ELCINA Welcomes MeitY’s Revised Initative to Re-Open Scheme for Investment in Semiconductors
03 June 2023: Electronic Industries Association of India (ELCINA) expressed its strong support for Government of India’s farsighted decision to reopen the window for filing applications under the Modified Semicon India Programme. This will overcome the challenges faced by investors in current Scheme garnering larger number of applications across the semiconductor value chain.
Ministry of Electronics and Information Technology’s (MeitY’s) announcement regarding extension of application window until December 2024 for “Modified Scheme for setting up of Compound Semiconductors/Silicon Photonics/Sensors Fab/Discrete Semiconductors Fab and Semiconductor ATMP/OSAT facilities in India” is a significant step towards nurturing a robust semiconductor ecosystem within the country.
India Semiconductor Mission (ISM) and Scheme for Promotion of Semiconductors announced in January 2022 has elicited significant interest among global and domestic companies in this sector. However, due to some on-ground issues these projects have been slow to take off and potential investors are looking for greater clarity and support. It appears to be a chicken and egg situation with each stakeholder looking at the other to take the first step.
ELCINA appreciates announcement by MoS Rajeev Chandrasekhar, resolving these issues as the new Scheme is now open till December 2024 till budgets are available, allowing multiple entities to apply or re-apply and seek incentives, they are allowed to do so. Further Chandrasekhar stated that “If it turns out that there is more money or capital required, we will be open to that, as per due process of going to Union Cabinet”.
Sanjay Agarwal, President, ELCINA said “We extend our gratitude to the Indian government for reopening the application window for semiconductor and display fabrication units as well as extending the date. It underscores the government’s commitment to transforming India into a global manufacturing powerhouse and will enable all units, small and large to enter the semiconductor value chain and support its all-round growth. The synergy so created will enhance confidence and opportunities for the industry.”
Amrit Manwani, CMD, Sahasra Semiconductors, stated, “Despite challenges in kick starting semiconductor manufacturing in the country it is laudable that Govt. of India is firm on its resolve to develop the right ecosystem by extending the application window for modified Semicon program to December ’24. This will encourage serious entrepreneurs to participate in MEITY scheme to become self-reliant in Semiconductors”.
