New Delhi: The government has announced its decision to invite fresh applications for the establishment of Semiconductor Fabs and Display Fabs in the country starting from June 1, said the Ministry of Electronics & IT in a statement on Wednesday. This initiative comes under the Modified Semicon India Programme, which aims to develop a robust semiconductor and display manufacturing ecosystem in India. The India Semiconductor Mission, the designated nodal agency responsible for implementing the program, will receive the applications, the statement added.
Under the Modified Semicon India Programme, companies, consortia, and joint ventures interested in setting up Semiconductor Fabs in India will be eligible for a financial incentive of 50 percent of the project cost. This incentive applies to Fabs at any node, including mature nodes. Similarly, a financial incentive of 50 percent of the project cost is available for setting up Display Fabs with specified technologies in India.
The application window for the "Modified Scheme for setting up of Compound Semiconductors/Silicon Photonics/Sensors Fab/Discrete Semiconductors Fab and Semiconductor ATMP/OSAT facilities in India" will remain open until December 2024. The Design Linked Incentive Scheme, which is also part of the initiative, will accept applications until the same deadline. So far, 26 applications have been received under the Design Linked Incentive Scheme, and five applications have already received approval, the statement added.
The Semicon India Programme was launched by the government in December 2021 with a budget of Rs 76,000 crore. Its primary objective is to foster the development of the semiconductor and display manufacturing ecosystem in India, said the statement. Companies that previously applied under the earlier schemes for setting up Semiconductor Fabs and Display Fabs are allowed to submit their applications under the Modified Scheme after incorporating suitable modifications in their proposals, it added.
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