Samsung set to receive incentives to set up a display factory in India

Spread the love

It was reported earlier this year that Samsung Display has decided to set up a smartphone OLED panel factory in India. However, not much progress was made in the project due to the COVID-19 pandemic and related issues. The company had to send additional employees from South Korea to speed up the pending work. Now, it is being reported that the company will receive incentives from the Indian government for setting up the factory.

According to a report from The Economic Times, Samsung is setting up a $653.36 million smartphone OLED plant in Noida in the Uttar Pradesh state of India. The South Korean tech giant will receive financial benefits worth $9.5 million, and these special incentives were approved by Uttar Pradesh’s Chief Minister Yogi Adityanath. Under ‘UP Electronics Manufacturing Policy 2017’, the company will get exemption on tax payable on the transfer of land for setting up the factory. Samsung’s upcoming display plant will provide up to 510 direct jobs and up to 1,300 jobs indirectly.

The smartphone OLED panel factory is expected to be operational next year. A government spokesperson informed the media that it is Samsung’s first major project that is being shifted from China to India. India will become only the third country outside of South Korea to have Samsung’s display plant. The company already operates its biggest smartphone manufacturing plant in the world from Noida.

The Indian government had announced a $6.65 billion federal plan earlier this year to 16 companies, including Samsung and Apple suppliers, to boost electronics manufacturing in the country. The country’s government is making it expensive to import smartphone and other electronic components by increasing import taxes, and indirectly forcing companies to manufacture locally. Samsung is the biggest smartphone OLED display vendor in the world.

Leave a Reply