The Modified Special Incentive Package Scheme ( MSIPS) Policy has received approval for extension. ” The MSIPS has been extended for a period of five years beyond July 26, 2015. Extension of the scheme will further accelerate the growth of the electronics manufacturing industry in the country by generating interest for investment in this sector. It will provide a boost towards making India a global destination for electronics manufacturing. Moreover, the scope of the scheme has expanded to cover new product categories, and the process has been simplified to a great extent. ” says Dr. Ajay Kumar, Joint Secretary, Department of Electronics & Information Technology ( DeitY).
The new product categories covered under the scheme include smart cards, consumer appliances , electronic product design, optical fibres , Internet of Things products, semiconductor chips etc.
This was awaited since long as this policy is vital to support the current interest in investments in electronics sector in India which the Government has been pushing since last few years. The benefits under the scheme are available for expansion projects as well as Greenfield projects. It will help the Indian electronics industry to scale up domestic manufacturing to reduce dependence on imports and achieve the ambitious goal of ‘net zero import’ in electronics by 2020.
MSIPS is more industry friendly now
- The incentive will be allowed from the date of submission of application
- Disbursement of benefits will be done on a quarterly basis as opposed to annual basis
- Benefits will be available across the country as opposed to only in notified areas.
