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India will become the world’s semiconductor hub, 6 manufacturing plants are going to be set up with an investment of Rs 2.36 lakh crore

by Sandhya Hirani
September 8, 2024
India will become the world's semiconductor hub, 6 manufacturing plants are going to be set up with an investment of Rs 2.36 lakh crore

New Delhi, September 8 (IANS). The central government is trying to make India the semiconductor hub of the world. In view of the increasing role of semiconductors in the future, global and domestic companies are investing heavily in this sector.

So far, 6 semiconductor plants have been approved by the central and state governments in the country. Around Rs 2.36 lakh crore is being invested by various companies in these six semiconductor manufacturing plants.

Adani Group and Tower Semiconductor Plant: The semiconductor manufacturing project being set up by India’s Adani Group and Israel’s Tower Semiconductor in Panvel, Raigad district of Maharashtra has recently received approval from the Maharashtra government. A total investment of Rs 83,947 crore will be made in this project under two phases. On completion of the first phase of the project, its production capacity will be 40,000 wafers per month. At the same time, after the completion of the second phase, its capacity will increase to 80,000 wafers per month.

Micron OSAT Plant: American chip manufacturing company Micron is building an Outsourcing Assembly and Testing Unit (OSAT) plant in Sanand district of Gujarat with an investment of about Rs 23,000 crore. This is the first semiconductor plant to be set up in India. DRAM and NAND products will be assembled and tested in this plant. The chips made in it will be supplied to domestic as well as global markets. This plant can start by the middle of next year. For this, the central government is providing 50 percent and the Gujarat government is providing 20 percent financial assistance.

Tata-PSMC Semiconductor Plant: India’s Tata Group, in collaboration with Taiwanese company Powerchip Semiconductor Manufacturing Corporation (PSMC), is building a semiconductor fabrication facility (fab) in Dholera, Gujarat. It was inaugurated by Prime Minister Narendra Modi in March 2024. An investment of Rs 91,000 crore will be made in this plant. The central government will contribute 50 percent of the capital expenditure in this. The production capacity of this plant will be 50,000 wafers per month. Semiconductor production from the Dholera plant can start by December 2026.

Tata Electronics Semiconductor Plant: Tata Electronics is setting up a greenfield semiconductor assembly and testing facility at Jagiroad, Morigaon, Assam. This is the first semiconductor plant to be set up in the North East. An investment of about Rs 27,000 crore will be made in this plant.

CG Power Sanand OSAT Plant: Indian company CG Power is building a state-of-the-art OSAT plant in Sanand, Gujarat in collaboration with Japan’s Renesas Electronics Corporation and Thailand’s Stars Microelectronics. An investment of about Rs 7,600 crore will be made in this plant in the next five years. This plant will manufacture consumer electronics, industrial equipment and semiconductors used in 5G technology. About 1.5 crore chips will be manufactured daily in this plant.

Kaynes Semicon Plant: Kaynes Semicon is setting up an OSAT plant in Sanand, Gujarat with an investment of Rs 3,307 crore. Around 63 lakh chips will be manufactured in this plant per day. This plant was approved by the Cabinet in early September.

The central government is providing 50 per cent capital support to companies setting up semiconductor plants under the India Semiconductor Mission (ISM).

–IANS

ABS/ABM

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