Ashwini Vaishnaw Says Focus On Semiconductor Ecosystem As Three MoUs Inked In Gujarat
Gujarat is poised to manufacture the country's first semiconductor chips by December 2024, the Union Minister said.
The Gujarat government has signed three Memorandum of Understanding in Gandhinagar on Thursday, to boost the semiconductor ecosystem.
Gujarat is poised to manufacture the country's first semiconductor chips by December 2024, Union Minister Ashwini Vaishnaw told media during the Vibrant Gujarat Global Summit.
Of the three MoUs signed during a semiconductor and electronics seminar, one was with Korean substrate-maker Simmtech Co. Apart from this, co-operation agreements were signed between Micron Technology Inc. and Nantech Power Systems Pvt., as well as Cisco Systems Inc. and Nantech for skilled manpower development.
"Semiconductor is a foundational industry," Vaishnaw said, adding that the construction of the first semiconductor factory by Micron is underway in Sanand.
The MoU with Micron was signed in June 2023, during Prime Minister Narendra Modi’s state visit to the United States and construction on the first semiconductor factory in India began in September.
“All approvals and permits were given within 90 days since the signing of the MoU in June,” Vaishnaw said.
"Simmtech is a substrate manufacturer and it works closely with chip manufacturing. Our chip manufacturing schedule (with Micron) is set for December 2024. Accordingly, Simmtech will start work in 2-3 months. Their entire set-up will take 6-7 months and they will be ready for December," the minister said.
Simmtech has applied for the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors initiative, which will offer them 25% capital subsidy. The Simmtech unit will be constructed in a land parcel of 30 acres in Sanand, close to the Micron unit.
During the Vibrant Gujarat Global Summit inauguration, Tata Sons Group Chairman N Chandrasekaran also mentioned the company's plans to establish semiconductor fabrication in Dholera and begin construction by the end of 2024. The project is currently in negotiation stage, he said.
The Dholera fabrication announced by the Tata Group is also an important milestone, Vaishnaw said.
The two MoUs signed during the day with Namtech will deal in the development of skilled manpower in the country. Training has begun at the Malaysian Micron plant and the Mohali semiconductor laboratory, the minister said.
"The biggest lesson for the semiconductor industry is to have absolute and clear focus on the ecosystem... That has been our focus and it has helped get the traction we have gotten so far," Vaishnaw said.
