India Gears Up to Emerge as a Key Semiconductor Player
Prime Minister Narendra Modi made a groundbreaking announcement at the inauguration of SemiconIndia 2022, a landmark three-day semiconductor conference in Bengaluru. Modi confidently stated that India is on the path to becoming a prominent global semiconductor hub, citing its vast market, highly skilled workforce, and favorable governmental policies as key factors contributing to this momentum.
Highlighting India's substantial role as the world's second-largest consumer of semiconductors, Modi projected a remarkable growth in semiconductor consumption, anticipating figures of $80 billion by 2026 and $110 billion by 2030. He emphasized the country's adept workforce with proficiency in semiconductor design, manufacturing, and testing, underlining India's capability to facilitate the industry's advancement.
To foster this ambition, the Prime Minister underscored the recent introduction of the Semicon India program, which offers financial support to companies investing in semiconductor manufacturing and design. Additionally, Modi accentuated the government's efforts to streamline the regulatory landscape and enhance the ease of doing business within India.
"We are dedicated to simplifying the process for companies to establish and operate in India," asserted Modi. "Moreover, we provide attractive tax incentives and other benefits to encourage investments in the burgeoning semiconductor sector."
Concluding his address, Modi extended a warm invitation to the global semiconductor industry, encouraging them to seize the opportunity to collaborate with India. "India's doors are open for business," he asserted. "We stand ready to partner with you in nurturing a robust semiconductor ecosystem within our nation."
With over 3,000 delegates from across the world attending the SemiconIndia conference, the event provides an invaluable platform for businesses to explore the latest trends in the semiconductor industry and assess investment prospects in India.
India's Path to Semiconductor Excellence
India's aspirations to establish itself as a global semiconductor hub are both ambitious and feasible, supported by a range of advantageous factors. The nation boasts a significant market size, a highly skilled workforce, and an environment of favorable government policies.
The Indian government has demonstrated its commitment to promoting the semiconductor industry by implementing various measures in recent years. Among these initiatives is the 2020 launch of the Production Linked Incentive (PLI) scheme, designed to financially incentivize companies investing in semiconductor manufacturing. Furthermore, the government has actively worked to simplify regulations, streamlining the process for companies seeking to operate within India.
These endeavours are already yielding positive results, with several major semiconductor companies, such as Intel, TSMC, and Samsung, announcing their plans to invest in India.
Should India sustain this momentum and foster the growth of its semiconductor ecosystem, it has the potential to become a key player in the global semiconductor market, marking a significant achievement for the country's economy and employment landscape.