Tamil Nadu plans to give relocation incentives for firms moving to state

In a bid to attract investors who are planning to relocate their manufacturing bases post Covid-19, Tamil Nadu said relocation incentives will be provided for companies moving to the state from other countries.

Tamil Nadu's Principal Secretary for Industries, N Muruganandam spoke on the challenges and emerging opportunities in Electronic Sector with the potential investors from Japan in a webinar organised by Ministry of Electronics and Information Technology and Indian Embassy. Several participants from companies such as Panasonic, Daikin, TDK Corporation etc have attended the webinar.

Tamil Nadu is the second largest economic powerhouse in India and is the most sought-after investment destinations due to its strategic location, conducive business environment, state-of-the-art infrastructure, proactive governance and favourable ecosystem, said Muruganandam.

He added, the state provides the best incentives and support system in the region. It also provides Special Investment Promotion Task Force to attract investors from countries which are planning to relocate their manufacturing bases post Covid-19.
 

Relocation incentives will be provided for companies relocating to Tamil Nadu from other countries on a case-by-case basis.

Tamil Nadu houses over 620 Japanese companies, making it the home for the second largest number of Japanese companies operating in India. The state also has the largest Japanese expat community in India.

Tamil Nadu single window clearance system avoids procedural delays in getting statutory clearances from various authorities.  Japanese company, Yamaha Music got all the clearances in less than 30 days through Single Window mechanism.

Guidance, the nodal agency of Tamil Nadu government for investment promotion and single-window facilitation, has a dedicated Japan Desk to handhold investments from Japan.”

Pitching for electronic industry, he said, Tamil Nadu ranks second in terms of electronics and hardware manufacturing in India and has a huge potential to become number one.

The electronics exports from Tamil Nadu in 2017-18 was $1.27 billion. Tamil Nadu has a presence of 20 plus electronic hardware technology parks based in major IT centric SEZ’s. Tamil Nadu has a huge market of downstream industries such as automotive electronics, mobile phones, computer hardware, industrial and strategic electronics etc.

Tamil Nadu is home to many major electronic manufacturing units. Some of them are Dell, Flextronics, Samsung, Foxconn, Delta, Panasonic, Nokia, Salcomp, BYD, Motorolla and many more. Tamil Nadu provides the best incentives and support system in the region.