The union government is said to broaden the scope of incentives to cover the entire semiconductor ecosystem, going beyond just design, manufacturing and packaging, according to India Semiconductor Mission CEO Amitesh Kumar Sinha.
The government had approved the Semicon India programme with a total outlay of ₹76,000 crore for the development of semiconductor and display manufacturing ecosystem in the country. Under this phase, the government approved 10 major projects covering manufacturing and packaging.
Additionally, under the Design Linked Incentive (DLI) scheme, 24 design start-up applications have been approved to boost domestic innovation in chip design.
Speaking on the sidelines of the ICEA-GSA event in Bengaluru, the CEO stated the approved projects are now under execution, with regular review meetings, facilitation and handholding taking place to ensure timely progress.
The success of Semicon India 2024, which saw participation from 48 countries and dedicated country pavilions from Singapore, Malaysia, Japan and South Korea, has highlighted growing global interest in India’s semiconductor ambitions, he said.
Global vendors supplying semiconductor equipment and materials are exploring deeper engagement with India. Many are considering joint ventures with Indian firms, or supplying technology to Indian partners, creating new opportunities for collaboration and skill development.
Taking cues from Prime Minister Narendra Modi’s remarks during the Semicon India event, he confirmed that the government is committed to policy continuity and will introduce measures to further strengthen the ecosystem.
“In the earlier scheme, support was extended primarily for design, manufacturing and packaging. But the ecosystem involves many more stakeholders. We will look to expand the incentive scope to cover the entire semiconductor value chain,” Sinha said.
The proposed expansion marks ISM 2.0, a next phase aimed at deepening India’s role in the global semiconductor supply chain by fostering technology partnerships and supply chain resilience.
Published on October 31, 2025
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