January 12, 2023
The plan is to talk to developing countries which have more demand for “legacy node” semiconductor chips
About five applicants which applied for incentives under the Indian Semiconductor Missions’ incentive package are awaiting official sanction
The Information Technology (IT) ministry unveiled the semiconductor fabrication incentive plan in December 2021
Applicants of this incentive plan need to meet certain criteria to gain government benefits
India is planning to hold inter-governmental talks to seek commitments from other nations to procure made-in-India semiconductor chips, according to media reports.
Experts said that these discussions are to be held with countries that don’t have extensive semiconductor manufacturing capacities. The plan is to talk to developing countries which have more demand for “legacy node” semiconductor chips which also cost less to manufacture. Additionally, the aim is to boost domestic manufacturing and exports of semiconductors.
According to the reports, about five applicants which applied for incentives under the Indian Semiconductor Missions’ INR 76,000 crore incentive package are awaiting official sanction to set up semiconductor fabrication units.
The IT ministry unveiled the semiconductor fabrication incentive plan in December 2021, in which the government will provide 50% financial support to back the semiconductor wafer fab proposals by various corporate entities. Applicants of this incentive plan need to meet certain criteria to gain government benefits.
Recently, the Israel-based International Semiconductor Consortium announced plans to begin construction on India’s first semiconductor fabrication plant. With further bilateral agreements that focus on technology manufacturing, semiconductor exports from India will receive a larger push.
Source: Economic Times