New Delhi: With rising global demand for semiconductors driven by AI, 5G, EVs, internet of things (IoT) and advanced computing, India is leveraging its talent, policy push and strategic location to become a hub for semiconductor innovation and manufacturing, according to industry experts.
India is fast positioning itself as a key player in the global semiconductor ecosystem, as the industry hits a record $656 billion in 2024, growing over 21 per cent year-on-year, As per recent report released by Gartner, Nvidia leads the top 10 chip suppliers and biggest contributions is from GPU, CPU, Memory and Mobile SoC’s.
Under the government’s ‘Semicon India’ programme, a Rs 76,000 crore ($10 billion) incentive package has been launched to boost domestic chip manufacturing, advanced packaging, and semiconductor design.
“Coupled with strong participation from industry, over $20 billion in investments have already been committed by IESA member companies and global players across multiple Indian states,” said Ashok Chandak, President SEMI IESA.
In addition to MeitY-approved key projects, many semiconductor initiatives have garnered strong support from various state governments, with several prominent Indian corporates actively participating — demonstrating the sector’s growing momentum nationwide.
Notable live projects include those by Polymatech, HCL, RRP Electronics, Suchi Semiconductors, RIR, and CDIL, reflecting a broad-based commitment to building India’s semiconductor capabilities, informed Chandak.
Gujarat has led the way with India’s first dedicated semiconductor policy and has already attracted major fab proposals. Similarly, Chhattisgarh, Assam, Uttar Pradesh, Karnataka, Tamil Nadu, Madhya Pradesh, and Odisha have crafted progressive frameworks offering policy support, tax incentives,
India’s strengths — ranging from a large pool of chip design engineers, academic institutions, and a growing base of electronics manufacturing — position it as a natural partner for global companies seeking resilient and diversified supply chains.
The recent ‘IESA Vision Summit’ held in Gandhinagar showcased the immense potential and rising interest in India's semiconductor and electronics sector, drawing over 2,500 delegates, 300 international participants, seven country roundtables, 100 exhibitors, and 100 research poster presentations—highlighting India’s growing stature as a global hub for deep-tech innovation and collaboration.
According to a recent IESA report on India’s semiconductor market, domestic demand is projected to reach $103 billion by 2030, while the global market is expected to surpass $1 trillion.
“With a focus on innovation, advanced R&D and skill development, India’s growing semiconductor ecosystem will play a pivotal role in achieving the vision of ‘Atmanirbhar Bharat’ and ‘Make in India', while also contributing significantly to the global semiconductor supply chain,” said Dr. Veerappan, Chairperson, IESA.
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