$1 billion for every chip maker that wants to “Make in India”

The initiative was launched back in 2014 by prime minister Narendra Modi and had according to The Hindu thee main objectives; to increase the manufacturing sector's growth rate to 12-14% per annum; to create 100 million additional manufacturing jobs in the economy by 2022; to ensure that the manufacturing sector's contribution to GDP is increased to 25% by 2022 (this was later revised to 2025). In order to attract more high-tech investments, the government is reportedly offering more than one billion dollar to each semiconductor company that sets up manufacturing operations in the country as it seeks to strengthen its place within the electronics supply chain, two anonymous government officials told Reuters. According to the sources, the government will provide an assurance that it will be a buyer, and also that there will be mandates for companies to buy locally made semiconductors. The actual distribution of the incentives has however yet to be decided and the government has reportedly asked the industry for direct feedback. India is not the only, or first, country to subsidise the construction of semiconductor manufacturing operations – especially as the worlds dependence on Taiwan for supplies has become painfully clear during the shortage. Another part in this is said to be the country plan to establish a reliable, local, supply chain for its electronics and telecom industry as it wants to reduce its dependence on China. The sources did however not state whether any specific semiconductor companies had shown interest in responding to the call to set up shop in India.