Content :
- Govt Notifies SEZ Reforms to Boost Semiconductor and Electronics Component Manufacturing
- NHAI releases first-ever Asset Monetisation Strategy Document to drive growth in Road Sector
Govt Notifies SEZ Reforms to Boost Semiconductor and Electronics Component Manufacturing
Context :The Government of India has notified targeted SEZ rule reforms to accelerate investment and high-tech manufacturing in the semiconductor and electronics component sectors.
Relevance : GS 3(Minerals ,Mining ,Manufacturing )
Key Reforms Introduced
- Minimum Land Requirement Reduced:
- For SEZs exclusive to semiconductors/electronics, the minimum land requirement is now 10 hectares, down from 50 hectares.
- Encumbrance Norms Eased:
- SEZ land no longer needs to be encumbrance-free if mortgaged/leased to Central/State Government or authorised agencies.
- Net Foreign Exchange (NFE) Reform:
- Free-of-cost goods (received/supplied) now count toward NFE calculation, per Rule 53 amendment.
- Domestic Tariff Area (DTA) Access:
- SEZ units in these sectors can now sell domestically after paying duties—encourages market integration.
Strategic Importance
- Encourages High-Tech Manufacturing:
- Recognises long gestation and capital-intensive nature of semiconductor industry.
- Strengthens Semiconductor Ecosystem:
- Aligns with India Semiconductor Mission (ISM) and Aatmanirbhar Bharat goals.
- Generates High-Skilled Jobs:
- Expected to create specialized employment in electronics design, fabrication, packaging, etc.
Major Investments Approved
- Micron Semiconductor Technology India Pvt Ltd:
- Location: Sanand, Gujarat
- Investment: ₹13,000 crore
- Area: 37.64 hectares
- Hubballi Durable Goods Cluster Pvt Ltd (Aequs Group):
- Location: Dharwad, Karnataka
- Investment: ₹100 crore
- Area: 11.55 hectares
Implications for Economy and Policy
- Boosts FDI and domestic investment in cutting-edge tech sectors.
- Reduces dependence on foreign chip imports, enhancing strategic tech sovereignty.
- Sets a precedent for targeted SEZ reforms tailored to sector-specific needs.
- Encourages integration of SEZ production with domestic value chains.
NHAI releases first-ever Asset Monetisation Strategy Document to drive growth in Road Sector
Context : NHAI has released its first Asset Monetisation Strategy to enhance private investment, unlock road asset value, and ensure sustainable infrastructure financing.
Relevance : GS 3(Economy & Infrastructure)
Asset Monetisation – Key Points
- Definition: Process of unlocking value from existing public infrastructure assets by leasing or transferring revenue rights to private players for a fixed period, while retaining ownership.
- Objective: Generate non-debt capital for new infrastructure creation and reduce fiscal pressure on the government.
- Key Models:
- Toll-Operate-Transfer (ToT)
- Infrastructure Investment Trusts (InvITs)
- Real Estate Investment Trusts (REITs)
- Securitisation of revenue streams
Key Highlights of the Strategy
- Structured Framework for Monetisation:
- Utilizes Toll-Operate-Transfer (ToT), Infrastructure Investment Trusts (InvITs), and securitisation models.
- Impressive Financial Mobilisation:
- Raised over ₹1.4 lakh crore through monetisation of 6,100 km of highways under the National Monetisation Pipeline (NMP).
- Document Accessibility:
- Strategy document made publicly available on NHAI’s website for transparency and stakeholder engagement.
Three Core Pillars
- Value Maximisation of government-owned road assets.
- Process Transparency and better information dissemination for investors.
- Market Development by expanding investor base and engaging stakeholders.
Strategic Importance
- Reduces reliance on traditional government funding like budgetary support and debt.
- Promotes private sector efficiency in road operations and maintenance.
- Aligns with Asset Monetisation Plan 2025–30, boosting infrastructure-led economic growth.
Benefits and Impacts
- Ensures financial sustainability of NHAI.
- Encourages private investment and long-term partnerships.
- Improves road quality and durability through advanced tech and private sector practices.
- Demonstrates a shift to market-based infrastructure financing in India.
