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Cabinet Approves Tweaks In Scheme For Semiconductors, Display Manufacturing

Under modified scheme, uniform fiscal support of 50% of project cost to be provided to semicondctor fabs across technology nodes.

<div class="paragraphs"><p>Source:&nbsp;<a href="https://unsplash.com/@polarmermaid?utm_source=unsplash&amp;utm_medium=referral&amp;utm_content=creditCopyText">Anne Nygård</a> on <a href="https://unsplash.com/s/photos/semiconductors?utm_source=unsplash&amp;utm_medium=referral&amp;utm_content=creditCopyText">Unsplash</a></p></div>
Source: Anne Nygård on Unsplash

The Cabinet on Wednesday approved modifications in the scheme for semiconductors and display manufacturing ecosystem, with uniform fiscal support of 50% of project cost for all technology nodes under the ambitious programme.

Announcing the decision of the Cabinet, Union Minister Anurag Thakur said the modifications will strengthen the semiconductor scheme, thus raising capacities within the country, encouraging investments, and creating employment opportunities.

"Under modified programme, a uniform fiscal support of 50% of project cost shall be provided across all technology nodes for setting up of Semiconductor Fabs," an official release said.

Given the niche technology and nature of compound semiconductors and advanced packaging, the modified programme shall provide fiscal support of 50% of capital expenditure for setting up of compound semiconductors/ silicon photonics/ sensors / discrete semiconductors fabs.

"The programme has attracted many global semiconductor players for setting up fabs in India. The modified programme, will expedite investments in semiconductor and display manufacturing in India," it added.

On the basis of discussion with potential investors, it is expected that work on setting up of the first semiconductor facility will commence soon, the release said.