Semicon 2024: 5 points shared by PM Modi on India's semiconductor ambitions

Prime Minister Narendra Modi on Wednesday addressed the Semicon India 2024 event, highlighting key developments and India's vision to become a global semiconductor hub.

In his speech, he highlighted various initiatives and achievements that position India as a key player in the global semiconductor industry. Here are the five key points that Prime Minister Modi highlighted in his speech:

Prime Minister Modi said India is now the eighth country in the world to host an event focused on the semiconductor industry.

India's Growing Role in Global Semiconductor Industry

He stressed that now is an opportune time to invest in the Indian semiconductor industry, assuring participants that India is well positioned to succeed. Referring to the phrase “when times go bad,” he noted that the world can count on India’s growing semiconductor ecosystem.

The Prime Minister also stressed the importance of partnerships between industries and government.

“The Indian semiconductor industry is equipped with special diodes where energy flows in both directions. While industries invest and create value, the government, on its part, provides stable policies and makes it easy to do business,” PM Modi said.

Future workers in India's semiconductor sector

Prime Minister Modi highlighted India's significant contribution to semiconductor design, noting that India currently accounts for 20 per cent of the world's semiconductor design talent.

He also spoke of plans to create a workforce of 85,000 skilled professionals, including technicians, engineers and R&D experts, who will be ready to enter the industry in the coming years.

He stressed the importance of training and educating students and professionals to meet the demands of the semiconductor industry.

To further support innovation, Prime Minister Modi mentioned setting up a Rs 1 trillion research fund under the Anusandhan National Research Foundation to enhance India's research capabilities.

Financial support for semiconductor manufacturing

One of the key points that Prime Minister Modi focused on was the government's initiative to support semiconductor manufacturing in India.

He announced that the government would provide 50 per cent financial support for setting up semiconductor manufacturing facilities, with state governments also actively participating in the process.

This has attracted investments worth over Rs 1.5 trillion, with more projects expected to follow.

The Prime Minister also highlighted the comprehensive approach of the Semicon India scheme, which provides financial assistance to front-end manufacturing plants, display plants and semiconductor packaging, ensuring that all critical components of the supply chain are covered.

Focus on critical minerals and international collaboration

Prime Minister Modi spoke about the government’s efforts to secure critical minerals for the semiconductor industry. He revealed the launch of the Critical Minerals Mission, which aims to boost domestic production and secure overseas procurement of these minerals. Further, he spoke about the customs duty waivers and mining auctions set up to support the semiconductor sector.

He also touched upon international collaborations, noting that India is working closely with several countries including Japan and the US. India is a key partner in the QUAD Semiconductor Supply Chain initiative and has signed several agreements to strengthen global cooperation in the semiconductor sector.

Vision of the growth of electronics and semiconductors

The Prime Minister shared India's ambition to grow the electronics sector to $500 billion and create 6 million jobs by the end of the decade.

This growth, he said, will directly benefit the semiconductor industry. India's electronics sector is currently valued at $150 billion, and Prime Minister Modi highlighted the country's progress in mobile phone manufacturing, especially in 5G devices.

India, which was previously a major importer of mobile phones, has become the world's second largest producer and exporter. Prime Minister Modi added that India's goal is to ensure that 100% of electronics manufacturing, including chips, is done domestically.

What is Semicon India 2024?

Semicon India 2024 is a three-day conference from September 11 to 13.

The event showcases India's semiconductor strategy and policy, with the aim of making the country a global hub for semiconductor design, manufacturing and technology.

More than 250 exhibitors and 150 speakers from around the world came together to discuss the future of the semiconductor industry, highlighting India's growing importance on the global stage.