India's Union Cabinet approved the Semicon 2.0 programme and the Mobile Phone Manufacturing Scheme to boost domestic electronics production [1].
The move aims to reduce India's dependence on imports and advance the "Make in India" agenda by strengthening the local semiconductor ecosystem. By incentivizing domestic manufacturing, the government seeks to position the country as a global hub for electronics.
The combined value of the two initiatives is approximately ₹1.9 lakh crore [1]. These schemes focus on the entire electronics and semiconductor value chain to ensure sustainable growth in the tech sector.
Pankaj Mohindroo, chairman of the India Cellular and Electronics Association (ICEA), said the initiatives will have a far-reaching impact across the entire electronics and semiconductor value chain [2].
Mohindroo said the programmes could generate up to 20 lakh total jobs by 2030 [1, 2]. He said this figure includes approximately five lakh direct jobs and 15 lakh indirect jobs [3].
"The Semicon 2.0 and Mobile Phone Manufacturing schemes could generate up to 5 lakh direct and 15 lakh indirect jobs," Mohindroo said [3].
The investment targets a significant expansion of infrastructure and workforce capabilities over the next few years. This strategic push is designed to create a robust pipeline of skilled labor, and high-tech facilities across the nation [1].
“The combined value of the two initiatives is approximately ₹1.9 lakh crore.”
This investment represents a strategic pivot by India to move from being a primary consumer of electronics to a global producer. By targeting both the high-end semiconductor fabrication and the downstream mobile phone assembly, the government is attempting to capture multiple stages of the value chain. The success of this plan depends on the ability to attract foreign investment and develop a specialized workforce capable of meeting the 2030 employment targets.
