The Union government is planning to establish a dedicated telecom manufacturing zone with an investment target of Rs 8,000-9,000 crore, Minister for Communications Jyotiraditya Scindia said, highlighting a roadmap aimed at strengthening India's telecom manufacturing ecosystem and boosting domestic production.
Speaking to reporters in New Delhi, Scindia noted that a special purpose vehicle will be created to develop and manage the manufacturing zone. The project will be funded jointly by the Centre and the state government, with the Union government committing Rs 500 crore, while the state will provide support worth Rs 170 crore by bearing land costs.
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To attract manufacturers, the government has proposed a range of incentives, including power tariff support of Rs 2 per unit, capital subsidies, full reimbursement of stamp duties, employment-linked incentives and support for green manufacturing.
Scindia said the telecom manufacturing zone is expected to attract investments of Rs 8,000-9,000 crore and generate 9,000-10,000 jobs, underscoring the government's focus on expanding India's electronics and telecom manufacturing capabilities. He added that the project has already secured Rs 2,000 crore in investments, providing an early boost to the initiative.
Several companies, including Dixon Technologies, HFCL, VVDN Technologies, Syrma SGS, Innware, Tejas Networks, and Electrodyne, are expected to be part of the telecom manufacturing zone.
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According to the Minister, the existing government schemes aimed at promoting manufacturing and electronics production will complement the new telecom manufacturing zone, creating a broader ecosystem for companies operating in the sector.
The minister also stated that the Centre is in discussions with the Madhya Pradesh government to acquire an additional 500 acres of land for the second phase of the project, signalling plans to expand the manufacturing zone as investments gather pace.
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