NEW DELHI: The Union Cabinet has given the green light to various semiconductor projects with a total investment of around Rs 1.26 lakh crore. A notable among these initiatives is the Tata Group’s proposal to establish a semiconductor manufacturing plant in collaboration with Taiwan’s PSMC, which highlights its strategic importance Initially set to be a pure-play foundry, the facility will produce semiconductor wafers catering to a range of industries including high-performance computers, display drivers and microcontrollers Planned to start production in three months, the factory will manufacture significant growth for India's semiconductor ambitions represents it.
India’s journey in the semiconductor industry has been marked by earlier attempts to attract global companies, which have so far failed miserably. The importance of this effort is highlighted by the fact that around 70% of global manufacturing currently resides in South Korea, Taiwan and China To organize domestic manufacturing is of great economic and strategic importance industry, as semiconductor chips are key components in industries ranging from aerospace to consumer electronics.
Amid geopolitical tensions and upward mobility in global technology, India aims to play a pivotal role. The government-funded infrastructure also plays a role in strengthening local infrastructure. As evidenced by schemes such as the Rs 76,000 crore Chip Incentive Program launched by December 2021. Under the scheme, the Center also provides substantial support to finance capital expenditure in the semiconductor industry However the challenges thus remain, particularly in terms of attracting talent and developing basic research in semiconductor manufacturing. Looking at it, India has a significant backlog of chip design engineers, it still lacks skilled talent in manufacturing operations Recognizing this gap, the government is focusing on developing domestic capacity on, and a research and development lab is planned at the Semiconductor Laboratory (SCL) in the Mohali dialect.
As the country embarks on this transformational journey in semiconductor manufacturing, it secures to position itself as a key player in the global biotechnology sector. This establishment of the semiconductor foundry is an economic milestone and also it highlights India’s growing capabilities in high-technology.