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GOVERNMENT OF INDIA
MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY
LOK SABHA
UNSTARRED QUESTION NO. 2964
TO BE ANSWERED ON: 05.08.2026
PROMOTION OF SEMICONDUCTOR ECOSYSTEM
2964. SHRI B K PARTHASARATHI:
Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to
state:
(a) the measures taken by the Government to promote the semiconductor ecosystem nationally
and especially in Andhra Pradesh including support for semiconductor fabrication, assembly,
testing, packaging, design and allied manufacturing activities;
(b) the details of proposals received, approved and under implementation in Andhra Pradesh under
the India Semiconductor Mission and other related initiatives along with the funds sanctioned,
released and utilised, project-wise;
(c) the details of steps taken by the Government to develop a skilled workforce for the
semiconductor sector in Andhra Pradesh including the number of institutions supported, training
programmes conducted, industry partnerships and the number of persons trained since the year
2021; and
(d) the present level of indigenous semiconductor production and value addition achieved in the
country including progress in reducing import dependence across the semiconductor value chain?
ANSWER
MINISTER OF STATE FOR ELECTRONICS AND INFORMATION TECHNOLOGY
(SHRI JITIN PRASADA)
(a) to (d): Recognising the importance of Semiconductors, the Government launched Semicon
India Programme in January 2022 for setting up of semiconductor fabs, display fabs
semiconductor packaging and also for promotion of Indian designed chips. The details of the
incentives/support offered under the programme are available at www.ism.gov.in.
Under Semicon India Programme, Government has approved 12 manufacturing projects with
total investment commitments of about Rs. 1.64 lakh crore. This includes the proposal of
Advanced System in Package (ASIP) Technologies Private Limited for setting up Assembly
Testing Marking and Packaging (ATMP) facility in district Visakhapatnam, Andhra Pradesh.
The facility will be set up in technology partnership with APACT Co. Ltd, South Korea. The
production capacity of the facility would be around 96 million units/annum and the unit is
expected to generate more than 500 employment opportunities, depending on the factory
automation. Out of the 12 approved projects under Semicon India Programme, commercial
production has commenced in three (3) plants.
Semiconductor design:
Semiconductor design plays a prominent role in defining the "architecture" of a chip to achieve
a specific function or application. Since chip design is an extremely R&D, engineering, and IP
intensive process, Government is providing financial as well as infrastructure support(including free access to Design tools) to Startups and MSMEs through Design Linked
Incentive (DLI) Scheme within the Semicon India Programme. Twenty-four (24)
semiconductor design projects have been approved for financial support and 105
startups/MSMEs for Electronic Design Automation (EDA) tool support under DLI Scheme.
Chips to Start-up (C2S) Programme:
To provide industry ready skilled workforce, Government launched C2S Programme. Under
this programme, Government is providing free access to latest design tools (EDA) through
ChipIN Centre (set up at C-DAC, Bengaluru) to 320 universities and start-ups. So far, ~68,000
persons have been trained and 175 designs taped out from SCL Mohali. The list of
organizations supported under C2S programme in the State of Andhra Pradesh is as follows:
1. Indian Institute of Technology Tirupati
2. Indian Institute of Information Technology Design and Manufacturing Kurnool
3. National Institute of Technology Andhra Pradesh
4. Shri Vishnu Engineering College for Women, Bhimavaram
5. Vignan's Foundation for Science Technology and Research, Guntur
6. Vellore Institute of Technology (VIT-AP) University, Amaravati, AP
7. SRM University, AP
8. Jawaharlal Nehru Technological University (JNTU), Kakinada
9. Jawaharlal Nehru Technological University (JNTU), Anantapur
10. V.R. Siddhartha Engineering College, Vijayawada
11. Anil Neerukonda Institute of Technology & Sciences (ANITS), Visakhapatnam
12. Vishnu Institute of Technology, AP
13. Sagi Rama Krishnam Raju (SRKR) Engineering College, Andhra Pradesh
14. GMR Institute of Technology (GMRIT), Andhra Pradesh
15. G. Pullaiah College of Engineering and Technology, Kurnool
16. Koneru Lakshmaiah Education Foundation, Guntur
17. Vignan's Institute of Information Technology, Visakhapatnam
18. Mohan Babu University, Tirupati, Andhra Pradesh
19. Narayana Engineering College, Gudur, Andhra Pradesh
20. Sri Vasavi Engineering College, Tadepalligudem, Andhra Pradesh
21. Gayatri Vidya Parishad College of Engineering, Visakhapatnam
22. Santhiram Engineering College, Nandyal, Kurnool
23. National Institute of Electronics and Information Technology Tirupati
Semicon 2.0:
Government regularly engages with beneficiary companies, industry associations and other
stakeholders to assess implementation challenges. The key issues identified include access to
seed capital and venture funding, advance chip design tools, specialized trainings, access to
semiconductor foundries, packaging and post-silicon validation facilities.
To address these challenges and build on the successful implementation of the first phase, the
Union Cabinet has approved Semicon 2.0 on 15.07.2026 with a fiscal outlay of ₹1,27,500 crore.
Semicon 2.0 adopts a holistic approach to strengthen the entire semiconductor value chain and
shall further accelerate the development of a robust and resilient semiconductor ecosystem in
the country. The programme focuses on six strategic pillars: Design; Machines and Materials;
Setting up more Fabs; Strengthening the ATMP/OSAT Industry; Research & Development
(R&D); and Talent Development for design and manufacturing.*******