The government, on Thursday, gave in-principle approval to the proposal of setting up two semiconductor manufacturing facilities in the country in a bid to check over-dependence on import of electronic products, especially chipsets.
“The Cabinet has given in-principle approval for setting up of semiconductor wafer fabrication manufacturing facilities,” Information and Broadcasting Minister Manish Tewari told reporters after a meeting of the Union Cabinet, chaired by Prime Minister Manmohan Singh.
Giving further details, Telecom Minister Kapil Sibal told PTI: “The Cabinet has in-principle accepted the two offers that have come up to set up semiconductor plant.”
“The Cabinet has also approved in-principle that incentives that will be given to these players, will be offered to other players (as well) who are interested in setting up semiconductor plant here.
“Incentives...are already covered under existing policies, which account for about 62 per cent and the balance 38 per cent is in form of loan provision, which is refundable. The burden on government will be only interest charges,” Mr. Sibal added.