Ministry of Electronics & IT
Government's Semicon India Programme to develop a complete ecosystem ranging from design to manufacturing
Government has approved 10 projects with investment commitments of about ₹1.6 lakh crore
Commercial production from two plants has commenced; 2 more plants to start commercial production this year
Posted On:
01 APR 2026 4:59PM by PIB Delhi
India’s electronic manufacturing strategy is driven by the Prime Minister’s vision of AtmaNirbhar Bharat and Making India a global manufacturing hub. The Government adopted a structured and targeted policy for electronics manufacturing across the entire value chain including semiconductors.
As a result of these policies, electronics manufacturing in India has expanded significantly in the last 11 years. It can be seen from the following statistics:
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#
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2014-15
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2024-25
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Remarks
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Production of electronics goods (₹)
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~1.9 Lakh Cr
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~12 Lakh Cr
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Increased 6 times
|
|
Export of electronics goods (₹)
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38 thousand Cr
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~3.3 Lakh Cr
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Increased 8 times
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Production of mobile phones (₹)
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18 thousand Cr
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5.45 Lakh Cr
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Increased 28 times
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Export of mobile phones (₹)
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1,500 Cr.
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2 Lakh Cr
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Increased 127 times
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Mobile Phone imported (units)
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75% of the total demand
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0.02% of the total demand
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Semicon India Programme
Semiconductors is a foundational and strategic industry. Semiconductors are used in almost every device.
To promote the development of its manufacturing ecosystem in India, the Government launched Semicon India Programme in January 2022. It aims at developing a complete ecosystem, ranging from design, fabrication, assembly, testing, packaging and module manufacturing.
In a short span of four years, the Government has approved 10 projects with investment commitments of about ₹1.6 lakh crore. Commercial production from two plants (Micron and Kaynes) has commenced with 2 more plants to start commercial production this year.
The details of the approved Semiconductor manufacturing units are placed at Annexure I.
Developing India’s chip design ecosystem:
Government is developing India’s chip design ecosystem in two ways:
1. Supporting Indian design engineers through chip design tools
In a one of its kind initiative in the world, Government has provided cutting edge chip design tools from 8 different companies to 315 universities at no cost. So far, their usage has exceeded 200 lakh hours.
Using these tools 211, chips have been taped out by 75 institutions across India including 149 chips at 180nm, SCL Mohali and 62 chip at overseas foundries.
2. Supporting Indian design companies through grant, free design tool and fabrication support:
Government has approved 24 projects for the design of semiconductor chips and SoCs. These projects address critical sectors such as video surveillance, drone detection, energy metering, microprocessors, satellite communications, and broadband and IoT SoCs.
Out of 24 projects, 14 companies have raised venture capital funding of more than Rs 650 Cr to scale up and productize their solutions. Seven (7) chips have been successfully fabricated at various nodes including advanced nodes such as 12 nm.
Further, to enhance bilateral collaboration on opportunities to advance resilient semiconductor supply chains and leverage complementary strengths, the Government has entered into MoU with United States, Japan, European Union, Singapore and Netherlands.
Employment generation
The growth of the electronics manufacturing sector has led to substantial employment generation. As per industry estimates, it supports around 25 lakh jobs, including direct and indirect employment.
Out of this, the mobile phone manufacturing sector alone supports around 12 lakh jobs, across manufacturing, logistics, supply chains and allied services.
Apart from this, the Government is implementing flagship schemes to further boost employment by attracting investments.
Under the India Semiconductor Mission (ISM), 10 semiconductor units are under construction. As a foundational industry, semiconductor manufacturing is expected to have a cascading impact on employment generation across the supply chain and allied sectors, leading to significant indirect job creation.
Similarly, under Electronics Component Manufacturing Scheme (ECMS), 249 applications have been received for components, base materials and capital equipments such as PCBs, capacitors, laminates etc.
India Semiconductor Mission 2.0: Building on the success of Semicon India Programme and further enhance the capabilities in semiconductors, FM, in the Union Budget 2026-27, announced India Semiconductor Mission 2.0 for manufacture of equipment and materials, design full stack, Indian IP and fortify supply chains.
