India-made semiconductors will be a reality in the next three to three-and-a-half years, requiring electronics companies manufacturing in the country to source chipsets from the domestic market. According to sources, the government will finalise the companies for semiconductor manufacturing under an incentive scheme soon. So far, 5 firms have applied under the Rs 76,000-crore semiconductor promotion scheme and the government expects more global firms to participate.
By mid-May, the CEO of India Semiconductor Mission (ISM), will be appointed, after which the applications will be analysed and selected. Based on the recommendations of ISM, the Cabinet will decide the final firms for availing capital benefits.
As per sources, once there is a complete ecosystem of semiconductors in India, electronics firms will be required to source their chipsets locally. In case the chipsets are not made in India, firms can import but if the same type of chipset is manufactured in India, firms have to buy it locally only, the sources added. Through the semiconductor policy, the country wants to cater its demand locally and not depend on other countries.
The government is hopeful of setting up the whole semiconductor ecosystem in the country, primarily given the geopolitical situation wherein most of the big global firms are looking at diversifying and reducing their dependence on China. To further propagate its message on semiconductors and how India can be an ideal location, the government is organising three-day conference in Bengaluru, which will be inaugurated by Prime Minister Narendra Modi
As per minister of state for electronics and IT Rajeev Chandrasekhar, the SemiconIndia conference 2022 will act as a big step in fulfilling PM’s vision of India as an electronics and semiconductor innovation hub. The conference will witness participation from global industry leaders, academia, start-ups, and research organisations and will help in building a road map and semiconductor strategy.
The flagship conference is the first step towards actualising the India Semiconductor Mission and making its aspirations known globally. The conclave will showcase innovation by startups, key projects undertaken by the academic institutions, ongoing microprocessor programs undertaken by the government and intellectual might of research and development in the sector, both by enterprise and the government. Global experts expected to attend the conclave include the founder of Indo-Us Venture Partners – Vinod Dham; Sanjay Mehrotra, President & CEO of Micron Technology; Randhir Thakur, President, Intel Foundry Services, Intel; and Nivruti Rai, Country Head, Intel India.