JUNE 20259ANDHRA PRADESH BOOSTS ELECTRONICS MANUFACTURING WITH 50% CAPEX SUPPORTBEL AND TATA ELECTRONICS PARTNER TO BOLSTER INDIA'S SEMICONDUCTOR SELF-RELIANCEThe Andhra Pradesh government has unveiled an ambitious draft policy to position the state as a leading hub for electronics manufacturing in India. Announced on June 6, 2025, the policy offers 50% capital expenditure (capex) support for electronics component manufacturers, aiming to attract significant investments and enhance domestic value addition. This initiative aligns with the central government's push to bolster India's electronics ecosystem and reduce reliance on imports.The plan goes beyond just funding. It offers extra perks based on how much a company sells, doubling the support On June 5, 2025, Bharat Electronics Ltd. (BEL), a Navratna defence PSU, and Tata Electronics signed a Memorandum of Understanding (MoU) to advance India's self-reliance in electronics and semiconductor technologies. Formalized at Tata Group's headquarters in Mumbai, this partnership aligns with the government's vision to build a robust domestic semiconductor ecosystem. The agreement, signed by BEL's Chairman & Managing Director Manoj Jain and Tata Electronics' CEO & MD Dr. Randhir Thakur, marks a significant step toward reducing India's reliance on imported chips.given by the central government's Electronics Component Manufacturing Scheme, which kicked off in April 2025. The state is also building ready-to-use industrial parks so companies can hit the ground running. Plus, they're pouring resources into training workers and boosting research to create a thriving tech scene.This policy zeroes in on key smartphone components like circuit boards, screens, camera parts, and other essentials that makeup nearly half a phone's cost. By focusing here, Andhra Pradesh wants to help Indian companies grow and compete globally. It's all part of India's bigger goal to become a $500 billion electronics powerhouse by 2030.Industry folks are buzzing with excitement, saying this could bring in both local and international businesses. The state recently held a workshop in Tirupati with the Ministry of Electronics and the India Cellular and Electronics Association, showing they're all in on India's long-term economic vision for 2047.India's electronics industry has already grown a ton, jumping from Rs 1.90 lakh crore in 2014-15 to Rs 9.52 lakh crore in 2023-24. With Andhra Pradesh offering big financial support and ready-made facilities, the state is ready to lead the charge in making India a global tech leader. This plan is set to create loads of jobs, spark new ideas, and put Andhra Pradesh on the map as a tech hub. · Andhra Pradesh offers 50% capex support to boost electronics manufacturing· New AP policy targets smartphone components to cut import reliance and drive exports· Andhra Pradesh aims to be India's electronics hub with incentives, parks, and R&D pushThe plan is to cover everything from designing and building chips to test them right here in India. BEL, a key player in defence tech, needs high-tech chips like microcontrollers and system-on-chips for things like military gear, cars, and even AI-powered gadgets. Tata Electronics, already working on India's first AI-driven chip factory in Dholera, Gujarat, with Taiwan's Powerchip, brings its chip-making skills to the mix. Together, they're set to produce these critical components locally, helping India stand on its own feet.With the global chip market expected to hit $420 billion by 2030, India's aiming for a solid 8-10% slice of that pie. This BEL-Tata partnership is a key piece of that puzzle, making local production stronger and supply chains more reliable. The government's pitching in too, with programs like the India Semiconductor Mission and incentives to get companies to invest in Indian factories.Tata Electronics is also teaming up with others, like Analog Devices and Himax Technologies, to make chips for displays. For BEL, this deal means a steady flow of top-quality components for defence projects, which is super important for keeping India secure.As the world scrambles for more chips, this BEL-Tata collaboration is a game-changer, putting India on the map as a serious player in the global tech scene. It's a exciting step toward a future where India makes its own tech and fuels its own growth. · BEL and Tata Electronics join forces to boost India's semiconductor self-reliance· New BEL-Tata pact to localize chip design, manufacturing, and testing in India· Strategic partnership strengthens India's defense tech with homegrown semiconductors
< Page 8 | Page 10 >