Lok Sabha Question No. 756 (UNSTARRED), answered on 2026-02-04
Subject: Investment Trends in IT and Semiconductors Sectors
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Ms Kangna Ranaut

## GOVERNMENT OF INDIA MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA UNSTARRED QUESTION NO. 756

TO BE ANSWERED ON: 04.02.2026

## INVESTMENT TRENDS IN IT AND SEMICONDUCTORS SECTORS

## 756.  MS KANGNA RANAUT:

Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to state:

- (a) the details of semiconductor-related projects approved by the Government in recent years including the number of projects approved and their broad nature;
- (b) the present status of implementation of these approved semiconductor projects including stage of execution and expected timelines for commencement of operations; and
- (c)  the  steps  being  taken  by  the  Government  to  strengthen  inter-ministerial  coordination  and transparency in reporting investment trends and project progress in strategic sectors such as Information Technology (IT) and semiconductors?

## ANSWER

## MINISTER OF STATE FOR ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI JITIN PRASADA)

(a) to (c): The semiconductor development strategy is inspired by Hon'ble Prime Minister's vision of Atmanirbhar Bharat and Make in India, Make for the world. As part of this strategy, India aims to develop  a  complete  ecosystem,  ranging  from  design,  fabrication,  assembly,  testing,  packaging  and module manufacturing.

Given the foundational nature of semiconductor industry for the economy, the Government launched the  'Semicon  India  Programme' with  a  total  outlay  of  Rs.  76,000  crore  for  the  development  of semiconductor and display manufacturing ecosystem in the country. Following are salient achievements under this Programme:

-     Government has approved 10 projects with envisaged investments of about Rs. 1.6 Lakh Crore which includes 2 fabs and 8 packaging units. These units inter-alia include CMOS (Silicon)  fab,  Silicon  Carbide  fab,  advanced  packaging,  memory  packaging,  etc.  These projects are in various stages of implementation and pilot production has started in 4 units.
-   24 chip design projects have been supported through startups . 16 have completed tapeouts and 13 have received VC funding.
- 350 universities have been provided access to EDA tools, used by 65 thousand engineers

The details of the approved Semiconductor manufacturing facilities are placed in Annexure .

Government  has  setup  India  Semiconductor  Mission  (ISM)  as  nodal  agency  for  appraisal  and recommendations  of  such  semiconductor  projects.  In-addition  to  the  semiconductor  experts,  the representatives from various ministries/Departments are also present to advise ISM.

For IT Sector, The Government of India is actively promoting its growth, especially in smaller towns and cities. The performance of this sector over the last 5 years and estimates for 2024-25, as published by the National Association of Software and Services Companies (NASSCOM), is mentioned below:

(in USD Billion)

|               |   2020-21 |   2021-22 |   2022-23 |   2023-24 |   2024-25 (E) |
|---------------|-----------|-----------|-----------|-----------|---------------|
| Exports       |       152 |       178 |       194 |     214.4 |         224.4 |
| Domestic      |        45 |        49 |        51 |      54.4 |          58.2 |
| Total Revenue |       196 |       227 |       245 |     269   |         283   |

(E) = Estimate

Foreign Direct Investment in 'Computer Software and Hardware' sector and 'Services' in  the  IT Sector is published online by Department from Promotion of Industries and Internal Trade (DPIIT) on their website on quarterly and yearly basis. Similarly, investment details of approved projects under India Semiconductor Mission are also reported publicly by Press Information Bureau.

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## Details of approved semiconductor manufacturing projects:

1. Micron Technology Inc. is establishing semiconductor manufacturing facility in Gujarat with an  investment  of  Rs.22,516  crore.  Micron's  facility  in  India  will  enable  assembly  and  test manufacturing  for  both  DRAM  and  NAND  products  and  address  demand  from  domestic  and international markets. The production capacity is around 14 million units per week.
2. Tata  Electronics  Private  Limited  (TEPL) is  establishing  semiconductor  manufacturing facility in Gujarat with an investment of Rs. 91,526 crore. The fab facility will be set up in technology partnership with PSMC, Taiwan. The production capacity of the project would be around 50,000 wafer starts per month (WSPM).
3. Tata  Electronics  Private  Limited  (TEPL) is  establishing  semiconductor  manufacturing facility  in  Assam  with  an  investment  of  Rs.27,120  crores.  The  facility  will  use  indigenous semiconductor packaging technologies with a production capacity of 48 million units per day.
4. CG Power and Industrial Solutions Limited is establishing semiconductor manufacturing facility in Gujarat with an investment of Rs. 7,584 crore. The facility will be set up as a joint venture partnership with Renesas Electronics America Inc., USA, and STARS Microelectronic, Thailand. The Technology would be provided for this facility by Renesas Electronics Corporation, Japan and STARS Microelectronic, Thailand. The production capacity would be around 15.07 million units per day.
5. Kaynes Technology  India  Limited  (KTIL) is  establishing  semiconductor  manufacturing facility in Gujarat with an investment of Rs. 3,307 crores for Wire bond Interconnect, Substrate Based Packages. The Technology would be provided by ISO Technology Sdn. Bhd. and AOI Electronics Co. Ltd. (AOI). The facility will have the capacity to produce more than 6.33 million chips per day.
6. Vama Sundari Investments (Delhi) Private Limited (VSIPL) is establishing semiconductor manufacturing facility in Uttar Pradesh with an investment of Rs 3,706 crores for display driver ICs (DDIC) using Gold (Au) Bump technology along with chip probing facilities and die processing services. The Technology would be provided by Hon Hai, Taiwan. The facility will be set up as a joint venture partnership between VSIPL and Foxconn, India. The production capacity would be around 20K wafers per month/36 million chips per month.
7. 3D Glass Solutions Inc. (3DGS) is establishing semiconductor manufacturing facility in Odisha with an investment of Rs. 1,943 crores. The plant will handle the assembly of packaged products such as Flip Chip Ball Grid Array (FCBGA) assembly, Radio Frequency System in Package (RF SiP), Antenna in Package System in Package (AiP SiP), glass interposers with passives and silicon bridges and 3D Heterogeneous Integration (3DHI) modules. The Proposed installed capacity for glass panel substrate production, assembly and 3DHI is around 5800 panels per month, 4.20 million units per month, and 1100 units per months respectively.
8. SiCSem Private Limited is establishing semiconductor manufacturing facility in Odisha with an investment of Rs. 2,066 crores. The facility will be set up in technology partnership with Clas-SiC Wafer Fab Ltd. for SiC fab and Continental Device India Pvt. Ltd. for packaging. The production capacity is 5,000 wafers/month, and the packaging capacity is 8 million units/month.
9. Continental  Device  India  Private  Limited  (CDIL) is  expanding  its  semiconductor manufacturing facility in Punjab, with an investment of Rs. 117 crores. The facility will manufacture high-power discrete semiconductor devices such as MOSFETs, IGBTs, Schottky Bypass Diodes, and transistors, both in Silicon and Silicon Carbide. The production capacity will be around 158.38 million units/annum.

10. Advanced  System  in  Package  Technologies  Private  Limited  (ASIP) is  establishing semiconductor manufacturing facility in Andhra Pradesh , with an investment of Rs. 480 crores. The facility will be set up in technology partnership with APACT Co. Ltd, South Korea. The production capacity of the facility would be around 96 million units/annum.

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