India plans ₹76,000 crore red carpet for semiconductor companies
The government is planning to provide an incentive of Rs 76,000 crore for setting up 20 semiconductor design, components manufacturing and display fabrication (FAB) units over the next six years. India a hub for Electronics.
“Through Various” PLI (Production linked incentives) schemes, the Center has tried to widen the scope of manufacturing and exports from India, while the semiconductor policy will help in deepening India’s manufacturing base,” a senior government official told ET.
Officials said the government’s target includes one to two fab units for displays and 10 units for designing and manufacturing. semiconductors Used to manufacture a wide range of products from automobiles to handsets.
he plan is likely to go to the cabinet next week for approval and after that, the Ministry of Electronics and IT (MeitY) will work out the finer details and invite applications.
Another official said, “… (after cabinet approval), the final modalities of the policy will be prepared later and interest will be sought from companies for investment.”
India should act fast, say experts
“The world is grappling with semiconductor shortages
chips Influencing production targets in almost all industries. Since everything – from cars to TVs, laptops, earbuds and even washing machines – use semiconductors, the policy is coming at the right time and right place,” said Kanishk Chauhan, principal research analyst at Gartner. “If the policy can entice some foundries (manufacturing units) in our country, it will go a long way in making our country self-reliant”.
A wafer is designed and manufactured in a fab, also known as a foundry, by companies such as Taiwan Semiconductor Manufacturing Company (TMSC) according to the requirements of chip makers such as Samsung, NXP and Qualcomm. Chip makers then package, test and sell the chips to equipment makers such as Xiaomi and Cisco. The government’s move comes almost a year after it invited companies to express their interest and requirements for setting up semiconductor fab units. Previous attempts to woo companies had failed despite the government offering capital subsidy of up to 40%.
"Through Various" PLI (Production linked incentives) schemes, the Center has tried to widen the scope of manufacturing and exports from India, while the
usamaspeaks.com