India to spend $30 bn to achieve independence on chip supply chain

Taipei/New Delhi: India, which aims to become a global semiconductor hub in coming years, is set to pump $30 billion into its technology sector to achieve independence on chips so that it isn’t “held hostage” to global suppliers, the media reported on Thursday.
Gourangalal Das, director-general of the India-Taipei Association which is the country’s de-facto embassy in Taipei, told Nikkei Asia that the country would boost local production of chips as well as displays, advanced chemicals, networking and telecom equipment, batteries and electronics.
“There is an increase in demand for semiconductors. By 2030, India semiconductor demand will attain $110 billion. So by that point, it will likely be over 10 per cent of world demand,” Das was quoted as saying in the report.
“We want some assurance that our demand for semiconductors shouldn’t be held hostage to the vagaries of supply chains a” one thing that we noticed through the pandemic,a the diplomat added.
India and Taiwan are marching ahead to ink the much-awaited Free Trade Agreement (FTA) which will have prime focus on having a semiconductor manufacturing hub in India by a Taiwanese company.
If this gets through, it will be a win-win situation for both the parties as India aspires to become a global semiconductor manufacturing hub and Taiwan wants to move away its business from China.