Tamil Nadu Inc opts for a flight and fight approach to biz

The Aerospace and Defence Industrial Policy, 2019, that was unveiled at the second edition of Global Investors Meet held at Trade Centre in Nandambakkam, aims to attract investments to the tune of Rs 70,000 crore in 10 years.
Tamil Nadu Inc opts for a flight and fight approach to biz

Chennai

The first copy of the policy was released by Defence Minister Nirmala Sitharaman and was received by CM Edappadi K Palaniswami.

The policy aims at attracting Rs 35,000 crore investment in the first five years and Rs 70,000 crore in 10 years in aerospace and defence sectors. The policy also aims at generating direct and indirect employment opportunities, around one lakh jobs in the sector in 10 years.

Further, the policy aims to create a global workforce for high-end manufacturing by establishing Centre of Excellence, Research and Development and skill development institutions. Using the pre-existing infrastructure in the state, such as Heavy Vehicle Factory, Avadi, Ordnance Clothing Factory, Avadi, Engine Factory, Avadi, Ordnance Factory, Tiruchy, and so on, the policy aims at making the state number one in Aerospace and Defence manufacturing in the country.

The policy states that to build aerospace and defence industry-driven eco-system, the government will adopt a cluster development approach by creating required physical infrastructure. State Industries Promotion Corporation of Tamil Nadu (SIPCOT) would be the implementing agency for the disbursement of various incentives listed out in the policy.

Through SIPCOT/TIDCO, the government will establish aerospace and defence parks based on requirement with adequate infrastructure for housing large, medium and small companies, including forging, casting, fabrication facilities, metal manufacturing facilities, design and engineering services, assembly and maintenance facilities.

The policy also offers several sops to the new as well as existing aerospace and defence manufacturing industries. “New/existing manufacturing units in TN which are undertaking projects under the offset obligations requirements of the Ministry of Defence will be offered special package of incentives, concession up to 30 percentage of the land cost and 100 percentage reimbursement from stamp duty on lease/sale shall be given for the land in the industrial parks,” the policy said.

A structured package of incentives for projects with investment of above Rs 300 crore will also be offered to both new and expansion of aerospace and defence manufacturing policy. Aerospace and defence industries will be given 100 per cent exemption on electricity tax on power purchased from TANGEDCO for the first 10 years from the date of commencement of commercial production.

Visit news.dtnext.in to explore our interactive epaper!

Download the DT Next app for more exciting features!

Click here for iOS

Click here for Android

Related Stories

No stories found.
DT next
www.dtnext.in