Massive Chip Push: Government Clears ₹1.25 Lakh Crore Outlay for India Semiconductor Mission 2.0
Central Government Elevates Ambition with ISM 2.0 Clearance
The Indian government has significantly amplified its commitment to fostering a robust domestic technology ecosystem. The Expenditure Finance Committee (EFC) recently cleared a proposed outlay of Rs 1.25 lakh crore for the next phase of the initiative: India Semiconductor Mission (ISM) 2.0, CNBC-TV18 reported.This approval represents a major policy push towards strengthening India’s presence in the global semiconductor landscape. The EFC cleared the proposal during its recent meeting last week.
Broader Scope Signals Comprehensive Ecosystem Buildout
The scope of ISM 2.0 is intentionally expanded to cover the entire semiconductor value chain. This comprehensive approach encompasses critical stages including chip design, fabrication, and packaging.This broadening underscores a strategic shift in government policy. The mission aims not only at attracting manufacturing but also at cultivating indigenous expertise across all levels of the supply chain.
Higher Allocation Underscores Manufacturing Focus
The proposed Rs 1.25 lakh crore outlay marks a substantial increase compared to the initial investment under the first phase of the India Semiconductor Mission, which was allocated Rs 76,000 crore.This higher allocation emphatically demonstrates the government's sustained and intensified focus on building a domestic semiconductor manufacturing base in India. It signifies a strong commitment to industrial self-reliance.
Next Steps Towards Cabinet Approval
The EFC’s approval provides the necessary clearance for this ambitious proposal. The matter is now set to be placed before the Union Cabinet for final endorsement.This process moves the mission closer to implementation, paving the way for accelerated progress in semiconductor industry development.
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