BENGALURU: Madhya Pradesh government has approved an analog semiconductor fab policy to invite electronic companies to make-in-India.As per the policy, any company which is willing to invest at least Rs 3,000 crore ($500 million) in the state, will get access to free land, reimbursement for the cost of building the shell of the manufacturing unit and access to 24X7 power supply from two different power grids and quality water."We took inputs from the industry during the global investor summit on November 9 and within three months finalized the policy," Hari Ranjan Rao, secretary to chief minister, science and technology, government of Madhya Pradesh, told ET. "This has been possible due to the tremendous support and clarity from Madhya Pradesh Chief Minister Shivraj Chauhan who has been very clear in his development agenda."To supplement the fabs, the MP government will build roads connecting the manufacturing unit directly to the nearby airport, where a free trade zone will be developed.A free trade zone will be where manufacturers will have a dedicated storage warehousing, and goods will be taxed only when they leave the airport. This will help in just-in-time manufacturing. Taxes and duties will be handled at the zone itself in collaboration with central customs and excise departments."We will be allocating 200 acres of land for developing the entire fab ecosystem. There can be multiple fabs set up in the same area," Rao said. Government owned land will be used for this purpose to avoid land acquisition issues. Land will be provided on a 50 years lease on an extendable basis.Two digital fabs have already been approved by the central government with a combined investment of over $10 billion. These two fabs were the biggest component of the ESDM policy that was rolled out in 2012.As against digital fabs, analog fabs require about a tenth of investment. The chips developed at an analog fab can be used in mobile phones, UPS inverters, smart meters and thousands of other electronic products.Electronics manufacturing industry body IESA helped the MP government in preparing the policy.