Foxconn and Vedanta to set up India’s first semiconductor plant in Dholera, Gujarat

The joint venture between global mining company Vedanta and electronics manufacturer Foxconn has decided to set up its semiconductor and display manufacturing plant in the Dholera Special Investment Region near Ahmedabad in Gujarat. Both these companies had signed an agreement with the Gujarat government last year for setting up plants in the state with an investment of Rs 1,54,000 crore. This will be the country’s first semiconductor manufacturing plant.

However, the joint venture company did not disclose the location of the plant after entering into an agreement with the state government. A senior state government official said, “After discussions with the authorities of the Gujarat government, the joint venture company of Vedanta and Foxconn has decided to take over Dholera as its headquarters.” semiconductor About one lakh employment opportunities will be created by this project. Gujarat Chief Minister Bhupendra Patel had said that the state government will provide help for this project and it will be made successful.

Addressing a rally in Bhavnagar in November last year ahead of the Gujarat assembly elections, Prime Minister Narendra Modi had hinted at the setting up of this mega semiconductor plant at Dholera, about 100 km from Ahmedabad. This project is likely to get subsidy and incentive. These may include zero stamp duty on land purchase and concessional rates for electricity and water.

Gujarat is the first state to have a separate policy for semiconductor and display fabrication industries. Under this policy, eligible projects will be given 75 percent subsidy on the initial 200 acres of land to be purchased for setting up a manufacturing unit. Apart from this, water will be made available to these projects at the rate of Rs 12 per cubic meter. Foxconn, the largest contract manufacturer of iPhone-making American company Apple, sees a lot of potential in the semiconductors segment. Many due to the shortage of semiconductors automobile And electronics companies are facing a tough time. This has affected production. Tesla, the world’s largest electric car company, has also had to reduce production due to a shortage of semiconductors. Tata Motors, one of the world’s largest automobile companies, has also reduced the production of some of its models due to the shortage of semiconductors. This has also increased the wait for the customers. Most of the companies making semiconductors are in Asia.