India Poised To Become Semiconductor Manufacturing Hub:

Ashwini Vaishnaw

India Poised To Become Semiconductor Manufacturing Hub: Ashwini Vaishnaw

New Delhi, Mar 28 (KNN) The global semiconductor industry, valued at $750 billion, is poised for
explosive growth in the next 6-7 years, and India is strategically positioned to seize this lucrative
opportunity, according to Ashwini Vaishnaw, Union Minister for Electronics & IT, Telecom, and
Railways.
Addressing the Business Standard Manthan summit on Wednesday, Vaishnaw outlined India's key
competitive advantages.

With nearly one-third of the semiconductor industry's global talent located in India, the country
boasts a vast pool of skilled professionals capable of conceptualising, designing, and validating
chips for fabrication.

Despite its modest per capita income, India has prioritized renewable energy, with an impressive 42
per cent of its power generation capacity coming from green sources.

Gujarat's Dahej region hosts one of the world's largest chemical manufacturing hubs, a critical
component of the semiconductor supply chain.
Top executives from 45 global semiconductor giants have endorsed India as the next natural
destination, citing challenges elsewhere and India's compelling proposition.

Vaishnaw dismissed concerns about prioritising manufacturing over services, asserting that India's
scale allows for a multifaceted approach, leveraging both sectors' employment opportunities.

The Tata Group's chip fabrication plant in Dholera, Gujarat, is set to commence operations by
December 2026, marking a significant milestone in India's semiconductor ambitions. Two additional
facilities in Sanand, Gujarat, and Morigaon, Assam, will assemble semiconductors.

Vaishnaw highlighted the establishment of India's first chip fab as one of the most satisfying
achievements during his ministerial tenure, underscoring the government's commitment to
nurturing a robust semiconductor manufacturing ecosystem.

While manufacturing remains a key focus area, the minister emphasised that the technology
services sector will also receive substantial policy support, recognising the substantial employment
prospects in both domains.

With a policy roadmap favouring domestic manufacturing, Vaishnaw predicted that the
manufacturing sector, currently employing approximately 30 million people, would double its
workforce within the next five years.

He cited the example of Indian-designed and manufactured telecom radio equipment being
deployed in the United States and Europe as a testament to the country's growing prowess.

(KNN Bureau)