The Upcoming Union Budget may have a sweet news for Andhra Pradesh. Reports are emerging that the Central government is planning to announce 10 years of Corporation Tax Exemption for CEZs along the Coastal Belt of the country. Along with this several incentives will also be rolled out for the companies coming there.
These companies will have to reach certain norms in direct employment creation to avail this benefits. Buzz is that the state government is lobbying for at least 2-3 CEZs which will boost Modi government’s Look East Policy. Modi’s Gujarat and Maharashtra will gain immensely with this proposal.
The government has shifted its focus on to CEZs in order to generate employment in manufacturing since large players are missing currently missing in those areas such as footwear, clothing, electronics and light manufacturing, which generate jobs on mass scales. Modi‘s ThinkTank Niti Aayog is currently working on this.