India is strategically pushing for the development of a robust semiconductor ecosystem, aiming to establish itself as a global hub for chip manufacturing and design. With a focus on reducing reliance on foreign sources and enhancing national security, the government is allocating a significant budget of $44 billion to support India-made global brands in electronics and semiconductor sectors.
India’s semiconductor industry is witnessing a surge in momentum, with key initiatives like the National Electronics Policy and the PLI scheme for semiconductor manufacturing fostering a conducive environment for growth. Additionally, the recent budget announcements, including increased allocations for the semiconductor ecosystem and a new innovation corpus, highlight the government’s commitment to attracting global semiconductor companies to invest in India.
To sustain this momentum, India must focus on swift policy implementation, expedite semiconductor projects, and enhance global participation through pan-India summits. State governments can also play a crucial role by formulating individual semiconductor policies to support the central government’s initiatives.
With ambitions to expand the semiconductor market size to $110 billion and secure 10% of the global market by 2030, India needs to strategically advance across the semiconductor value chain. By focusing on aspects like design, front-end wafer fabrication, and research, India can establish a competitive advantage and attract long-term investments from global players.
Moreover, developing a skilled talent pool is imperative for the success of India’s semiconductor industry. Investments in education and skill development, along with industry-academia partnerships, can help in creating a strong talent base. The government’s goal is for India to become one of the top five global destinations for semiconductor manufacturing by 2030, and with the right blend of proactive actions and investments, this target is within reach.
