The Union Government of India on 30 August 2013 gave its approval to three projects under the Electronic Manufacturing Clusters (EMC) scheme. The total value of these three projects is 200 crore Rupees. The proposals for approval of the Government were sent by the Madhya Pradesh State Electronics Corporation (MPSEDC) and the Electronic Industries Association of India (ELCINA).
The Electronic Industries Association of India (ELCINA) had sent its proposal for the greenfield cluster, the cost of which was 104.48 crore Rupees. This cluster is aimed at a location of Khushkhera in Bhiwadi (Rajasthan). The Madhya Pradesh State Electronics Corporation (MPSEDC), on the other hand, submitted its proposal for two projects at Bhopal and Jabalpur at the approximate cost of 46.46 crore Rupees and 42.92 crore Rupees respectively.
Assistance under the Electronic Manufacturing Clusters (EMC) Scheme
According to the Electronic Manufacturing Clusters (EMC) scheme, the financial aid will be limited to 50 percent of the overall cost of the project with the condition of ceiling of 50 crore Rupees for every 100 acres of land.
According to this condition of the scheme, ELCINA sought the financial aid of 47.41 crore Rupees over the area of 100.7 acre of land. This project is backed by Rajasthan Government through Rajasthan State Industrial Development and Investment Corporation. The ELCINA project will finish off by March 2015. Its commercial operations will begin from April 2015. The project will employ 14000 people as well as 19700 people indirectly.
MPSEDC, which is the MP Government undertaking, proposed to develop the greenfield EMC in Badwai, Bhopal on the coverage area of 50 acres at the approximate cost of 46.46 crore Rupees. It received the financial aid of 22.26 crore Rupees from the Union Government of India. Apart from this, it received the grant of 24.63 crore Rupees from the Central Government for its greenfield EMC in Purva village, Jabalpur, which will be developed on the area of 40 acres of land. The timeline for MPSEDC project is to start in 3 months after final approval. Both the projects will give employment to 4500 people as well as 13000 people indirectly.
Electronic Manufacturing Clusters (EMC) Scheme is the part of Modified Special Incentive Package Scheme under the National Policy on Electronics (NPE) 2012. The most important objective of NPE is achieving the turnover of approximately 400 billion US dollar by the year 2020, which also involves the investment of approximately 100 billion US dollar as well as employment of approximately 28 million people by the year 2020.