Yeida to float plot scheme on November 15 at Japanese City in Sector 10

The Yamuna Expressway Industrial Development Authority (Yeida) on Wednesday said it will float an industrial plot scheme on November 15, meant exclusively for Japan based manufacturing units at its upcoming Japanese City in Sector 10, near the Noida international greenfield airport in Jewar.

Apart from Sector 10, Yeida will also allot land to Japanese companies in Sector 32, which is located next to Sector 10, said officials.

The move comes after the Uttar Pradesh cabinet recently approved its foreign direct investment (FDI) policy, allowing multiple subsidies to foreign companies that want to set up their business in the state.

At least 15 companies from Japan, which visited the Yamuna authority areas, have already agreed to make investments in the region. As a result, Yeida now has a golden opportunity to provide them with the best of services so as to create a conducive environment for business for Japanese companies.

“Japanese companies have shown their interest in buying industrial land and setting up manufacturing units in the Yamuna authority region owing to the presence and availability of world-class infrastructure be it expressways, rail and air connectivity with the rest of the country. The added advantage for these companies is that the Uttar Pradesh government is offering many incentives for them,” said Arun Vir Singh, chief executive officer, Yeida.

The Japanese City will be developed on 500 acres in Sector 10 and only Japanese investors will be allowed to set up their manufacturing units there. These units mostly manufacture electronics products, semiconductors, AI, chips and other products, said officials.

The Uttar Pradesh government has approved the FDI policy offering benefits, including mixed land use on industrial plots and freedom on floor area ratio, said officials. The Yeida officials said incentives have been offered to lure FDI because currently UttarPradesh, which is the largest state in the country, only gets 17% of the country’s total FDI.

By allowing mixed land use on industrial plots, the foreign businessmen can build residential, industrial, and commercial projects, including shopping malls, hotels and offices under a single roof, if they so choose, thereby earning a profit. If a company will make an investment of at least 100 crore, then it can avail of the benefits of FDI.

The company will also get a subsidy to the tune of 75% land cost, said Yeida. That means if a company is investing at least 100 crore and buying 100 acres, 75% of the total land cost paid will be reimbursed to the company in instalments once it sets up the project, said officials.

The state government will hand over the waste and barren government land to Yeida to implement this scheme. The company will also not have to pay state GST for 10 years, said officials.

Under the research and development scheme, the company will get 2 crore for R&D at their respective project. The government will provide 10 crore for the accommodation of workers in seven equal instalments. Companies will enjoy 100% exemption from electricity charges for five years, besides relief in electricity bills post that period.

The government plans to train the youth through these companies. For this, the state will give 5,000 per person per month to the company to train 500 people. This will create skilled human resource.

In Gautam Budh Nagar and Ghaziabad, 25% subsidy will be given on capital investment. Similarly, 30% capital subsidy will be available in Paschimanchal and Madhyanchal, 35% in Bundelkhand and Purvanchal, said state officials.