The Uttar Pradesh government said on Friday that it will give financial incentives to South Korea’s Samsung Electronics to set up a $ 654.36 million (Rs. 4.825 million) display factory.
Samsung is relocating the factory to the state from China, the Uttar Pradesh administration said in a statement, a move that will help fuel Prime Minister Narendra Modi’s flagship push to make India a manufacturing hub.
India is the second largest smartphone market in the world with significant growth potential, which has led companies like Samsung to expand locally.
New Delhi earlier this year also approved financial incentives, under a federal plan of $ 6.65 billion (approximately Rs 49.035 crore) to boost domestic smartphone production, for 16 companies, including Samsung and Apple’s major vendors Foxconn. , Wistron and Pegatron.
On Friday, Uttar Pradesh said that Samsung will receive Rs. 700 million rupees in financial profit and you will also get exemption from a tax payable on the transfer of land to the factory.
Samsung had sought tax and other incentives from Uttar Pradesh for this smartphone display manufacturing plant, Reuters previously reported.
The unit, which is expected to create 510 direct jobs, is expected to be operational next year.
Samsung already operates one of the world’s largest mobile phone manufacturing plants in Uttar Pradesh.
© Thomson Reuters 2020
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