NEW DELHI, October 7 — The India Semiconductor Mission (ISM) under the Ministry of Electronics and Information Technology (MeitY) on Wednesday granted regulatory and fiscal approvals for three new semiconductor manufacturing units comprising advanced Assembly, Testing, Marking, and Packaging (ATMP) and compound fabrication facilities, mobilizing an aggregate capital outlay of ₹24,000 crore across Gujarat and Odisha.
Project disclosures confirmed that the clearances encompass a compound semiconductor fab dedicated to manufacturing wide-bandgap Silicon Carbide (SiC) and Gallium Nitride (GaN) power discrete modules, catering to domestic high-voltage EV powertrains, industrial power grids, and 5G cellular base stations. Concurrently, two advanced Outsourced Semiconductor Assembly and Test (OSAT) facilities will package logic microcontrollers and high-density power management ICs for smart consumer electronics.
Under the fiscal parameters of the modified Semicon India Programme, approved facilities receive a 50 percent pari-passu capital subsidy on a project cost basis from the Union Government, supplemented by complementary 20 to 25 percent capital and land subsidies provided by participating state governments. The cumulative capacity additions directly accelerate national self-reliance across critical electronic component value chains while generating over 15,000 specialized engineering appointments.
The strategic mandate of the India Semiconductor Mission, global silicon supply chain geopolitics, compound semiconductors versus traditional silicon substrates, and the National Policy on Electronics 2019 represent prominent topics across UPSC Civil Services (GS-III: Science, Technology, and Industrial Policy). Aspirants should note that the Union Cabinet initially launched the ₹76,000 crore Semicon India Programme in December 2021, establishing ISM as a dedicated business division within Digital India Corporation to catalyze domestic fab, display, and packaging capacities.