In a statement, the Ministry of Electronics and Information Technology (MeitY) stated that it has received five proposals for the establishment of semiconductor fabrication and display production units totalling $20.5 billion (Rs 1.53 lakh crore) in investment commitment.
The ministry said on Saturday that it has received bids for setting up semiconductor fabrication facilities from Vedanta, which has established a joint venture with Foxconn, IGSS Ventures, a Singapore-based business, and ISMC, which is run by Next Orbit Ventures Fund.
‘The applications have been received for setting up 28 nm (nanometer) to 65 nm semiconductor fabs with capacity of approx 120,000 wafers per month and the projected investment of $13.6 billion wherein fiscal support from the central government is being sought for nearly $5.6 billion’, it added.
For building up of display fabrication plants, two proposals have been received from Vedanta and Elest, with a total investment commitment of $6.7 billion and the budgetary help sought from the government may be up to $2.7 billion, MeitY stated.
Last December, the Cabinet had approved a Rs 76,000-crore plan for the semiconductor and display manufacturing ecosystem in the nation. Companies working in silicon semiconductor fabs, display fabs, compound semiconductors, silicon photonics, sensors fabs, semiconductor packaging, and semiconductor design would benefit from the strategy, according to the Centre.
As part of the scheme, fabrication units that produce silicon complementary metal-oxide semiconductors with a technology node of 28 nm or lower will receive up to 50% of the project cost as an incentive, while those with a technology node of 28 nm but less than 45 nm will receive 40% of the unit cost.