Semiconductor plant in India, serious effort, CG Power and Industrial Solutions has applied to set up an outsourced semiconductor assembly and testing facility in India at a cost of Rs 6,565 crore.
Semiconductor manufacturing plant in India
CG Power, and Industrial Solutions’ proposed Outsourced Semiconductor Assembly and Test (OSAT) facility is a significant step in India’s efforts to become a global semiconductor manufacturing hub.
At an investment of 6,565 crore, the proposed facility will have the capacity to assemble and test semiconductors for various applications including automotive, consumer electronics and communication. This will not only boost India’s domestic semiconductor production, but also make the country a key player in the global semiconductor supply chain.
Accordingly, an application has been made to the Union Ministry of Electronics and Information Technology seeking permission to obtain facilities and grants for this project.
Funding for the project will be provided through grants, joint ventures, stakeholder contributions and contingent loans.
What are the advantages of semiconductor manufacturing in India?
of India is actively promoting the growth of the semiconductor industry in India and the use of CG Power company is a testament to the Government’s efforts. The government has introduced various incentives like subsidies and tax breaks to attract investments in the semiconductor sector. These incentives have made India an attractive destination for semiconductor manufacturers.
The establishment of this company’s OSAT facility is expected to have a positive impact on the Indian economy. It will create thousands of new jobs directly and indirectly. This will attract more investments in the semiconductor sector. Also, it will boost India’s exports of semiconductors.
Overall,
CG’s application to set up an OSAT facility in India is a positive development for the Indian semiconductor industry. This is an indication that India is serious about becoming a global semiconductor manufacturing hub. This facility will have a positive impact on the Indian economy, creating employment, attracting investments and increasing exports.
Following the CG announcement, the power company’s shares rose nearly 20 percent to Rs 469.
