In a major decision, the Union Cabinet, chaired by Prime Minister Narendra Modi, on Thursday approved a semiconductor fab in India, Union IT Minister Ashwini Vaishnaw on Thursday said. He said the country’s first commercial fab will be set up by Tata and Taiwan’s PSMC in Dholera, Gujarat, at a projected cost of Rs 91,000 crore.
Apart from this, two more semiconductor units have also been approved in the country, one in Assam and one in Gujarat’s Sanand.
The Cabinet has approved Tata Semiconductor Assembly Test’s semiconductor assembly and testing unit in Assam at an investment of Rs 27,000 crore, said Vaishnaw.
CG Power and Japan’s Renesas will also set up a semiconductor plant in Gujarat’s Sanand at an estimated cost of Rs 7,600 crore producing 15 million chips per day, he said.
Briefing the media on the Cabinet decision on India’s first commercial fab in India on Thursday, Vaishnaw said, “In the semiconductor fab, 50,000 wafers will be manufactured per month. In a wafer, there are roughly 5,000 chips. As per this, around 300 crore chips will be manufactured in a year in this plant.”
These chips will cater to eight sectors, including high-power computing, electric vehicles, telecom, defence, consumer electronics, automobiles, and power electronics, he said.
“The first efforts to set up the semiconductor fab were made in 1962, then in 1980, 1984, 2005, 2007 and 2011. Success is achieved only when both intention and policy are clear. Today, it has become possible under Prime Minster Narendra Modi to set up India’s first commercial semiconductor fab,” Vaishnaw said.
He said foundation laying will be done very soon, like what we saw in the case of Micron’s facility in Sanand, Gujarat, where the construction was started within just 90 days.
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