Working ahead on the proposals of the IT policy 2014-2020 of Andhra Pradesh, a mega IT hub is envisaged to be set up in Vishakhapatnam for fostering the growth of IT sector of Indian SMEs.
Considering it as the most promising and investor-friendly policy, IT Minister P. Raghunath Reddy cited that government is keen to promote development of IT towers, IT parks and IT zones under Public Private Partnership (PPP). And going on forward, IT hubs would be created at Vijayawada, Kakinada, Tirupati and Anantapur.
Initially the government has taken up the project of development of Information Technology and Investment Regions (ITIRs) in Visakhapatnam and Tirupati. The Tirupati-Anantapur corridor will be proposed at a later phase. IT policy will also focus on enhancement of quality technical education with updation of syllabus in the technical institutes to withstand the industry standards.
These mega IT projects are not only focused on the IT development of the country, but are also a mass employment generator accounting to 5,000 or more jobs in five years. The IT policy has also turned out to be favourable for the MSMEs, as they will get 50% reimbursement of exhibition stall rental as market development assistance and recruitment/training assistance at Rs 20,000 per IT professional employed within a period of two years.
Also, the projects with a budget up to Rs 5 crore ito be undertaken by the government will be reserved for the growth and development of MSMEs. The IT policy has proposed the MSMEs with a power subsidy of 25% while SC/ST and women entrepreneurs will get 50% percent subsidy.
Other leverage reforms that were introduced by the government includes rental subsidy for leased property of Rs 10 per square foot per month for three years, rebate of Rs 40,000 per employee for other IT projects; single window clearance with centralized help desk on round-the-clock basis etc.
The IT industry has also been exempted from statutory power cuts, labour laws and the Shops and Establishments Act and has also declared IT industry as essential service under essential services maintenance Act. All IT industrial areas/ IT layouts/zones/corridors including electronic manufacturing clusters and ITIR will be declared as Industrial Area Local Authority (IALA).