Govt commits 97% of chip manufacturing fund, scope for new projects

The government has committed around ₹62,900 crore, or 97 per cent, of the ₹65,000 crore fund earmarked as incentives for semiconductor production in the country, a top official said on Friday.

While briefing on the Semicon India 2025 event, Electronics and IT Secretary S Krishnan said the funds left can accommodate only small projects.

He said that under the ₹76,000 crore India Semiconductor Mission, ₹65,000 crore was allocated for chip production, ₹10,000 crore for the modernisation of the Semiconductor Laboratory in Mohali and ₹1,000 crore for the design-linked incentive scheme.

"Out of this ₹65,000 crore, I think we have committed close to ₹62,900 crore or so already. We have limited funding, which we have available; we might be able to just accommodate two or three small projects," Krishnan said.

Talking about the Semicon India event, he said that the three-day event will be held from September 2-4 at Yashobhoomi in the national capital, which is expected to be attended by delegates from 33 countries and over 50 top-level executives of global semiconductor companies.