Chip mission drive: Govt allocates 97% of semiconductor fund, leaves little scope for new projects

The authorities has already dedicated about Rs 62,900 crore — practically 97 per cent of the Rs 65,000 crore earmarked for semiconductor manufacturing incentives — leaving room solely for a handful of smaller projects, a high official mentioned on Friday.Electronics and IT Secretary S Krishnan, whereas briefing on the upcoming Semicon India 2025 occasion, mentioned the allocation was made below the Rs 76,000 crore India Semiconductor Mission. Of this, Rs 65,000 crore was reserved for chip manufacturing, Rs 10,000 crore for modernisation of the Semiconductor Laboratory in Mohali, and Rs 1,000 crore for the design-linked incentive scheme, PTI reported.“Out of this Rs 65,000 crore, I think we have committed close to Rs 62,900 crore or so already. We have limited funding, which we have available; we might be able to just accommodate two or three small projects,” Krishnan mentioned.The three-day Semicon India 2025 occasion will likely be held at Yashobhoomi in New Delhi from September 2-4. It is anticipated to see participation from delegates representing 33 nations and over 50 senior executives from world semiconductor giants. Prime Minister Narendra Modi will inaugurate the occasion.Industry leaders from firms together with Applied Materials, ASML, IBM, Infineon, KLA, Lam Research, Merck, Micron, PSMC, Rapidus, Sandisk, Siemens, SK Hynix, Tata Electronics and Tokyo Electron are scheduled to attend.So far, the federal government has cleared 10 projects in areas of strategic significance, comparable to high-volume fabrication items (fabs), 3D heterogeneous packaging, compound semiconductors like silicon carbide (SiC), and outsourced semiconductor meeting and take a look at (OSATs).