Indian govt offering financial incentives to attract smartphone companies

India is offering financial incentives and plug-and-play facilities with an outlay of about 500 billion rupees ($6.6 billion) to attract investments from global companies in the manufacture of mobile phones and related components.

The government will initially target five global suppliers and extend a financial incentive of as much as 6% on incremental sales of goods made in the country for a period of five years, according to the ministry for electronics and information technology. An incentive of 25% on capital expenditure will be provided for production of electronic components, semiconductors and other parts. Electronic manufacturing clusters with ready-to-use facilities will be offered.