India Sets Sights On Global Semiconductor Manufacturing Supremacy In Next 5 Years

India is eyeing to become the largest semiconductor manufacturing destination worldwide within the next five years, according to Union Minister of Electronics and IT Ashwini Vaishnaw.

During an event on Saturday (20 May), Vaishnaw highlighted the government's commitment to building the necessary ecosystem to support this growth, while also emphasising that production costs in India would be the most competitive globally.

In December 2021, the Prime Minister Narendra Modi led Central government unveiled a $10 billion plan for semiconductor manufacturing, and the approval for a fabrication plant is expected soon.

Vaishnaw expressed confidence in India's potential, stating that with the right ecosystem in place, the country would surpass all others in semiconductor production.

Describing semiconductor manufacturing as a complex process, Vaishnaw highlighted the need for specialised chemicals, gases, a reliable power supply, and ultra-pure water.

He stressed that even a brief voltage fluctuation could disrupt an entire day's production.

While acknowledging the challenges ahead, the minister expressed optimism about India's prospects. He noted that in the early stages of establishing a new industry, there is often a wait-and-see approach among potential investors.

However, he assured that the government is committed to addressing these challenges and fostering the growth of semiconductor manufacturing in India.