On Friday, Prime Minister Narendra Modi promoted India as a “trusted and reliable partner” to the international semiconductor industry, claiming that the world’s largest democracy will play a crucial role in Industry 4.0 as it works to lay a solid foundation for developing a robust chip manufacturing and related ecosystem within the nation.
At the second SemiconIndia, flanked by some of the top executives in the global semiconductor industry, Modi stated that although an aspirational middle class is driving demand for products made with chips, the ambitious $10 billion incentive program of the nation, a dependable energy supply, land, and rapidly growing strength of skilled manpower and engineers are driving investment inflows.
India’s strength, according to the PM, is its skilled engineers and designers. After dealing with the repercussions of the epidemic and the Russia-Ukraine war, the PM claimed that the world now requires a supply chain that is stable and trusted. “India has realized that semiconductors are not simply a requirement for us; the whole globe requires a dependable, consistent supply of chips. Who could be a more reliable partner than the biggest democracy in the world? India has a stable, accountable, and reform-focused government, which gives investors confidence. The industry has confidence in India because infrastructure is growing across the board. The IT industry supports India because it is a big market for technology. India is trusted by the semiconductor sector because of our vast skill pool.”
The government is working to develop an ecosystem for global chipmakers and electronics companies as they aim to diversify their manufacturing locations outside of China, which was severely disrupted by the Covid epidemic and had an impact on the manufacture of mobile phones and cars. Also, as shipments in these categories are increasing, the goal is to lessen reliance on imports. India has a sizable domestic market, and the government is establishing the country as a hub for exports.
In his hunt for semiconductor investments, Modi said that India’s strength lies in its talented engineers and designers. “Everyone who wishes to participate in the most united and dynamic market in the world has trust in India. Make in India also means let’s make for India, make for the world when we advise you to do so.”
The prime minister assured the businesses that India is aware of the demand for a global supply chain, raw materials, skilled labor, and equipment. “Every industry in which we have closely collaborated with private actors has reached new heights, whether it be the space sector or the geospatial sector, we have had good outcomes everywhere.”
Modi compared India to a conductor and an insulator, explaining that energy can move through conductors but not insulators, and that India is completing all the necessary steps to become “an ideal conductor for semiconductor investments.”
He noted that India is seeing the same situation when it comes to the production of digital and electronic goods, which is consistent with Moore’s Law, which is fundamentally based on exponential development.
“India now accounts for a significantly larger portion of global electronic manufacturing. India had less than $30 billion in electronic manufacturing in 2014, but it currently exceeds $100 billion. In the previous two years, the export of electronics and mobile gadgets has increased. Moreover, currently, there are more than 200 mobile manufacturing facilities in India, up from only two in 2014.”
