Bengaluru, Aug 12 (PTI) The Karnataka Cabinet on Friday cleared the ‘Karnataka Aerospace and Defence Policy 2022-27’ that envisages attracting investments to the state worth Rs 45,000 crore.
The policy also offers several incentives to companies and manufacturing units in the sector.
Karnataka was the first state in the country to come up with an aerospace and defence policy in 2013 and it will be valid up to January 31, 2023.
“The aim is to make Karnataka a hub in aerospace and defence sectors. We want to strengthen the state’s position in these sectors and encourage exports,” Law and Parliamentary Affairs Minister J C Madhuswamy said, briefing the media about the Cabinet decisions.
He said, “We have made four zones and have announced several incentives and subsidies to industries in the sector.” Twenty-five per cent of India’s aircraft and spacecraft industry is based in Karnataka, 67 per cent of all aircraft and helicopter manufacturing for defence services is done here and the state contributes 65 per cent of the country’s aerospace-related exports, according to state government officials.
The sector is considered as a special category and five per cent additional subsidy will be offered, Madhuswamy said.
The minister added: “While the subsidy limit for micro enterprises is 30 per cent in Zone-1 (outside Bengaluru), it will be 35 per cent for micro enterprises in the special category. For Zone-2 and Zone-3 (in Bengaluru), subsidy for micro units manufacturing aerospace and defence products will be 30 per cent.” To train our youth and for skill development in this sector, 10 institutions will be identified, he said, adding that 200 candidates will be offered stipend of up to Rs 70,000 for training. There is also a plan to train students at the school level.
The Cabinet on Friday also approved the Karnataka Water Policy with focus on conservation and regulating water usage.
“It will deal with water usage, storage and supply. It has been estimated that a person may require 1,608 cubic metres of water a year, and policy deals with planning it. Also, the policy gives details about how to bring down usage for irrigation among other things, including providing drinking water,” he said.
The Cabinet further directed to look at the possibility of diverting, storing and usage of flood water during the crisis, he said.
Under the policy, an inter-departmental State Water Resources Authority is constituted to ensure implementation of various strategies for the judicious use of water. PTI KSU RS KSU KH HDA HDA
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