Lucknow. Messrs Samsung Display Noida Private Limited, which is setting up a factory to manufacture display units for mobile phones and IT products in Noida except China, was given special incentives in a cabinet meeting chaired by Chief Minister Yogi Adityanath on Friday. The company will be exempted from stamp duty on capital gains, land transfers under UP Electronics Manufacturing Policy-2017.
Due to these special incentives, the state government will incur a financial burden of Rs 250 crore during the next five years. The project will also allow the cost of old machines in fixed capital investment as per the standards under the Central Government’s Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (Specs) for capital production. The company will also receive financial incentives of about Rs 460 crore under SPEX. In this project, 1,510 people will get direct and large number of indirect jobs. With the recognition of Noida as an export hub, this project will help in bringing more direct capital investment (FDI) in the state.
A manufacturing unit of mobile and IT display products is being set up by M / s Samsung Display Noida Private Limited at Noida Phase-2 with an investment of Rs 4,825 crore. South Korean company Samsung, which has completed 25 years in India, manufactures more than 70 percent of the total display products used in TVs, mobile phones, tablets, watches etc. in the world in South Korea, Vietnam and China. This Samsung project is the first unit to manufacture mobile and IT display products in the country which is being displaced from China and set up in Uttar Pradesh.
With the establishment of this project, India will become the third country to manufacture mobile displays manufactured with OLED technology. The proposed investment of display units is a high-cost component of the original product. This unit will prove to be a milestone for completing the link of the middle supply chain and for setting up a display related fab unit in the future.
Recommendations and suggestions were made by a strong committee constituted under the chairmanship of the Chief Secretary to give special incentives to the company on a case-to-case basis. After considering these suggestions, the Chief Minister had constituted a committee of three senior ministers headed by Finance Minister Suresh Kumar Khanna to present their recommendations before the cabinet. Based on the recommendations of the Committee of Ministers, the Cabinet has approved special incentives to this unit.
Export target of $ 50 billion in five years
Samsung is the largest exporter in Uttar Pradesh, exporting $ 2.7 billion in the last financial year. Samsung Group has set a total export target of $ 50 billion over the next five years.
Leave a Reply