Anil Agarwal-owned Vedanta Group on Tuesday said the company is awaiting the government’ s approval for its applications under the modified scheme for semiconductor and display fabs.
Aftr the approval, the company will immediately begin construction of its fabrication units in Dholera Special Investment Region in Ahmedabad, said Akarsh K Hebbar, global MD of Vedanta Semiconductors and Display.
Recently, Foxconn exited a $19.5-billion (around Rs 1.6-trillion) semiconductor joint venture with Vedanta. After Foxconn’s exit, Vedanta said the company will continue to grow its semiconductor team and have the licence for production-grade technology for 40 nanometer (nm) chips from a prominent Integrated Device Manufacturer (IDM).
“Vedanta Group remains fully committed to building India’s first semiconductor and display fabs in Dholera Special Investment Region in Ahmedabad district, Gujarat. Substantial progress has happened to tie up technology and equity partners in semiconductors and we will make an announcement soon,” Hebbar said.
He said the company has engaged with more than 100 global suppliers and ancillary industries who will form a key part of the semiconductor and display ecosystem. “The government of Gujarat has allotted us the land in Dholera and work is already underway to prepare it for construction of the fabs.”
Vedanta is also looking to set up its display glass manufacturing unit in Gujarat to tap the $30 billion (Rs 2.5 trillion) market in the country.
Display glass is used in electronics devices such as smartphones, laptops and televisions. Its domestic manufacturing is crucial for increasing the domestic value addition in electronics manufacturing.
“In display fab, we already have a partnership with Innolux and are ready to proceed with speed with full support of our partner,” Hebbar said.
Vedanta will produce the display glass through its Japan-based subsidiary AvanStrate, which is the world’s fourth-largest glass company, and holds more than 700 patents.
On the semiconductor fabrication project, Vedanta-Foxconn JV was reportedly in talks with ST Microelectronics for a technology tie-up, which did not materialise.
Earlier this month, Vedanta assumed full ownership of the joint venture with Foxconn. The company brought its semiconductor and display glass businesses, which were earlier held by Twin Star Technologies, under its own portfolio.