+
Karnataka Offers 10% Incentive to Boost R&D Manufacturing
POWER & RENEWABLE ENERGY

Karnataka Offers 10% Incentive to Boost R&D Manufacturing

The Karnataka government will provide an additional 10% incentive to companies transitioning their research and development (R&D) operations into local manufacturing. This initiative, part of the state’s 2025-2030 industrial policy, aims to boost domestic production, said MB Patil, Minister for Large and Medium Industries.

With over 400 Fortune 500 companies having R&D centers in Bengaluru but only 10% manufacturing locally, the revised policy offers flexible incentives, including production-linked and capital-based benefits. Employment-based incentives will also favor firms hiring women.

The state has allocated Rs 50 billion to improve industrial infrastructure, including better water supply and leased land options. Companies can also invest up to 26% in solar or wind energy projects, supporting Karnataka’s 65% renewable power capacity.

Additionally, Karnataka is launching an AI-driven single-window portal with Microsoft to halve application processing time. Beyond Bengaluru, Belgaum is being developed as an electronics and aerospace hub, Bijapur for semiconductor-related industries, and Mysore, Hubli, and Belgaum as IT and startup centers.

These initiatives come ahead of Invest Karnataka 2025 on February 12, where the state targets Rs 10 trillion in investments with a 70% conversion rate. Karnataka has already secured Rs 100 billion from Japan and South Korea in high-tech sectors like semiconductors and battery manufacturing.

Your next big infra connection is waiting at RAHSTA 2025 – Asia’s Biggest Roads & Highways Expo, Jio World Convention Centre, Mumbai. Don’t miss out!

The Karnataka government will provide an additional 10% incentive to companies transitioning their research and development (R&D) operations into local manufacturing. This initiative, part of the state’s 2025-2030 industrial policy, aims to boost domestic production, said MB Patil, Minister for Large and Medium Industries. With over 400 Fortune 500 companies having R&D centers in Bengaluru but only 10% manufacturing locally, the revised policy offers flexible incentives, including production-linked and capital-based benefits. Employment-based incentives will also favor firms hiring women. The state has allocated Rs 50 billion to improve industrial infrastructure, including better water supply and leased land options. Companies can also invest up to 26% in solar or wind energy projects, supporting Karnataka’s 65% renewable power capacity. Additionally, Karnataka is launching an AI-driven single-window portal with Microsoft to halve application processing time. Beyond Bengaluru, Belgaum is being developed as an electronics and aerospace hub, Bijapur for semiconductor-related industries, and Mysore, Hubli, and Belgaum as IT and startup centers. These initiatives come ahead of Invest Karnataka 2025 on February 12, where the state targets Rs 10 trillion in investments with a 70% conversion rate. Karnataka has already secured Rs 100 billion from Japan and South Korea in high-tech sectors like semiconductors and battery manufacturing.

Next Story
Infrastructure Transport

AXISCADES Secures USD 1.2 Mn Orders in Aircraft Interiors

AXISCADES Technologies Ltd, a leading technology solutions company serving the aerospace and defence sectors, has announced two significant pilot orders worth USD 1.2 million in the aircraft cabin interiors segment. The orders have been awarded by a global aerospace original equipment manufacturer (OEM) and a renowned aircraft cabin interior company headquartered in Europe and the USA.These contracts mark AXISCADES’ strategic expansion into the design, development, and retrofit of aircraft interiors, a high-growth area driven by increasing demand for cabin modernisation and enhanced passenge..

Next Story
Infrastructure Urban

Fortis Leases 200-Bed Hospital in Greater Noida

Fortis Healthcare Ltd has announced that its wholly owned subsidiary, International Hospital Ltd (IHL), has entered into a 15-year lease agreement with RR Lifesciences Ltd for a 200-bed operational multi-specialty hospital in Greater Noida. Previously managed by Fortis under an operations and management (O&M) arrangement since October 2022, the facility will now function as Fortis Hospital Greater Noida under the company’s direct operational and financial control.The hospital, located on a 1.35-acre UPSIDA-leased land parcel with a built-up area of 270,000 sq. ft., has scope for expandin..

Next Story
Infrastructure Urban

Syrma SGS, Elemaster Launch JV for Rail, Medtech Electronics

Syrma SGS Technology Ltd, a prominent Indian electronics systems design and manufacturing company, has entered into a joint venture with Italy-based Elemaster S.p.A Tecnologie Elettroniche, a global leader in electronics design and manufacturing. The JV will operate under Syrma SGS Design and Manufacturing Pvt Ltd, soon to be renamed Syrma SGS Elemaster Pvt Ltd.This strategic partnership aims to establish a dedicated India-focused platform serving high-reliability sectors such as railways, industrial electronics, and medical technology. The initial manufacturing unit will be located in Bommasa..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?