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K'taka to set up electronic mfg clusters at Mysore, Peenya

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Press Trust of India Bangalore
Last Updated : Feb 03 2014 | 9:15 PM IST
Karnataka government today said it intends to set up one Electronic Manufacturing Cluster (EMCs) each at Mysore and at Peenya as part of its efforts to emerge as a preferred electronic system design and manufacturing hub.
"We are committed to take the ESDM (Electronic System Design and Manufacturing) industries to other locations in the State. We want to set up two more EMCs - one at Mysore and another at Peenya. We will soon send detailed project reports to Centre for its approval," Minister for IT-BT, Science and Technology, S R Patil said.
Stating that the Government of Karnataka has come out with a holistic policy on Electronic System Design and Manufacturing (ESDM) in 2013, Patil said, "The main objective of the policy is to make the state a preferred destination for ESDM investment, and emerge as the ESDM leader in the country."
The Union Government has given nod to country's first ever Brownfield Electronic Manufacturing Cluster at Electronic City in Bangalore with an estimated cost of Rs 85 crore.
"We have received a formal clearance letter from the Centre to the effect just 4 days ago," Patil said.
Speaking at the India Electronics and Semiconductors Association vision summit 2014 here, he said, while the Centre has agreed to finance a major share of Rs 50 crore, the state government is giving a sum of Rs 19 crore. The rest will be funded by the industries concerned.

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"We aim to generate around 2.4 lakh jobs and 20 per cent of the country's total ESDM export target of $80 billion by the year 2020. We are preparing a ground for setting up of ESDM clusters - both Brownfield and Greenfield," he said.
Emphasising on the need to encourage Karnataka become a leader in Intellectual Property Rights and Knowledge Economy, Patil said, "We are eager to file at least 3000 domestic and 2000 international patents (of ESDM) by 2020."
Patil said the government would reimburse up to 50 per cent of the actual costs including filing fees, attorney fees, search fees, maintenance fees with a maximum of Rs 1 lakh for filing a domestic patent and up to Rs 5 lakh for filing an international patent.
"A 75 per cent reimbursement will be payable after the patent is filed and the balance 25 per cent after the patent has been granted," he added.
On the export promotion of ESDM products and building brand equity of Karnataka ESDM companies, he said, "The Government will reimburse 50 per cent of the actual costs incurred in international marketing and sales promotion."
Illustrating the attempts made by government to attract investments in ESDM sector, the Minister said, "We will provide upto 10 per cent capital subsidy or Rs 5 crore, whichever is lower- to Karnataka based ESDM companies (both for ESDM manufacturing as well as R&D units) and will be given to the first 2 Anchor Units in all Greenfield clusters.

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First Published: Feb 03 2014 | 9:15 PM IST

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