What is the News?
The Information Technology Minister has launched the India Semiconductor Mission.
| Must Read: Need of Indigenous Semiconductor Manufacturing Facilities in India – Explained Pointwise |
What is the India Semiconductor Mission?
India Semiconductor Mission(ISM) is a specialised and independent business division within the Digital India Corporation (a not for profit company set up by the Ministry of Electronics and Information Technology).
Aim: To build a vibrant semiconductor and display ecosystem to enable India’s emergence as a global hub for electronics manufacturing and design.
The mission is authorised to negotiate with the applicants under the semiconductor fab scheme and the display fab scheme.
| Must read: Semiconductor manufacturing in India – Explained, pointwise |
This mission has been given the autonomy to decide the appropriate technology mix, applications, node generation, capacity and propose the structure and quantum of fiscal support for the selected applicants.
| Note: A fab is short for a fabrication plant where raw silicon wafers are processed and turned into integrated circuits. |
What are the other schemes launched with this mission?
Scheme for setting up Semiconductor Fabs in India: The scheme aims to attract large investments for setting up semiconductor wafer fabrication facilities. Under the scheme, fiscal support of up to 50% of the project cost has been approved for setting up certain variants of silicon-based semiconductor fab in India. The financial support is for six years from the date of approval.
| Must Read: The dreams of being a chip hub |
Scheme for setting up Display Fabs in India: The scheme aims to attract large investments in manufacturing TFT LCD or AMOLED-based display panels. Under the scheme, fiscal support of up to 50% of the project cost will be provided.
Design Linked Incentive(DLI) Scheme: The scheme aims to offer financial incentives as well as design infrastructure support across various stages of development and deployment of semiconductor design for Integrated Circuits (ICs), Chipsets among others. Under the scheme, the Government offers an incentive of up to 50% of eligible expenditure and a product deployment linked incentive of 4-6% on net sales for five years.
| Must Read: Semiconductors: Why India should not make chips – Instead, the focus should be on other parts of the global value chain |
Source: This post is based on the article ‘Semiconductor mission launched by IT minister Ashwini Vaishnaw’ published in Business Standard on 31st Dec 2021.
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