BENGALURU, Feb 15 : Union Minister for Electronics and Information Technology Ashwini Vaishnaw on Saturday announced that India’s first “Made in India” semiconductor chip from a commercial facility is expected to be operational by September or October this year, marking a significant leap forward in the country’s technological self-reliance.
Addressing a press conference, Vaishnaw said, “Under the leadership of our Prime Minister, Narendra Modi, we now have five semiconductor units under construction. The first Made-in-India chip, led by commercial facility, is expected to be operational by September or October.”
He highlighted India’s long-standing ambition to establish a semiconductor industry, dating back to 1962. “Major efforts were undertaken in 1969, followed by further attempts in 1971, 1979, 1982, and 1984. Despite multiple attempts, true success has finally arrived under the leadership of Prime Minister Narendra Modi,” he said.
The Minister informed that five semiconductor units are currently under construction, signaling a historic moment in India’s journey to becoming a global hub for chip manufacturing. “We are no longer just a consumer of semiconductors; we are entering the global supply chain as a producer,” he added.
India’s foray into commercial semiconductor manufacturing is expected to have far-reaching implications for global supply chains. Amid growing concerns over reliance on Taiwan and China for semiconductor production, India’s emergence as a new manufacturing hub is set to attract major global players looking to diversify their supply sources.
Industry experts view this development as a strategic move in positioning India as an alternative to dominant chip-producing nations like Taiwan and South Korea. “This initiative aligns with global efforts to create a resilient semiconductor supply chain, especially in light of recent geopolitical tensions and trade restrictions,” said a senior industry analyst.
Vaishnaw emphasised India’s growing capabilities, stating, “The global semiconductor industry is increasingly looking towards India, given our strong design capabilities. Now, we are enhancing our manufacturing capabilities as well. We are working closely with the industry to complete the ISM 1.0 program, with a primary focus on modernizing the Semiconductor Laboratory in Mohali, a key component of ISM 1.2. Once that is completed, we will proceed with securing approval for ISM 2.0.”
The government is also making strategic investments in research and development, alongside forging international partnerships to fast-track technology transfer and production capabilities.
On policy initiatives, Vaishnaw refrained from disclosing specific investment figures, stating that only the Cabinet can approve them. However, he assured that the Production Linked Incentive (PLI) component scheme is progressing well, further boosting India’s prospects in electronics and semiconductor manufacturing.
India’s recent success in mobile phone, laptop, and server manufacturing has proven the country’s ability to develop cutting-edge technologies. “Some people talk about production and consumption, questioning why we were unable to manufacture earlier. The reason was the lack of a conducive production environment. Over the past ten years, that ecosystem has been created, and we are now poised for significant expansion,” he said.
With major players such as Micron Technology, Tata Group, and Vedanta-Foxconn investing heavily in India’s semiconductor sector, the country is on track to establish itself as a key supplier of chips to the global market.
Industry watchers predict that India’s semiconductor push will enhance its role in global electronics manufacturing, attract foreign investments, and create thousands of high-tech jobs. The upcoming PLI for Components scheme, hinted at by Vaishnaw, is expected to further bolster domestic manufacturing and drive growth in India’s semiconductor ecosystem.
The Minister indicated that further announcements regarding this scheme would be made in the coming days.
With the semiconductor industry being the backbone of modern electronics, India’s entry into largescale chip production is set to be a game-changer for global tech supply chains, reinforcing its position as a major player in the digital economy.
(UNI)
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