fabless Coverage-2023 to reinforce investor attraction for establishing semiconductor and digital chip manufacturing services, in addition to fabless design models, inside the state.
In pursuit of the imaginative and prescient, the Authorities of Odisha had launched the Odisha Semiconductor Manufacturing and Fabless Coverage-2023 in September 2023.
The amendments deal with bolstering fiscal assist mechanisms, together with curiosity subvention, Manufacturing Linked Incentives (PLI), and investments in R&D and talent improvement coaching.
Below the revised provisions, mega tasks exceeding INR 500 crore in funding will now have simpler entry to an higher restrict of INR 25 crore every year for a interval of seven years in direction of curiosity subsidy.
The earlier 5% cap for curiosity subvention has been eradicated to facilitate bigger investments in semiconductor manufacturing.
Moreover, mega tasks will likely be entitled to reimbursement of R&D expenditures as much as INR 2 crore yearly for a interval of 10 years.
Moreover, all models are eligible to use for the Manufacturing Linked Incentives (PLI) incentive for a steady interval of 5 years inside the 7-year interval following the graduation of manufacturing.
By way of talent improvement, eligible models will obtain reimbursement of as much as INR 2 crore every year for five years to facilitate the coaching of their workers engaged in core operations.
The coverage goals to create an ecosystem conducive to semiconductor analysis and improvement (R&D), design, and manufacturing corporations whereas nurturing a proficient workforce in semiconductor design.
Nonetheless, regardless of the preliminary strides, the semiconductor trade in Odisha remains to be in its nascent levels.
To handle the evolving wants of potential traders and strengthen the competitiveness of the state’s semiconductor ecosystem, amendments to the coverage have been proposed.
As a key industrial hub, Odisha is embarking on a transformative journey to change into a number one vacation spot for semiconductor design and manufacturing.
These measures intention to reinforce the competitiveness of Odisha’s semiconductor ecosystem and entice vital investments in electronics manufacturing, in the end driving financial progress and employment alternatives within the state.
