Special incentives for those setting up IT units in tier II cities, says Information Technology Minister
The State government is keen on expanding the Information Technology sector from its hub in Cyberabad (Madhapur, Gachibowli and Nanakramguda) to the newer areas in the city such as Pocharam, Uppal, Shamshabad besides tier-II cities where local talent is available.
Minister for Information Technology Ponnala Lakshmaiah, who released ‘IT Velugulu-AP the most preferred IT Destination' a Telugu translation of the strides made by the IT sector in the State, on Saturday, disclosed that special incentives have been announced for those setting up IT units in tier II cities like Visakhapatnam, Kakinada, Vijayawada, Tirupati, and Warangal.
The government would take up construction of IT Towers on an area measuring 50,000 sft at Warangal, one lakh sft each at Visakhapatnam and Tirupati, to cater to the requirements of small and medium enterprises (SMEs).
In Cyberabad too, an IT tower would be constructed for the benefit of SMEs.
Speaking about the progress in tier II cities, the Minister said while 95 IT units in Visakhapatnam made Rs. 786 crore through exports and provided employment to 10,664 people, Vijayawada with 37 units, made Rs.65 crore and employed 1,500 people.
Kakinada and Tirupati had 22 and eight units respectively. Three IT units had begun operations in Warangal recently, he said. Mr. Lakshmaiah said IT exports from the State reached Rs. 36,000 crore during the last financial year as against Rs. 5,000 crore in 2004, placing it State at number four in the country with regard to IT exports.
The new IT policy would ensure further growth in the sector, he said. The IT sector with 1,266 units provided direct employment to 2.15 lakh people and indirect employment to about 12 lakh people, While the State's share in national IT exports was 15 per cent, its share in national IT employment was 12 per cent.
With companies investing in the IT sector and announcement of new projects after the two-year slow down, AP, recognised worldwide as the best IT destination according to various surveys, is bound to reach the top position in India, the Minister said.