To boost semiconductor manufacturing in India, the Center has decided to provide uniform financial assistance of 50 percent of the project cost for setting up semiconductor manufacturing plants.
On Wednesday The Union Cabinet chaired by Prime Minister Narendra Modi approved the decision by modifying an existing scheme, ‘Program for Development of Semiconductor and Display Manufacturing Ecosystem in India’.
In addition, the Union Cabinet approved a Rs 19,500 crore Generation Linked Incentive (PLI) scheme on the National Program on High-Efficiency Solar PV Modules to attract an investment of Rs 94,000 crore in this sector.
Union Information and Broadcasting Minister Anurag Thakur told reporters that the decision of the Semiconductor Fabrication Plant will boost investment and make India self-reliant on semiconductor requirements. The 50 percent incentive applies to manufacturing semiconductors for technology nodes as well as compound semiconductors, packaging, and related facilities.
Uniform financial assistance of 50 percent of the project cost will be provided across all technology nodes for setting up the semiconductor fab, an official release said.
Given the specific technology and nature of compound semiconductors and advanced packaging, the revised program will provide financial support of 50 percent of the capital expenditure for setting up of composite semiconductors/silicon photonics/sensors/discrete semiconductor fabs, the release told.
An premonitory commission conforming of global experts from assiduity and academia constituted to warn the government on India’s semiconductor charge, has unanimously agreed that all technology bumps of Silicon Semiconductor Fab/ Silicon Photonics/ Sensor/ Discrete Semiconductor Fab and ATMP/ OSAT will be slightly enforced. support has been recommended, which was accepted by the government, it told.
The Solar Scheme under which a manufacturing capacity of about,000 MW per annum of completely and incompletely integrated solar PV modules will be set up is aimed at degrading India’s import dependence in the field of renewable energy. Thakur told that about 2 lakh direct employment would be created in this sector.” This action is anticipated to degrade import negotiation by about Rs1.37 lakh crore,” he told.