Chipping in for chips

THE Union Cabinet’s approval for setting up three semiconductor plants with an investment of a whopping Rs 1.26 lakh crore marks a pivotal moment in India’s technological march. The country is poised to establish itself as a significant player in the global semiconductor manufacturing industry. The Tata Group’s pioneering chip fabrication facility in Dholera, Gujarat, is geared towards offering cutting-edge technology. The focus on manufacturing chips with

28-nanometre technology demonstrates that India is ready to embrace advanced processes and intends to compete on a global scale. In addition, reflecting a comprehensive approach to bolstering the chip ecosystem is the plan to modernise the existing facility in Mohali, the SCL (Semiconductor Laboratory). The Centre aims to inject Rs 10,000 crore to make it an R&D and training centre in collaboration with a partner.

The big push to semiconductor plants holds the key to unlocking a multitude of opportunities. The chips made in these units will boost innovation and technological advancement in sectors ranging from high-performance computing to electric vehicles, telecom, defence and consumer electronics. An estimated 20,000 direct and indirect skilled jobs are expected to be generated by the Dholera facility alone. With similar prospects of the plants to be set up in Assam and Sanand, Gujarat, this industry will not only push economic growth but also provide thousands of employment opportunities.

Significantly, the Cabinet’s nod comes at a crucial juncture; in view of supply chain disruptions due to geopolitical conflicts, nations across the globe are reconsidering their reliance on China’s semiconductor industry. While India has a rich pool of talent in chip designing, it needs to work towards incentivising and retaining the best brains, for they can play a decisive role in making India a semiconductor hub.