Hyderabad: In a boost to electronic manufacturing sector in Telugu states, the Centre on Monday approved setting up of two electronic manufacturing clusters in Telangana and AP.
TS Industrial Infrastructure Corp will set up the cluster in 600 acres at Raviryal on the outskirts of the city at a cost of Rs 667 crore, while APIIC will set up the cluster in 500 acres in Chittoor in AP at a cost of Rs 340 crore.
Ajay Kumar, additional secretary, ministry of electronics and IT tweeted that the Centre has given approval to both these clusters.
“Approval by @GoI_MeitY for 600 acre Electronic Mfg Cluster to be set up by TSIIC in Hyderabad. Project Cost Rs 667 cr.@TelanganaCMO @KTRTRS,” Mr Kumar said in a tweet.
Reacting to it, Telangan IT and industries minister K.T. Rama Rao tweeted, “thanks Ajay Ji for the good news.”
When contacted an official of Telangana government said they applied for two clusters and approval for the second one is awaited. He however, did not give any timeframe.
Explaining about the cluster, the official said in a bid to reduce dependence on the import of electronic components, the Centre, in 2013 devised a scheme to encourage local manufacturing.
“Under the EMC scheme, the Union ministry of electronics and IT would support about one third of the total project cost for setting up EMC. The rest of the fund has to be arranged by the respective state government. The amount is used to create infrastructure for setting up electronic components manufacturing units,” the official said.
He said out of Rs 667 crore, the Centre will fund Rs 240 crore as grant and the rest would be mobilised by the state government and through units which are interested to set up shop in the cluster.
