India To Ensure Supply Chain For Semiconductor Fab Units, Hints At Further Incentives

ENA Sectors 2024-03-14 16:03:38 New Delhi, Mar 14 (KNN) India is taking concrete steps to establish a strong semiconductor ecosystem by setting up fabrication units and facilitating supply chains within the country. Rajeev Chandrasekhar, Minister of State for Electronics and IT, emphasised the government's commitment to ensuring supply chains have a footprint in India alongside the upcoming fab units. Speaking after the foundation stone-laying ceremony for a semiconductor facility, Chandrasekhar said, You can't set up a fab without a supply chain, and the government will do everything necessary to ensure that the supply chain also has a footprint in India , reported businessline. While the current semiconductor policy does not cover incentives for supply chains, the Minister hinted that the government may provide additional support in the future. It may require an additional policy to support supply chains, especially if there is a justification for incentives to move them to India, he stated. On Wednesday, the government laid the foundation for three semiconductor units worth Rs 1.25 lakh crore, including a fabrication facility in Gujarat and two assembly and test facilities in Assam and Gujarat. These projects, along with Micron Technology's facility in Gujarat, bring the total to four under the India Semiconductor Mission, which offers fiscal support of up to 50 per cent of the project cost. Chandrasekhar expressed confidence in India's ability to support every semiconductor investor seeking partnership. If we run out of resources in this first stage, we will definitely ask for more funds from the Prime Minister and the government, he said. The Minister also highlighted the significance of this milestone, stating, After all the scepticism about when a fab will be set up and whether big companies will come, we still have a few more projects in the pipeline. We will have 1.8 lakh wafers per month if SCL modernisation and tower proposals are approved. With these initiatives, India aims to establish a robust semiconductor manufacturing ecosystem, attracting global players and positioning itself as a hub for this crucial industry. (KNN Bureau) 37046 https://knnindia.co.in/news/newsdetails/sectors/india-to-ensure-supply-chain-for-semiconductor-fab-units-hints-at-further-incentives 2024-03-14 16:03:38 knnindia.co.in India To Ensure Supply Chain For Semiconductor Fab Units, Hints At Further Incentives