Gujarat continues to occupy a distinguishing position in the Indian economy. Gujarat has validated leadership in many capacities of manufacturing and infrastructure sectors. The rapid growth and development of technology in the state has altered the way we work. Growth and development of IT is playing a crucial role in expansion of the state.
Large number of businessmen like Mafatlals, Kejarias, Ambanis, Damanis, Adanis, are born in Gujarat and they are looking for new avenues for development. All these factors are critical to evaluate the existing and future potential of the IT/ITES sector, in order to provide the big push in the economy of the state.
There are various factors playing a foremost role in encouraging the state to become a major player like the industrial development, continuous power supply to cities and villages, well connected road and railway networks, computerisation of the electricity boards, Digital India drive of PM Narendra Modi, Excellent literacy ratio has developed the IT sector in Gujarat. All the major IT giants in the field of Hardware and Software have established in Gujarat and making this state proud.
Technology has delivered strong growth and the energy to many developed nations in their economic development. By enabling mechanisation and new product development, technologies has brought exponential improvements in the overall productivity of the economy and build strong innovative culture amongst the human resource base in Gujarat.
The IT/ITES Policy sponsored by the Government of Gujarat began in 2022 and will last for 5 years. Furthermore, along with these accelerators, it is important to gauge the investment potential of these sectors, the wholesome domestic supply and demand conditions, and the global surroundings.
OBJECTIVES OF THE IT/ITES POLICY
The objectives of the IT/ITES policy recognised by the Government of Gujarat are given below as follows:
ITES SECTORS UNDER THE IT/ITES POLICY
There are various ITES Segments available like:
VISION OF THE IT/ITES POLICY
To change the layout of IT in Gujarat by offering the leading IT services and world class infrastructure, along with superior work force in the state to achieve the innovation in the field of New Technologies in the coming years.
MISSION OF THE IT/ITES POLICY
The features of the IT/ITES policy announced by the Government of Gujarat are given below as follows:
ELIGIBILITY CRITERIA FOR ENROLMENT IN IT/ITES POLICY
Various criteria’s are essential for getting enrolled in the IT/ITES scheme launched by the Government of Gujarat and given below as follows:
INCENTIVES FOR IT/ITES UNITS UNDER THE IT/ITES POLICY
There are various incentive schemes rolled out by the Government of Gujarat under the IT/ITES policy in the state to boost the growth and development of IT and ITES. They are given below as follows:
Employment Generation Incentives
The rise of IT and ITES has played a fundamental role in the development of Gujarat state and the incentives offered to the IT employees are very high.
It is INR 50,000 for males and INR 55,000 for the female employees for all IT enabled companies. The EGI assistance given by the Government of Gujarat should be done only once.
Interest Assistance
All the eligible IT and ITES Companies established in the soil of Gujarat state are qualified to receive the interest subsidies at 8% of the term loans on the actual interest paid.
The amount capping will be INR 1 Crores per annum and most of the IT and ITES units will also be able to claim the incentives on a yearly basis for a maximum duration of 5 years from the date of commencement of the scheme.
Qualified IT and ITES firms in the state will get the interest assistance on actual interest payment on term loan acquired from Indian financial establishment that is recognised by the RBI.
Electricity Incentive Scheme
All the entitled IT/ITES companies can claim the complete electricity duty paid by them to the Government of Gujarat for 5 years from the date of commencement of the scheme.
Work from Home (WFH)
The Government of Gujarat is allowing the work from home option due to the rise in the case of COVID-19 for the last 2 years. The employees completing the allocated tasks will be paid cash incentives. The government has directed the companies to give the Chair, Work station, Incentives and Increase in salary to these employees to make their ends meet.
Gujarat School of Artificial Intelligence
The Government of Gujarat will encourage the development of IT and ITES in the state by associating with the huge academic institutions in the state. They are like IIT, IIM and other famous institutions.
They are establishing the Gujarat AI School of Excellence and objective behind this establishment is to become the major source for development of IT in the state.
They will give the significant assistance to boost the efforts of the Government of Gujarat by providing courses like Block chain Technologies, Quantum Computing, Machine Learning, Data Mining, Crypto currencies, Data Analytics, Artificial Intelligence, Internet of Things, Date Extraction Strategies, Cyber Security and the upcoming 5G Technologies.
Up-skilling the Industry Ready Talent
There are lot of graduates getting created in academic world and it is the need of the hour to up-skill them in order to expand their knowledge and cross train them in upcoming technologies in Gujarat.
The Government of Gujarat will offer incentive to the beneficiaries for completing the internationally recognised course with flying colours in IT. The reward is only 50% of the course fees need to be paid to the institution.
Details of the Course, Eligibility, Fees, Nature of Monetary Help, List of Recognised Institutes, Placements, E-Learning Platforms, launching these courses and other details will be published separately and amended from time to time. This is done to be in sync with the Client and Industry Requirements in Gujarat.
Nurturing the Young Talent
The Government of Gujarat will encourage the rise of students to come up with new inventions and ideas to improve the digital literacy, developing the potential of IT in daily life and establishing a powerful foundation for the future of the students.
After clearing the Matriculation, the government encourages the students to register in Massive Open Online Courses (MOOC) available in Gujarat.
These courses are getting launched successfully to arm the present generation of students to join the corporate world to adjust with the industry and client requirements. This will turn them into Job creators rather than Job takers and make a difference in their lives by becoming self-reliant.
Supporting the Research and Development Institutes
There are many research and development institutes and lot of equipment’s available created by the Government of Gujarat at 70% of the cost for Software and Hardware requirements.
AICTE (All India Council for Technical Education) along with the state government will offer INR 6 Crores to the cause of R and D.
This initiative is also supported by the CSIR (Council of Scientific and Industrial Research) and DSIR (Department of Scientific and Industrial Research) for encouraging the research in the concerned field.
POLICY IMPLIMENTATION UNDER THE IT/ITES POLICY
The IT/ITES policies are the creation of the Government of Gujarat and have introduced various committees to evaluate the policies and grant approval for assistance to the IT/ITES segments.
To assist the Mega and Special projects a High Level Committee is having members consisting of the following is ready.
To give assistance to projects other than Mega Projects the State Level Empowered Committee (SLEC), will consist of the following members.
The Department of Science and Technology (DST) under the Government of Gujarat will play a major role in development of IT and ITES sector in the coming years.
Generate Accurate and globally accepted project report for financing