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Annexure-I
Details of approved semiconductor manufacturing projects:
1. Micron Technology Inc. is establishing semiconductor manufacturing facility in Gujarat with an investment of Rs.22,516 crore. Micron’s facility in India will enable assembly and test manufacturing for both DRAM and NAND products and address demand from domestic and international markets. The production capacity is around 14 million units per week.
2. Tata Electronics Private Limited (TEPL) is establishing semiconductor manufacturing facility in Gujarat with an investment of Rs. 91,526 crore. The fab facility will be set up in technology partnership with PSMC, Taiwan. The production capacity of the project would be around 50,000 wafer starts per month (WSPM).
3. Tata Electronics Private Limited (TEPL) is establishing semiconductor manufacturing facility in Assam with an investment of Rs.27,120 crores. The facility will use indigenous semiconductor packaging technologies with a production capacity of 48 million units per day.
4. CG Power and Industrial Solutions Limited is establishing semiconductor manufacturing facility in Gujarat with an investment of Rs. 7,584 crore. The facility will be set up as a joint venture partnership with Renesas Electronics America Inc., USA, and STARS Microelectronic, Thailand. The Technology would be provided for this facility by Renesas Electronics Corporation, Japan and STARS Microelectronic, Thailand. The production capacity would be around 15.07 million units per day.
5. Kaynes Technology India Limited (KTIL) is establishing semiconductor manufacturing facility in Gujarat with an investment of Rs. 3,307 crores for Wire bond Interconnect, Substrate Based Packages. The Technology would be provided by ISO Technology Sdn. Bhd. and AOI Electronics Co. Ltd. (AOI). The facility will have the capacity to produce more than 6.33 million chips per day.
6. Vama Sundari Investments (Delhi) Private Limited (VSIPL) is establishing semiconductor manufacturing facility in Uttar Pradesh with an investment of Rs 3,706 crores for display driver ICs (DDIC) using Gold (Au) Bump technology along with chip probing facilities and die processing services. The Technology would be provided by Hon Hai, Taiwan. The facility will be set up as a joint venture partnership between VSIPL and Foxconn, India. The production capacity would be around 20K wafers per month/36 million chips per month.
7. 3D Glass Solutions Inc. (3DGS) is establishing semiconductor manufacturing facility in Odisha with an investment of Rs. 1,943 crores. The plant will handle the assembly of packaged products such as Flip Chip Ball Grid Array (FCBGA) assembly, Radio Frequency System in Package (RF SiP), Antenna in Package System in Package (AiP SiP), glass interposers with passives and silicon bridges and 3D Heterogeneous Integration (3DHI) modules. The Proposed installed capacity for glass panel substrate production, assembly and 3DHI is around 5800 panels per month, 4.20 million units per month, and 1100 units per months respectively.
8. SiCSem Private Limited is establishing semiconductor manufacturing facility in Odisha with an investment of Rs. 2,066 crores. The facility will be set up in technology partnership with Clas-SiC Wafer Fab Ltd. for SiC fab and Continental Device India Pvt. Ltd. for packaging. The production capacity is 5,000 wafers/month, and the packaging capacity is 8 million units/month.
9. Continental Device India Private Limited (CDIL) is expanding its semiconductor manufacturing facility in Punjab, with an investment of Rs. 117 crores. The facility will manufacture high-power discrete semiconductor devices such as MOSFETs, IGBTs, Schottky Bypass Diodes, and transistors, both in Silicon and Silicon Carbide. The production capacity will be around 158.38 million units/annum.
10. Advanced System in Package Technologies Private Limited (ASIP) is establishing semiconductor manufacturing facility in Andhra Pradesh, with an investment of Rs. 480 crores. The facility will be set up in technology partnership with APACT Co. Ltd, South Korea. The production capacity of the facility would be around 96 million units/annum.
This information was submitted by Union Minister of State for Electronics and Information Technology Shri Jitin Prasada in Lok Sabha on 01.04.2026.
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(Release ID: 2247814)
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