TN Budget: From payroll subsidies to space to IT parks, the big budgetary push for industries

CHENNAI: Sustaining the momentum built around the third edition of Global Investors Meet and Tamil Nadu Chief Minister M K Stalin's business trip to Europe, State Finance Minister Thangam Thennarasu on Monday offered a big push for the industries sector in his maiden full-fledged State Budget presented in the State Assembly for the financial year 2024-25.

From announcing payroll subsidies for women workers in industrial units and high-paying workers at Global Capability Centers to establishing space and IT parks, Thennarasu announced a slew of sops and projects in the budget presented in the State Assembly to put the industries sector he held till last year's Cabinet reshuffle on a hyper mode.

One such special scheme aiming to incentivize additional women employment in the state would offer a payroll subsidy of 10% of the salary of women, differently-abled, and transpersons employees for two years to all new industrial units providing direct employment to over 500 such individuals from Tamil Nadu.

The Finance Minister has also proposed to set up creches for infant children in all major SIPCOT industrial estates under public private partnership to support working women.

A new tailor-made skill training programme will be introduced to facilitate women willing to re-enter the job market after taking a sabbatical for marriages/pregnancy.

To promote space technology industries, TIDCO would establish a new Space Industrial and Propellant Park over 2,000 acres.

In a bid to make Tamil Nadu the prime destination for Global Capability Centers in India, the state will incentivize the creation of high paying jobs in new GCCs by providing a payroll subsidy of 30% in the first year, 20% in the second year and 10% in the third year for jobs with pay above Rs 1 lakh per month.

A global StartUp summit has been proposed in January 2025 to bring together leading StartUps and accomplished young entrepreneurs from across the world.

A new Tidel park covering 6.4 lakh sq ft and 6.3 lakh sq ft to be developed in Madurai and Tiruchy at a cost of Rs 350 crore and Rs 345 crore, respectively.

Tamil Nadu Artificial Intelligence Mission‟ will be established to develop guidelines for constructively leveraging AI in education, employment, industry, research and medicine, and to establish clear protocols for its utilization.

This mission will involve professors from leading educational

institutions in Tamil Nadu, executives from the electronics industry, and experts in the field.

A state-of-the-art IT Park in two phases will be constructed by ELCOT in Vilankurichi, covering an area of 20 lakh sq ft at an estimated cost of Rs.1, 100 crore.

TANSIDCO will establish three new dedicated industrial estates for MSMEs in Ottanchathiram in Dindigul, Manamadurai in Sivagangai and Thiruthuraipoondi in Tiruvarur.

TANSIDCO to develop a three-storied industrial complex over five acres at Sakkimangalam industrial estate in Madurai at Rs 118 crore to create 4,500 jobs.

A four-storied industrial complex with plug and play facilities will be constructed at Kurichi industrial estate in Coimbatore over 1.2 acres at Rs 37 crore.

A state-of-art industrial innovation centre spread across 26,500 sqft to be developed in Madurai at Rs 24 crore.