It took just 25 years for IT to become pervasive in India. The proliferation of mobile phones, reduction on duties for components, coupled with the Government of India’s Digital India and Make in India policies, have been the main drivers of this growth.
While the government has announced major plans to boost electronics manufacturing in India, the industry is still not certain about it as it believes there are still issues that need to be sorted out in this regard. Recently, Communications and IT Minister Ravi Shankar Prasad said incentives would be given to companies that set up green-field units in eight cities, including Ghaziabad, Vadodara, Gandhinagar, Ahmedabad, Nagpur and Nashik. However, handset and PC makers contend that incentives apart, the government should take care of tax issues, which vary across states, and is still the most neglected area.
Though the Government has zeroed in on a big plan to boost electronics manufacturing in India, industry is not sure about the efficacy of such a move as many other issues need to be sorted out first. Communications and Information Technology Minister Ravi Shankar Prasad recently said incentives would be given to companies that set up greenfield units in eight cities, including Ghaziabad, Vadodara, Gandhinagar, Ahmedabad, Nagpur and Nashik.