Cabinet approves the proposal of National Policy on Electronics 2019Date: 20 February 2019 Tags: Ministries & Departments
Union Cabinet approved National Policy on Electronics 2019 (NPE 2019), proposed by Union Ministry of Electronics and Information Technology (MeitY). It replaces National Policy of Electronics 2012 (NPE 2012). Its objective is to position India as global hub for electronics system design and manufacturing - (ESDM). This will be achieved by encouraging and driving capabilities in country for developing core components, including chipsets and creating enabling environment for industry to compete globally.
Targets set by NPE 2019
- It seeks to achieve a turnover of US $400 billion by 2025 to promote domestic manufacturing and export in entire value-chain of ESDM for economic development.
- This will include targeted production of 100 crore mobile handsets by 2025, valued at US $190 billion including 60 crore mobile handsets valued at US $110 billion for export.
Salient Features of NPE 2019
- Create eco-system for globally competitive ESDM sector by promoting domestic manufacturing and export in entire value-chain of ESDM.
- Provide incentives and support for manufacturing of core electronic components.
- Provide special package of incentives for mega projects of extremely high-tech and entail huge investments, such as semiconductor facilities display fabrication, etc.
- Formulate suitable schemes and incentive mechanisms to encourage new units and expansion of existing units.
- Promote Industry-led R&D and innovation in all sub-sectors of electronics, including grass root level innovations.
- Promote Industry-led R&D and innovation early stage start-ups in emerging technology areas such as 5G, loT/ sensors, artificial intelligence (AI), machine learning, drones, robotics, virtual reality (VR), additive manufacturing, photonics, nano-based devices, etc.
- Provide incentives and support for significantly enhancing availability of skilled manpower, including re-skilling.
- Give special thrust to fabless chip design industry, medical electronic devices industry, automotive electronics industry and power electronics for mobility and strategic electronics industry.
- Create Sovereign Patent Fund (SPF) to promote development and acquisition of IPs in ESDM sector.
- Promote trusted electronics value chain initiatives to improve national cyber security profile.
- Implementation strategy: It will be implemented by formulation of several schemes, initiatives, projects and measures for development of ESDM sector in the country as per roadmap envisaged.
- This will be done consultation with the concerned Ministries/ Departments, for the development of ESDM sector in the country.
- Major Impact: NPE 2019 will enable flow of investment and technology, leading to higher value addition in domestically manufactured electronic products, increased electronics hardware manufacturing in country and their export and generate substantial employment opportunities.