Modified Special Incentive Package Scheme to offset disability and attract investments in Electronics Systems Design and Manufacturing Industries.

                   The Union Cabinet today approved the proposal to provide a special incentive package to promote large-scale manufacturing in the Electronic System Design and Manufacturing (ESDM) sector. The scheme is called the Modified Special Incentive Package Scheme (M-SIPS). The main features of M-SIPS are as follows:
 
(i)           The scheme provides subsidy for investments in capital expenditure - 20% for investments in SEZs and 25% in non-SEZs. It also provides for reimbursement of CVD/excise for capital equipment for the non-SEZ units. For high technology and high capital investment units, like fabs, reimbursement of central taxes and duties is also provided.
 
(ii)          The incentives are available for investments made in a project within a period of 10 years from the date of approval.