H.D. Kumaraswamy, a key ally of the ruling NDA alliance and a central minister, has changed his position and made his stance on the US semiconductor firm Micron. This was right after he had raised serious questions about the huge subsidies being provided to Micron Technology for setting up a plant in Gujarat.
Taking to X, the Union Minister of Steel & Heavy Industries clarified that Semiconductor is a strategic industry.
Adding to this, he tweeted:
This was in response to the report on June 14th , 2024.
Key Points Raised:
- For each job created at this plant, a subsidy of around Rs 3 crore is being provided by the government.
- While the Micron Technology plant was highly touted, the reality is that 70% of the investment is coming from the government's coffers.
- Out of the proposed investment of Rs 22,680 crore, 50% will be provided by the central government and 20% by the Gujarat state government.
- This means that the public will bear a cost of Rs 15,876 crore from their pockets for this project.
- The plant is expected to create 5,000 jobs, translating to a government expenditure of over Rs 3 crore per job.
- Shockingly, this plant will not be involved in manufacturing semiconductors but only in assembling them.
Central Minister H.D. Kumaraswamy, questions Massive Subsidies for Micron Technology Plant in Gujarat.#Semiconductor #Technology #Business #SUBSIDIES #MicronTechnologies
@hd_kumaraswamy @MicronTech pic.twitter.com/xDnZg8Seox— VYGR News (@Vygrofficial) June 17, 2024
Kumaraswamy argued then that with this level of expenditure, government jobs could have been created for numerous youths instead.
The massive subsidies being doled out for the Micron project have sparked a debate about the judicious use of public funds and the need for a balanced approach towards attracting investments while also prioritising job creation through government initiatives.
Inputs: Multiple agencies
Image Source: Multiple resources
© Copyright 2024. All Rights Reserved Powered by Vygr Media.
