News Brief
Uttar Pradesh: State's Semiconductor Policy Draws Rs 40,000 Crore Investment In Support Of India's Chip-Making Goals
Semiconductor chips (Representative image)
The Uttar Pradesh government has received project proposals worth approximately Rs 40,038 crore, the state's investment promotion agency, Invest UP, revealed. This is thanks to its new policy aimed at encouraging semiconductor manufacturing and attracting global investments.
In January this year, the state cabinet approved its own semiconductor policy, designed to offer incentives to investors, establish Uttar Pradesh as a hub for the semiconductor ecosystem, and support the country's chip manufacturing efforts.
With this move, Uttar Pradesh became the fourth state to implement a semiconductor policy, following Gujarat, Odisha, and Tamil Nadu.
According to the Economic Times, the Hiranandani group's Tarq Semiconductor is anticipated to invest Rs 28,440 crore, while Kaynes Technologies' subsidiary, Kaynes Semicon, is set to invest Rs 4,248 crore.
Aditech Semiconductor has proposed an investment of Rs 3,751 crore, and Vamasundari Investment Delhi has planned an investment of Rs 3,599 crore. The projects are expected to generate over 32,000 jobs in the state.
Under the new policy, the state government will offer a 50 per cent subsidy on the capital subsidy provided by the Union government.
It will also offer an interest subsidy of up to Rs 1 crore for units investing up to Rs 200 crore.
Additionally, the policy includes a 75 per cent rebate on the first 200 acres of land and a 30 per cent rebate on additional land, along with a 100 per cent exemption on stamps and registration duty on land purchases.
