CEDG cluster to be developed in Hubbali by Aequs SEZ Private Ltd

A US$ 480mn investment by Aequs SEZ Private Limited has been cleared by The Karnataka State High Level Clearance Committee (SHLCC)

October 6, 2020

The Consumer Electronics and Durable Goods is expected to create 20,000 new jobs in the town.

The 400 acres campus will enjoy the dual offence of being a Domestic Tariff Area and an SEZ.

The facility is to have a logistics hub, skill development centre and warehousing capabilities.

Karnataka has pioneered in policymaking through the Semiconductor Policy 2010 and the ESDM Policy 2013.

The Karnataka State High Level Clearance Committee (SHLCC) recently approved an investment of US$ 480mn by Aequs SEZ Private Limited for the strengthening of consumer electronics competencies within the state. The investment is to result in the development of a CEDG (Consumer Electronics and Durable Goods) cluster and the creation of 20,000 new jobs in the city of Hubbali. A logistics hub, skill development centre as well warehousing capabilities are to be developed in tandem with the proposal for the cluster.  Aravind Melligeri, Chief Executive Officer and Chairman of Aequs Inc remarked during a media interaction “CEDG will be globally competitive and a self-sustained ecosystem, generating employment, creating significant opportunities for the region, and nurturing the country’s manufacturing potential. This campus will be spread across 400 acres with benefits of Special Economic Zone (SEZ) and Domestic Tariff Area (DTA)”  The investment has been made in line with the provisions of the Atmanirbhar Bharat initiative with specific focus on skill development and the reduction of reliance on the importing of commodities.

The Karnataka SEZ policy is conducive to the development of multiple manufacturing competencies within the state. With incentives like entry tax exemption, exemption from electricity duty, and stamp duty in addition to the providing of interest-free loans on basis of the size of units. The State has also been a frontrunner in the electronic machinery sector with the aid of the Semiconductor Policy 2010 and the ESDM (Electronics System Design and Manufacturing) Policy 2013. With a target of creating 20 lakh new jobs in the industry by 2025, the ESDM Policy aims to strengthen the start-up ecosystem and facilitate a significant increase in the revenues of firms within the sector.  The policy has been designed to facilitate widespread skill development and the improvement of the innovation landscape with the introduction of state-of-the-art technological solutions. With the aid of future-forward policies like  Atmanirbhar Bharat and The ESDM 2013 policy, coupled with quality investment can help enhance growth within multiple sectors and the nation at large.