Government allocated USD 10 bn for semiconductor, display manufacturing: Invest India

New Delhi [India], August 10 (ANI): The Government of India has announced a substantial allocation of USD 10 billion under the Semicon India Program for the semiconductor and display manufacturing ecosystem, according to Invest India, the national investment promotion and facilitation agency of India.
This initiative underscores the nation's commitment to reinforcing the vision of Aatmanirbhar Bharat (Self-Reliant India) and enhancing resilience in global supply chains.
Invest India posted on X, "#NewIndia has allocated USD 10 Billion to develop the semiconductor and display manufacturing ecosystem, reinforcing the vision of #AatmanirbharBharat. Discover more here: https://bit.ly/II_Semiconductor... #InvestInIndia #Semiconductors @GoI_MeitY @AshwiniVaishnaw @MakeInIndia @DPIITGoI"

#NewIndia has allocated USD 10 Billion to develop the semiconductor and display manufacturing ecosystem, reinforcing the vision of #AatmanirbharBharat.

Discover more here: https://t.co/q1JWurcjZ8#InvestInIndia #Semiconductors @GoI_MeitY @AshwiniVaishnaw @MakeInIndia @DPIITGoI pic.twitter.com/Sy4AB18YZF

— Invest India (@investindia) August 10, 2024

The semiconductor market in India is projected to reach USD 110 billion by 2030, driven by the growing adoption of technologies like 5G, AI, IoT, and electric vehicles.
The display market is expected to reach USD 15 billion by 2025. This growth is anticipated to be propelled by increased semiconductor content per device due to emerging technologies and rising demand across various sectors.
The investment is designed to foster a sustainable industry environment, promote self-reliance, and pave the way for technological leadership in this crucial sector.
The program provides a 50 per cent incentive on project costs for semiconductor and display fabrication facilities across various technology nodes. This support aims to attract significant investments in the development of high-tech fabs.
Investors in compound semiconductor and OSAT (Outsourced Semiconductor Assembly and Test) facilities will receive 50 per cent support on capital expenditures. This initiative is intended to strengthen India's capabilities in advanced semiconductor technologies.
This scheme aims to nurture domestic semiconductor design companies, startups, and MSMEs by offering up to 50 per cent reimbursement on eligible expenditures and a deployment-linked incentive ranging from 6 per cent to 4 per cent of net sales turnover over five years. It includes additional support for design infrastructure, including access to prototyping and post-silicon validation facilities.
A specialised institution will be established to drive the Semicon India Programme, focussing on research, development, and talent cultivation.
The initiative includes a comprehensive training programme aimed at developing 85,000 semiconductor engineers, ensuring a skilled workforce to support the sector's growth.
Fiscal support of 50 per cent of project costs will be provided to approved investors for setting up wafer fabrication facilities. The scheme also includes support for demand aggregation, R&D, and workforce skill development.
Similar to semiconductor fabs, a 50 per cent incentive on project costs will be provided to attract large investments in display fabrication facilities, along with additional support for R&D and skill development.
A 50 per cent incentive on capital expenditures will be offered to attract investments in these advanced semiconductor technologies, aimed at building a robust electronics manufacturing ecosystem.
Semiconductors are fundamental to modern electronic devices, including smartphones, cloud servers, and industrial automation systems. India's burgeoning semiconductor market is expected to influence global electronics supply chains, with considerable growth in mobile and wearable technology, IT infrastructure, and consumer electronics. (ANI)