Chinese phone-maker Xiaomi has called for tax incentives from the Centre and infrastructure support from the State governments to boost electronics manufacturing in the country.

The company also asked the government to impress upon the neighbouring countries to accept BIS (Bureau of Indian Standards) to make it easy for Indian manufacturers to deal with the statutory norms in those countries.

“Vietnam offers a 10-year tax holiday to encourage its local manufacturing industry. We should also have something like that to boost electronics manufacturing and exports,” Muralikrishnan B, Chief Operating Officer of Xiaomi India, has said.

With Merchandise Exports from India Scheme (MEIS) is fading into oblivion, he said the electronics manufacturing sector would require incentives.

He wanted the government to clarify on the provisions of Remission of Duties or Taxes on Export Product (RoDTEP) scheme, which is going to replace the MEIS.

He said that it’s not clear yet on how the tax component was computed.

He also wanted the State governments to consider providing plug-and-play infrastructure so that manufacturers can kick start their operations quickly.

He was talking to a group of reporters at the Foxconn’s facility here. The facility exclusively manufactures Xiaomi phones.

The reporter is at Sri City at the invitation of Xiaomi

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