India approves two semiconductor wafer plants worth $10 bn

[Rangila]

India approves two semiconductor wafer plants worth $10 bn

India has approved the setting up of semiconductor wafer plants by two consortia, including IBM Corp, Israel's TowerJazz and STMicroelectronics NV, costing a total of Rs 63,410 crore.

India, which wants local production of chips to cut long-term import bills, has renewed a drive to attract investments after a previous attempt failed. The two groups had proposed building plants in India in September.

One of the consortia is made up of Jaiprakash Associates Ltd and TowerJazz and IBM. It plans to set up a plant near New Delhi at a cost of Rs 34,399 crore, a government statement said on Friday.

The second comprises HSMC Technologies India Private Ltd, Malaysia's Silterra and STMicroelectronics. The group has proposed investment of Rs 29,013 crore for a plant in the western Gujarat state, the statement said.

The final agreements for the two plants are expected to be signed by August.

With a view to attract chipmakers to set up plants in India, the government is offering concessions including 25 percent subsidy on capital spending, tax breaks, and interest-free loans of about Rs 5,124 crore to each plant.

India's demand for electronics products is forecast to rise nearly 10 times during this decade to reach $400 billion by 2020, causing policy makers to worry that electronics imports, with no major local manufacturing, could exceed those of oil.

 

[VeeraBahadur]

Nothing from Japan ??

 

[ashish1]

Nothing from Japan ??

There are not enough global Japanese companies in electronic sector.

 

[JAT BALWAN]

That's what we need ... 10 year late but as per said "der aayad durust aayad"...

 

[karan21]

With a view to attract chipmakers to set up plants in India, the government is offering concessions including 25 percent subsidy on capital spending, tax breaks, and interest-free loans of about Rs 5,124 crore to each plant.

This is the most important part.

The saddest part though is that we are too late. Indian politicians are only doing it as a last minute hassle to prevent 400 bill$ electronic import bill in 2020. But anyways hopefully this goes ahead as expected.

 

[Koovie]

Very good development
Infrastructure is the need of the hour
@karan21 better late than never

 

[Cherokee]

10 billion me sirf do factory ??? Itne me toh mai poorey world me weed shops khol dunga

 

[Manindra]

There are not enough global Japanese companies in electronic sector.

Sony, Sharp, Panasonic, Fujitsu, Toshiba, Sansui, Hitachi and many more.
Japan rules in electronics.

 

[IND151]

Sony, Sharp, Panasonic, Fujitsu, Toshiba, Sansui, Hitachi and many more.
Japan rules in electronics.

SHARP recently closed down its TV production.

India has approved the setting up of semiconductor wafer plants by two consortia, including IBM Corp, Israel's TowerJazz and STMicroelectronics NV, costing a total of Rs 63,410 crore.

India, which wants local production of chips to cut long-term import bills, has renewed a drive to attract investments after a previous attempt failed. The two groups had proposed building plants in India in September.

One of the consortia is made up of Jaiprakash Associates Ltd and TowerJazz and IBM. It plans to set up a plant near New Delhi at a cost of Rs 34,399 crore, a government statement said on Friday.

The second comprises HSMC Technologies India Private Ltd, Malaysia's Silterra and STMicroelectronics. The group has proposed investment of Rs 29,013 crore for a plant in the western Gujarat state, the statement said.

The final agreements for the two plants are expected to be signed by August.

With a view to attract chipmakers to set up plants in India, the government is offering concessions including 25 percent subsidy on capital spending, tax breaks, and interest-free loans of about Rs 5,124 crore to each plant.

India's demand for electronics products is forecast to rise nearly 10 times during this decade to reach $400 billion by 2020, causing policy makers to worry that electronics imports, with no major local manufacturing, could exceed those of oil.

Very good news.

 

[Manindra]

SHARP recently closed down its TV production.



Very good news.

They are not only producing only TV
Most of DTH reciever antenna in India are Sharp product & they are semi conducter major who are in financial crisis. Indian co. should lured them to form a consotorium.
Win win for both.