Salient features of EMC Scheme

Proposed by Department of Electronics and Information Technology (DeitY), GoI to provide a world class infrastructure for Electronic System Design and Manufacturing (ESDM) firms .

DeitY provides financial support / grant for infrastructure development of EMCs to offer developed industrial plots at competitive rates.

EMC at Adityapur: Location Advantages

Connectivity : The project site is well connected with rest of the country via all modes of transportation:

  • Port: The site is well connected to Haldia Port (approx 250 Km) or Paradip Port (approx. 380 Km) to facilitate imports and exports.
  • Road: The site is well connected via SH-5 and NH 33 which connects it with major IT cities – Bhubaneshwar & Kolkata. Upcoming ring road (eastern and western corridor) of 60 km shall provide rapid connectivity to Jamshedpur & Adityapur.
  • Rail: Adityapur railway station (5 km) and Jamshedpur railway station (8 km) connects the site with rest of the country.
  • Air: Located in close proximity to Jamshedpur airport (3 km) and Ranchi airport (130 km)

Ready Market for Auto Electronic Components Manufacturing

  • Home to one of the largest commercial manufacturing unit in India (Tata Motors at Jamshedpur).
  • More than 600 auto ancillary industries including auto component units are functioning in Adityapur (One of the largest Auto Cluster of the country), providing direct employment to more than 25,000 people.

Skilled Manpower:

  • Jharkhand is well known education hub, providing skilled manpower, one of the most critical resources for any industry to thrive.
  • Leading Institutes like XLRI-Jamshedpur, IIM-Ranchi, BIT-Ranchi, Indian School of Mines-Dhanbad, etc, provide technical and/or managerial education and training.

Upcoming Industrial Park – Mega Projects

  • Government of Jharkhand is planning to setup up IT Park and STPI at Adityapur.
  • An Automotive Vendor Park will be established under PPP mode at Adityapur.

Broad Parameters of EMC project: AIADA /SPV offers Industrial plots/built space with world-class infrastructure to industrial units engaged in ESDM.

Industrial Plots: 50.5 acres land earmarked for industrial units having 52 plots of 2 acres, 1 acre & 0.5 acre

Flatted Factories: BUA of around 2 lakh sq ft available for flatted factory

Supporting Project components for EMC

Basic ServicesEssential ServicesWelfare Services
Entrance plaza
Internal roads
Storm water drainage
Water supply network with WTP
Sewerage collection system with STP
Truck terminal & warehousing
Electric distribution with power backup
Waste disposal & management
Employee hostel & mess
health centre
Local shopping centre
Support ServicesManufacturing ServicesGovernment regulatory
Incubation center and testing & certifications center Trade pavilionFlatted factoryDevelopment Commissioner/ designated officer for custom clearance AIADA’s administrative office

Location Advantage

Strategically located at Adityapur adjacent to Jamshedpur

Existing Anchor Industries: Better forward integration due to presence of Tata Motors and other ancillary industries at Jamshedpur (7-10 km from project site). Availability of ready market for automobile electronic components

Excellent road and rail connectivity – To other states like Bihar, West Bengal and Orissa via SH-5 and NH-33, NH-2 and NH-6

Located within Adityapur Industrial Area

Ready availability of skilled and trained manpower in Adityapur Industrial Area (800 active industrial units spread over 3000 acres)

EMC a part of an integrated development comprising of upcoming IT/ITes Park, STPI, specialty hospital, shopping complex/mall/multiplex etc.

GoI Incentives under M-SIPS for ESDM units

Reimbursement of 25% of Capital expenditure

Reimbursement of CVD/Excise for capital equipment in non SEZ units

Reimbursement of central taxes and duties for 10 years in select high tech units like FAB’s and ATMP’s

Preferential Market Access (PMA)

Preference to domestically manufactured electronic products in government procurement

Extent of government procurement from domestic manufacturing will not be less than 30% of the total procurement

Export Incentives

Focus product scheme- 2% duty credit scrip

Special products scheme – 5% duty credit scrip

Electronics Development Fund (EDF) being created by GoI as part of Digital India to support R&D; and innovation in the ESDM sector.

Govt of Jharkhand Incentives to ESDM units

Comprehensive Project Investment Subsidy (CPIS)

7% of total Capital investment with ceiling of Rs.5 crore.

5% additional incentive for providing employment to local persons.

5% additional benefit to SC/ST/Women/ Handicapped Entrepreneurs.

Reimbursement of 75% of Net VAT paid per annum: Upto max 75% of total fixed capital investment for 5 years.

Financial Assistance for patent: Max of 50% of expenditure with ceiling of Rs 2 lakh per patent.

Lease rentals (including premises on rent): Reimbursement of upto 50% of actual cost incurred with a ceiling of Rs 5 lakh per annum upto 3 years for the plug-and-play built up office space of minimum 2500 sq.ft.

Quality Certification- @ 50% of the expenditure incurred upto max Rs 2 lakh.

Electricity duty exemption for Mega projects (capex of Rs 100 cr & above): 50% for 5 years

Other Advantages:

Scenic location on the banks of Kharkhai river and just a km from the confluence of Kharkai and Swarnarekha rivers

Ample Leisure/recreational facilities in adjacent Jamshedpur viz., Golf course, Jubilee Park, Dimna lake with opportunities for excursion into Dalma wildlife sanctuary within 15 km of the city.