India will emerge as key destination for semiconductor manufacturers: minister Ashwini Vaishnaw

New Delhi: Union Minister Ashwini Vaishnaw highlighted the success of the current BJP-led Central Government in attracting investments in emerging technology, particularly in the semiconductor industry. He said that India has become the next important location for semiconductor manufacturers, a feat the Congress party couldn't achieve since the 1980s.

Union Minister Ashwini Vaishnaw expressed his pride in the historic visit and said, "It is a very proud moment when India was discussed in the White House. The US sees India as an equal partner." He also highlighted the signing of several foreign policies focusing on India during the visit, underscoring the growing collaboration and partnership between India and the US.

During Prime Minister Narendra Modi's recent state visit to the United States, Micron Technology, a global semiconductor major, unveiled its ambitious India-specific investment plan. Shortly after PM Modi's meeting with Micron CEO Sanjay Mehrotra, the company announced its intention to establish a new assembly and test facility in Gujarat, India, with a massive investment of $825 million. The facility, once operational, will cater to the demand from both domestic and international markets.

The visit also witnessed the signing of partnerships in 35 emerging technologies, including semiconductors, space, quantum computing, and AI. Notably, an important milestone was achieved with the signing of a Memorandum of Understanding (MoU) between GE Aerospace and Hindustan Aeronautics Limited (HAL) to produce fighter jet engines for the Indian Air Force, further strengthening India's defense capabilities.

Gujarat was selected as the preferred location for the facility by Micron due to its robust manufacturing infrastructure, conducive business environment, and the availability of a skilled talent pool in the SANAND Industrial Park, managed by the Gujarat Industrial Development Corporation (GIDC). The phased construction of the assembly and test facility is expected to commence in 2023, with plans for a similarly scaled Phase 2 to follow in the latter half of the decade.

Ashwini Vaishnaw emphasised the significance of Micron's investment in India and said, "India tried for 40 years to develop the semiconductor industry, but this is the first time a major semiconductor player, Micron, is coming to the country." He added that India's focus is now on technology and joint development, showcasing India's position in the global world order. He also said that it will be ready within a record-breaking six quarters, expected to be operational by late 2024.