“India is becoming an excellent conductor for semiconductor investments,” said prime minister Narendra Modi (pictured) at the weekend, “the world needs a reliable supply chain. Who can be a more trusted partner than the world’s largest de
Modi was speaking at SemiconIndia which held its 
inaugural event last year. He said that at last year’s SemiconIndia, many were asking why they should invest in India. “Now,” he said, “the question has become: ‘Why not invest in India?’”
One reason may be that the inducements on offer to investors do not look sufficiently generous. In 2021, the government said it would spend $9.24 billion to support domestic production in the semiconductor and liquid-crystal display sectors – about enough to attract one investor to build one leading edge fab or two investors to build two trailing edge fabs.
However, Modi insisted: “We are continuously carrying out policy reforms to accelerate the growth of the country’s semiconductor sector.”
Applied, Micron and AMD have recently announced intentions about packaging investments in the country. Foxconn had a proposed chip jv investment in India but pulled out and is now said to be looking for another local partner.
