India on Friday said it will expand its incentives for those investing in semiconductor manufacturing, as its government woos global companies to become a major player in the global supply chain for chips.
The $10 billion (about Rs 76,523 crore) incentive scheme to attract semiconductor and display makers has received applications from companies such as a joint venture between the Indian conglomerate. Vedanta and Taiwanese Foxconnand IGSS Ventures of Singapore.
“After using this first tranche, we will definitely go for more,” the country’s IT minister Ashwini Vaishnav said while addressing India’s first semiconductor conference in the southern city of Bengaluru.
“We are hungry for more, we need more.”
The government says that the Indian semiconductor market of $ 15 billion (about Rs 1,147,84 crore) in 2020 is projected to reach $ 63 billion (4,82,096 crore) by 2026.
Even as more firms and countries seek to ensure access to critical technologies such as 5G and chips for the future, the world’s chip market is dominated by manufacturers from Taiwan, the United States, and a few other countries.
Prime Minister Narendra Modi but said Bengaluru Conference India wanted to emerge as a major player in global semiconductor supply chains, urged companies to consider setting up. The push is part of Modi’s flagship “Make in India” project.
Part of the government’s efforts to attract large investments, the three-day meeting has attracted executives from the tech giant Intel, TSMC And Micron Technology,
At the event, India’s Junior IT Minister Rajiv Chandrasekhar said that the world’s leading large companies are “actively engaged in exploring India’s opportunities”.
In the race to become India’s first chip maker, Vedanta is seeking incentives such as 1,000 acres (405 ha) of free land, as part of its $20 billion (about Rs 1,53,046 crore) in semiconductors and displays , Reuters reported on Thursday.
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