Context:
India aims to achieve 5% of global semiconductor chip production capacity by 2030. This initiative is part of the next phase of the India Semiconductor Mission (Semicon 2.0).
Incentive Scheme & Investments
- The Government has committed $10 billion (₹82,000 crore approx.) as incentives under the mission.
- So far, six major projects have been approved with total investments exceeding ₹1.55 trillion, including:
- ₹91,000 crore for Tata’s fab plant
- Remaining funds are for OSAT and ATMP facilities
Current Approved Projects and Output
| Company / Project | Type | Daily Chip Capacity (in million) |
|---|---|---|
| Tata | Fab | 48 |
| HCL-Foxconn JV | OSAT | 1.2* |
| CG Power | OSAT | 15 |
| Kaynes | OSAT | 6.3 |
| Micron | ATMP | 4.8 (expected by end-2025) |
| Polymatech (Chennai) | ATMP | 6 (currently operational) |
| Suchi Semicon (Gujarat) | State cleared | 10 |
| RRP Electronics (MH) + RIR Power (Odisha) | State cleared | 6 (combined est.) |
Ecosystem Development under Semicon 2.0
- Focus areas:
- Supply chain development: Chemicals, gases, and other fab inputs
- OSAT/ATMP market: India targets 25% share globally in 10 years
