Government finalising approvals for next set of semiconductor projects, says report

Chip

The government is in the final stages of approving the next set of proposals for semiconductor projects pending under the first phase of the India Semiconductor Mission (ISM), The Economic Times has reported.

Applications sent by an HCL Group-Foxconn joint venture, the Hiranandani group's Tarq Semiconductors and two or three others are are set to be reviewed, the report cited sources as saying.

Nearly Rs 4,600-4,700 crore of the initial outlay of Rs 76,000 crore for the first phase of the semiconductor mission is pending, the report quoted a senior official as saying. The funds will be used towards these four-five proposals.

Moneycontrol couldn't verify the report independently.

Once the funds under the first phase are exhausted, the second phase will be launched and fresh proposals invited, the official said.

The government is preparing to launch the second phase of the semiconductor mission, which will expand efforts beyond semiconductor fabrication and chip packaging units to include component companies, raw material suppliers and other key players in the ecosystem, electronics and information technology minister Ashwini Vaishnaw has said.

"We are formulating Semicon 2.0, which will be a much broader version of the first phase, aimed at building the entire ecosystem," Vaishnaw  said in September.

The India Semiconductor Mission aims to build a sustainable semiconductor and display ecosystem to position India as a leader in electronics manufacturing and design.

Guided by international semiconductor experts, ISM coordinates efforts across government ministries, industry, and academic institutions to ensure efficient deployment of resources and support.