Ever since the COVID-19 pandemic broke, the world has come to a standstill. Businesses got hugely impacted and things are only starting to get back to normal now. As countries still struggle to find solid ground amidst the chaos, India just signed a multi-core deal with Samsung in a major boost to its Make in India initiative.
Samsung – the world leader in smartphones among other electronics – has chosen India as its next base for mobile display manufacturing. This comes at the cost of China losing the South Korean tech titan as the mobile and IT display production unit will be relocated to NCR in Uttar Pradesh.
"This is the first high-technique project of South Korea's multi-national major which is being set up in India after relocating from China and the country will become third in the world to have such a unit," the UP government's spokesperson said in a statement.
Quid pro quo
According to ET report, UP government's cabinet led by CM Yogi Adityanath approved special incentives to Samsung on Friday. Under the UP Manufacturing Policy 2017, Samsung will get an exemption of stamp duty in the transfer of land. The state government will have to make financial provision of Rs 250 crore for this project in the next 5 years, the report added.
In addition, Samsung will receive a financial incentive of Rs 460 crore under the government's Scheme for Promotion of Manufacturing Electronic Components and Semiconductors (SPECS). In return, Samsung is committing an investment of Rs 4,825 crore to its NCR production unit, which is expected to create 510 direct jobs in addition to indirect employment opportunities in the state.
Samsung already has a mobile manufacturing unit in Noida, which was inaugurated by PM Modi in 2018 and attracted a commitment of Rs 4,915 crore by the South Korean tech giant. Samsung plans to produce