Bhubaneswar: The Odisha Government has approved the Odisha Aerospace and Defence Manufacturing Policy-2018 for promotion of aerospace and defence manufacturing enterprises in the State.
The Odisha Aerospace and Defence Manufacturing Policy-2018 aims to carry forward the process of industrialization though promotion of Aerospace and Defence Manufacturing enterprises, generate employment opportunities and promote value addition, said a press release issued by the Chief Minister’s Office (CMO).
The policy has proposed to extend subsidy up to 50 per cent of the cost of land, building, plant and machinery to the SPV setting up the first state-of-the-art Aerospace and Defence Park in the State, with ceiling of Rs 50 crore for Common Facility Centre, Rs 30 crore Technology Innovation Centre and Rs 25 crore for Testing Centre, established with Private participation.
The policy provides Capital grants of 50 per cent of the infrastructure cost limited to Rs 10 crore for subsequent Aerospace and Defence Parks.
The policy will also extend a capital subsidy of Rs 100 crore for the first three OEMs setting manufacturing facilities in the State with investment of at least Rs 1000 crore and generating domiciled employment of 1000. In addition, for the first three OEMs setting up manufacturing units in the State, Interest Subsidy will be allowed up to a limit of Rs 10 crore per annum and Rs 5 crore per annum, based on investment in Plant and Machinery for an amount of more than Rs 500 crore and between Rs 100 crore to Rs 500 crore, respectively.
This provision is designed to attract key players to setup units in the State, which in turn will provide impetus for further development of ancillary and downstream units in the state. Other units, will be entitled to 10 per cent capital subsidy up to Rs 50 crore, as per the policy.