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The approved unit will be set up in Sanand, Gujarat with a capacity of 60 Lakh chips per day.
- More such units are being set up in Dholera, Gujarat, Morigaon, Assam etc. with cumulative capacity of about 7 crore chips per day.
Why is India focussed on developing Semiconductor manufacturing?
- Dependency on imports: Semiconductors are essential components in various modern technologies, from smartphones to medical devices and vehicles.
- The consumption of electronic devices has sharply increased in India and majority of this demand is being fulfilled by imports.
- For instance in 2019, semiconductor exports from India stood at US$ 0.33 billion while imports were higher at US$ 4.65 billion.
- Global supply chain diversification: The semiconductor value chain has seen a shift due to pandemic-related disruptions and rising labour costs, prompting global producers to diversify away from China.
- Currently, about 70% of the world's semiconductor manufacturing is concentrated in South Korea, Taiwan, China, the United States, and Japan.
About India Semiconductor Mission (ISM)
- India Semiconductor Mission (ISM) is a specialized and independent Business Division within the Digital India Corporation.
- It has been working as nodal agency for the Schemes approved under Semicon India Programme.
Semicon India Programme/Modified Programme for Semiconductors and Display Fab Ecosystem under MeitY
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