The Union Cabinet on Wednesday approved an outlay of Rs 1.27 lakh crore for the second phase of the India Semiconductor Mission (ISM), Union IT Minister Ashwini Vaishnaw said.
The government expects the Semicon 2.0 programme to attract investments of around Rs 4 lakh crore and generate semiconductor production worth Rs 2 lakh crore over the scheme period.
An official statement said the Cabinet, chaired by Prime Minister Narendra Modi, approved the revamped programme to strengthen India's semiconductor design and manufacturing ecosystem.
Unlike the first phase, Semicon 2.0 also extends incentives to suppliers of critical raw materials for chip manufacturing, including minerals and industrial gases, with the aim of building a more comprehensive domestic semiconductor supply chain.
"Cabinet has approved ISM 2.0 with a total outlay of Rs 1.27 lakh crore," the minister said.
