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State Focus Madhya Pradesh Institution Economy & Banking Science & Technology

Capital subsidy, freight support and power tariff rebates: what a unit in the Gwalior zone is offered

The incentive package offered to units in the Gwalior zone shows how a State competes for electronics investment. A unit is offered a 50 per cent capital subsidy on eligible fixed investment, capped at Rs 200 crore, along with employment assistance and skill development support and freight subsidies for exports. There is reimbursement for research and development units and for patent, copyright and trademark filings, within limits, together with stamp duty reimbursement and power tariff rebates. The zone's planned coverage spans devices, optical fibre, semiconductors and 5G and 6G research and development, with common testing and certification labs, and it is linked to the India Semiconductor Mission, the Electronics Components Manufacturing Scheme and the Telecom Technology Development Fund.

Capital subsidy: 50 per cent of eligible fixed investment, capped at Rs 200 crore
Why it matters for exams: Capital subsidy caps and the central missions a State cluster is tied to are both examinable economy points.
UPSCSSC
21 October 2026 Source: Press Information Bureau

In plain words

India Semiconductor Mission India Semiconductor Mission — The central programme for building semiconductor and display manufacturing in India.

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