To boost electronic manufacturing sector, IT hardware industry body MAIT, which represents the over $13 billion Indian IT hardware manufacturing industry, wants Government to consider duty relief and export sops. The industry body informed Prime Minister that its members have already invested over $2 billion in manufacturing facilities across India and are looking to attract more investments. Urging the Prime Minister to consider the recommendations, MAIT said it will continue to actively engage and jointly work with the Government towards making 'Make in India' a success.
While praising Government's efforts in the last Budget to address the "inverted duty" structure, MAIT Executive Director Anwar Shirpurwala said only partial relief has come to the industry in limiting exemption from levy of SAD to inputs/components used in the manufacture of PCs (laptops/desktops) and tablets. "It is suggested that benefit of Special Additional Duty (SAD) exemption may be extended to all goods (including inputs, components and accessories and their parts and sub parts) when imported for use in the manufacture of ITA (information technology agreement) goods," he said.
MAIT also asked the Government to provide more export incentives to attract firms to invest in manufacturing in the country. India's proximity to markets in Middle-east, Africa and Eastern Europe make it logistically superior location to other parts of Asia. This when combined with the provision of export incentives, makes India a more competent hub for manufacturing than other parts of Asia, it added.