India’s Semiconductor Mission Begins Attracting Private Investment, Says Ashwini Vaishnaw
Singapore, Nov 19 (The Deccan Times): India’s ambitious, government-backed semiconductor programme — supported by a robust chip design ecosystem and a vast engineering talent pool — has entered a new phase where private investment is beginning to flow independently, Union Minister Ashwini Vaishnaw said on Thursday.
Speaking at Bloomberg’s New Economy Forum in Singapore, the Minister for Electronics and IT said global confidence in India’s chip ecosystem is rising, and the country is steadily transitioning from government-driven initiatives to market-driven growth.
“Private capital is now coming on its own”
Vaishnaw said India’s semiconductor push, backed by extensive policy support, is now strong enough to attract commercial interest without relying entirely on subsidies.
“India’s sweeping state-backed semiconductor drive — coupled with its growing design ecosystem and deep engineering bench — is helping us reach a stage where private capital begins to flow in on its own,” he said.
India aims to match global semiconductor leaders by 2032
The minister outlined India’s long-term roadmap, stating that the 2031–2032 period will be the point when India’s manufacturing capabilities stand at par with today’s major chip-producing nations.
“That timeframe will set the stage for a fair, competitive global race,” Vaishnaw said.
Although the sector is still in its early stages, the government has significantly increased spending to attract both chip designers and manufacturers.
$10 billion incentive pushing major players into India
India’s $10 billion semiconductor incentive fund has already drawn global and domestic companies.
- Micron Technology has begun setting up an assembly and testing plant in Gujarat.
- The Tata Group is among ten companies preparing to fabricate silicon chips within India.
- Multiple assembly, packaging and testing projects have been approved.
Vaishnaw added that three semiconductor facilities in India are expected to begin commercial production early next year, marking a key milestone in India’s chipmaking ambitions.
Government push creating long-term industry confidence
The minister said India’s strong policy backing, combined with its rapidly growing talent pool, is creating an environment similar to what helped Apple ramp up iPhone production in the country.
“The strong government push is giving long-term confidence to the private sector,” he said.
Vaishnaw also highlighted India’s plan to provide common, affordable compute infrastructure to startups and chip designers.
“This approach ensures democratisation of technology,” he noted.
With rising investment interest, a young engineering workforce, and growing global partnerships, India is positioning itself to become a major semiconductor hub by the next decade.
