India is trying very hard to capture the semiconductor market that opened due to newly developed scepticism towards China. Globally, semiconductor manufacturers are trying to reduce their dependence on China. They are looking to diversify their footprint in order to hedge the risks in this capital intensive industry. 

India under the leadership of Ashwini Vaishnav - IT Minister, government is pouring 75,000 crores to build a semiconductor manufacturing ecosystem in the country. Drawing on the intent of the government and recent development in the region Jhansi is set to forward its candidature to become a centre for semiconductor production. 

Bundelkhand Industrial Development Authority (BIDA) gave a huge boost to this possibility. This will create new prospects for UP , which is already looking to start its first semiconductor plant in Noida. 

The nation’s appetite for semiconductors is surging, as they are vital for computers, mobiles, electronics gadgets and cars. BIDA will span 14,225 hectares of land in 33 villages of Jhansi. Jhansi will emerge as the industrial capital of Bundelkhand once BIDA is operational.

BIDA will provide various sites for setting up factories in the industrial zone, from township to complex. Special Officer Lal Krishna says that many big firms are keen to set up industries in BIDA. Firms have already begun to approach BIDA to set up industries. A semiconductor unit can also be established in BIDA in this context. Because, there is a huge demand for it these days. BIDA will also have ample space to accommodate a unit.

Semiconductors - A door for opportunities 

Semiconductors are ubiquitous in all electronic devices, says Professor Dr. Deepak Nagariya of the Electronics and Communication Department of BIET. Their chips are made from semiconductor material. They are also used in cars. Sensors, high-precision engine elements with cellphones also use semiconductors. Parking rear camera, blind spot detection, airbag and emergency braking also require semiconductors. In the automobile market, all the high-end cars that are currently available, semiconductors are used to install sophisticated features in them.

Places where semiconductor plants are already being set

Gujarat: The state has attracted two major semiconductor projects, one by the Israel-based International Semiconductor Consortium (ISMC), which plans to build a $3 billion manufacturing facility1, and another by the Vedanta-Foxconn joint venture, which has invested $19.5 billion to set up semiconductor and display production plants. Both projects are expected to start operations by late 2024 or early 2025.

Uttar Pradesh: The state has received a proposal from HCL Group to set up a semiconductor assembly and test facility in partnership with Taiwanese giant Foxconn. The project is likely to get financial support under India’s $10 billion incentive scheme for semiconductor manufacturing.

Karnataka: The state has been a hub for semiconductor design and innovation, with many global and domestic companies having their research and development centres in Bengaluru. The state government has also announced its intention to set up a semiconductor park near the city, with an investment of Rs 3,000 crore.

These are some of the places in India that are making headlines for their semiconductor initiatives.