Incentives for green tech, artificial intelligence likely in new industrial policy

The government is expected to provide incentives for use of frontier technologies like artificial intelligence and robotics in the new industrial policy that is likely to be unveiled soon, sources said.

Besides, the industries would also be encouraged to adopt green technologies to promote cleaner environment.

The proposed policy, the draft of which has been released by the commerce and industry ministry for consultation with various stakeholders, will completely revamp the Industrial Policy of 1991.

The world is talking about industrial revolution 4.0 that includes artificial intelligence, robotics, deep learning and Internet of Things and incentives and there is a need to promote adoption of these modern technologies, which are capital intensive, according to government sources.

"The ministry is holding consultation with states also on the new policy to see their best practices. It will be released soon," they added.

The Department of Industrial Policy and Promotion (DIPP) in August last year floated a draft industrial policy with an aim to create jobs for the next two decades, promote foreign technology transfer and attract USD 100 billion FDI annually.

The department is working to formulate an outcome oriented actionable policy that provides direction and charts a course of action for a globally competitive Indian industry that leverages skill, scale and technology.

The development assumes significance as India is aiming at increasing the contribution of manufacturing sector in the GDP to 25 per cent by 2020, from the current level of about 16-17 per cent.

Commerce and Industry Minister Suresh Prabhu had stated that the new policy will seek to promote emerging sectors.