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India Ramps Up Chip Push With Rs 1.5 Trillion Projects
Technology

India Ramps Up Chip Push With Rs 1.5 Trillion Projects

Prime Minister Narendra Modi inaugurated Semicon India – 2025 at Yashobhoomi, New Delhi, heralding a decisive leap in India's semiconductor journey. Addressing a hall of industry CEOs, global delegates, start-up founders, and students, Modi underscored India’s strategic focus on becoming a full-stack semiconductor nation.
Fresh from his visits to Japan and China, the Prime Minister shared insights from his tour of the Tokyo Electron factory and reaffirmed his long-standing passion for technology. Modi said that the presence of global leaders from over 40 countries at the summit signalled trust in India’s capability to shape the future of the semiconductor industry.
He pointed to India’s 7.8 per cent GDP growth in the latest quarter, highlighting broad-based economic momentum. Drawing a compelling parallel, he remarked, “Oil was black gold, but chips are digital diamonds,” positioning semiconductor chips as the critical driver of 21st-century progress. With the global chip market set to cross $1 trillion, India is poised to capture a significant share.
India’s semiconductor mission, launched in 2021, has seen rapid movement. From a single approved plant in 2023, the country has now cleared 10 major projects in total, backed by investments exceeding Rs 1.5 trillion (over $18 billion). Modi stressed that the government is focused on slashing red tape, enabling faster transitions “from file to factory.” The National Single Window System is helping secure all central and state approvals on one platform, while semiconductor parks with plug-and-play infrastructure are being developed across India.
Incentives such as the Production Linked Incentive (PLI) scheme and Design Linked Incentive (DLI) scheme are drawing investors. Pilot operations have already begun at CG Power and Kaynes, with test chips from Micron and Tata also in production. Modi confirmed that commercial chip manufacturing will commence within the year.
The Prime Minister also outlined the vision for an end-to-end semiconductor ecosystem—spanning design, manufacturing, testing, and packaging. India's new design centres in Noida and Bengaluru are already developing next-generation chips capable of storing billions of transistors, which will power immersive 21st-century technologies.
Recognising the strategic need for critical minerals, Modi noted the government’s push under the National Critical Mineral Mission to secure rare earth supplies domestically. Over the past four years, India has made tangible progress in this regard.
The Prime Minister placed particular emphasis on the role of start-ups and MSMEs, noting that India produces 20 per cent of the world’s semiconductor design talent. He urged young entrepreneurs to take advantage of the government’s Chips-to-Startup programme and the revamped Design Linked Incentive Scheme. A new National Research Fund will also back indigenous semiconductor IP development.
Highlighting state-level support, Modi noted that several states have launched dedicated policies to strengthen the chip manufacturing ecosystem. He encouraged more to join in a spirit of healthy competition to enhance India’s investment landscape.
Concluding with a call to action, Modi declared, “Design is ready. Mask is aligned. Now is the time for precision execution.” He reassured global investors that India’s semiconductor strategy is rooted in long-term policy continuity and strong institutional support. “Designed in India, Made in India, Trusted by the World,” will soon become the industry’s rallying cry, he said.
Among other dignitaries at the event were Union Ministers Ashwini Vaishnaw and Jitin Prasada, and Chief Ministers Rekha Gupta (Delhi) and Mohan Charan Majhi (Odisha). 

Prime Minister Narendra Modi inaugurated Semicon India – 2025 at Yashobhoomi, New Delhi, heralding a decisive leap in India's semiconductor journey. Addressing a hall of industry CEOs, global delegates, start-up founders, and students, Modi underscored India’s strategic focus on becoming a full-stack semiconductor nation.Fresh from his visits to Japan and China, the Prime Minister shared insights from his tour of the Tokyo Electron factory and reaffirmed his long-standing passion for technology. Modi said that the presence of global leaders from over 40 countries at the summit signalled trust in India’s capability to shape the future of the semiconductor industry.He pointed to India’s 7.8 per cent GDP growth in the latest quarter, highlighting broad-based economic momentum. Drawing a compelling parallel, he remarked, “Oil was black gold, but chips are digital diamonds,” positioning semiconductor chips as the critical driver of 21st-century progress. With the global chip market set to cross $1 trillion, India is poised to capture a significant share.India’s semiconductor mission, launched in 2021, has seen rapid movement. From a single approved plant in 2023, the country has now cleared 10 major projects in total, backed by investments exceeding Rs 1.5 trillion (over $18 billion). Modi stressed that the government is focused on slashing red tape, enabling faster transitions “from file to factory.” The National Single Window System is helping secure all central and state approvals on one platform, while semiconductor parks with plug-and-play infrastructure are being developed across India.Incentives such as the Production Linked Incentive (PLI) scheme and Design Linked Incentive (DLI) scheme are drawing investors. Pilot operations have already begun at CG Power and Kaynes, with test chips from Micron and Tata also in production. Modi confirmed that commercial chip manufacturing will commence within the year.The Prime Minister also outlined the vision for an end-to-end semiconductor ecosystem—spanning design, manufacturing, testing, and packaging. India's new design centres in Noida and Bengaluru are already developing next-generation chips capable of storing billions of transistors, which will power immersive 21st-century technologies.Recognising the strategic need for critical minerals, Modi noted the government’s push under the National Critical Mineral Mission to secure rare earth supplies domestically. Over the past four years, India has made tangible progress in this regard.The Prime Minister placed particular emphasis on the role of start-ups and MSMEs, noting that India produces 20 per cent of the world’s semiconductor design talent. He urged young entrepreneurs to take advantage of the government’s Chips-to-Startup programme and the revamped Design Linked Incentive Scheme. A new National Research Fund will also back indigenous semiconductor IP development.Highlighting state-level support, Modi noted that several states have launched dedicated policies to strengthen the chip manufacturing ecosystem. He encouraged more to join in a spirit of healthy competition to enhance India’s investment landscape.Concluding with a call to action, Modi declared, “Design is ready. Mask is aligned. Now is the time for precision execution.” He reassured global investors that India’s semiconductor strategy is rooted in long-term policy continuity and strong institutional support. “Designed in India, Made in India, Trusted by the World,” will soon become the industry’s rallying cry, he said.Among other dignitaries at the event were Union Ministers Ashwini Vaishnaw and Jitin Prasada, and Chief Ministers Rekha Gupta (Delhi) and Mohan Charan Majhi (Odisha). 

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