Rajasthan Centre Attract Electronics and Semiconductor Manufacturing Investments

Rajasthan Pitched as Key Destination for Electronics and Semiconductor Manufacturing

The Centre and the Rajasthan government on Saturday highlighted the state's potential as a major hub in electronics manufacturing, urging investors to set up units while assuring full support. The initiative is part of a broader push to develop the sector, with the government touting Rajasthan's "triple-S" advantage - silica, skill, and solar.

The Centre has laid the groundwork for setting up around 450 factories in the past two years, while 75 factories have been approved under the Electronic Components Manufacturing Scheme (ECMS) in the last year. Union Electronics and IT Minister Ashwini Vaishnaw noted that the sector has seen rapid growth under the leadership of Narendra Modi.

Addressing an interactive session on the electronics and semiconductor sector along with Chief Minister Bhajanlal Sharma at the Chief Minister's Office, Vaishnaw urged investors to set clear targets for establishing manufacturing units, assuring that the "double-engine government" would extend full cooperation. He added that expansion in this sector would generate large-scale employment.

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Chief Minister Bhajanlal Sharma emphasized the state's progress in the sector, highlighting that India has joined a select group of countries producing semiconductors. The India Semiconductor Mission, backed by an incentive package of over Rs 76,000 crore, is progressing at a fast pace. Sharma said Rajasthan has already operationalised its first semiconductor cluster in Bhiwadi, spread over 50 acres, with an annual production capacity of around six crore chips.

The chief minister added that investment proposals worth over Rs 1,200 crore from about 20 companies have been attracted so far. Rajasthan has introduced a dedicated semiconductor policy and other industrial policies to build a robust ecosystem for the sector. Financial incentives, including capital subsidies and interest subventions, are also being provided.

Industry and Commerce Minister Rajyavardhan Rathore said semiconductors have become the backbone of economic self-reliance and global power balance in the digital age, adding that Rajasthan is well-positioned to play a significant role in the mission.

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Note: The table highlights the progress made in the sector over the past two years, with 75 factories approved in 2022 and a target of 450 factories set for the period.