India is ready to emerge as a trusted partner for the semiconductor industry for setting up a chip manufacturing hub in the country to supply the world, Prime Minister Narendra Modi said on Friday, as he rolled out the red carpet for global tech giants to invest in the country.
Inaugurating SemiconIndia 2023 at Gandhinagar in Gujarat today, PM Modi said, “India understands its global responsibilities and is working on a comprehensive roadmap with friendly countries.”
Currently most of the world’s chip production is limited to a handful of centres, such as Taiwan. PM Modi is keen to make India a manufacturing hub.
Recalling the participation in the first edition of Semicon last year, the Prime Minister highlighted the questions raised at the time about investing in India’s semiconductor industry. He pointed out that the questions have transformed over a period of one year from ‘Why invest in India’ to ‘Why not invest in India’. “There has been a directional change due to the efforts of the industry leaders”, PM Modi remarked as he felicitated the semiconductor tech giants for showing their belief in India.
He said that the industry leaders have conjoined the aspirations and the capability of India with their own future and dreams. “India does not disappoint,” the Prime Minister exclaimed.
Referring to the side effects of the China-triggered Covid-19 pandemic and the Russia-Ukraine war, the Prime Minister said that the world needs a reliable supply chain. “Who can be a more trusted partner than the world’s largest democracy,” he remarked.
He expressed happiness about the growing global trust in India. “Investors trust India as it has a stable, responsible and reform-oriented government. The industry has faith in India as infrastructure is developing in every sector. The tech sector believes in India as technology is growing here. The Semiconductor Industry trusts India as we have a massive talent pool,” he said.
PM Modi underlined the abundance of opportunities in India of the 21st century and said that the country’s “democracy, demography and dividend will double and triple the businesses in India.”
Referring to the fast pace of development in the country, the Prime Minister said in 2014 India’s electronic manufacturing was less than 30 billion dollars, which has crossed 100 billion dollars today. The export of electronics and mobile devices has doubled in the last 2 years. Highlighting the technological developments in India post 2014, the Prime Minister informed that there were only two mobile phone manufacturing units in India before 2014 whereas today, this number has gone beyond 200. He also informed that the number of broadband users in the country increased from 6 crores to 80 crores while the number of internet connections rose from 25 crores to more than 85 crores today.
Referring to these statistics, the Prime Minister emphasized that it not only signifies India’s progress but is also an indicator for growing businesses in the country.
“The world is witnessing the Industry 4.0 revolution today”, PM Modi remarked as he noted that the basis for any industrial revolution in the world is the aspirations of the people in that particular sector.
“Industrial Revolutions in the past and the American Dream had the same relationship”, the Prime Minister said as he drew an analogy between the Industry 4.0 revolution and Indian aspirations. He said that Indian aspirations are the driving force behind the development of India.
“Be it health, agriculture or logistics, India is working towards a vision of smart technology usage”, PM Modi said.
He underlined that the chip-making industry is a market filled with opportunities and expressed confidence that those who begin early are bound to get a first-mover advantage over others.
“Skilled engineers and designers are our strength. Anyone who wants to be a part of the world’s most vibrant and unified market has faith in India. When we tell you to make in India, it also includes that let’s make for India, Make for the world”, he added.
The engineering curriculum to create a semiconductor ecosystem is being revamped. He informed that more than 300 such prominent colleges have been identified in India where courses on semiconductors will be available. The Chips-to-Startups Program will help engineers. “It is estimated that in the next 5 years, more than one lakh design engineers are going to be produced in our country. India’s growing start-up ecosystem is also going to strengthen the semiconductor sector,” he added.
Noting the crucial requirement of electricity for this sector, the Prime Minister informed that India’s solar power installed capacity has increased more than 20 times in the last decade and a new target of 500 GW of renewable energy capacity has been set to be achieved by the end of this decade. He also touched upon major steps taken for the production of solar PV modules, green hydrogen and electrolyzers.
He mentioned the increased incentive under the Semicon India Programme. He elaborated that now technology firms will be given 50 percent financial assistance to set up semiconductor manufacturing facilities in India. “We are continuously carrying out policy reforms to accelerate the growth of the country’s semiconductor sector”, PM Modi said.
Reflecting on India’s G20 theme of ‘One Earth, One Family, One Future, the Prime Minister emphasized that the same spirit is applied behind making India a semiconductor manufacturing hub. He emphasized that India wants the whole world to benefit from its skill, capacity and capability and stressed the need to boost India’s potential for “Global Good and a better world.”