Odisha has laid the foundation stone for a ₹2,067 crore compound semiconductor manufacturing facility at the Info Valley-II Tech Park near Bhubaneswar. The initiative aligns with the national drive under the India Semiconductor Mission (ISM) to build a robust, end-to-end chip manufacturing ecosystem within the country.
Project Details and Strategic Significance
The new unit, spearheaded by SiCSem Pvt Ltd, has received approval under the India Semiconductor Mission. With an investment of ₹2,067 crore, the plant is designed to produce around 60,000 wafers and 96 million packaged units annually. It will cater to high-demand sectors such as electric vehicles (EVs), defence, railways, and renewable energy—areas witnessing rapid growth and technological adoption.
Leadership’s Vision and Commitment
During the foundation-laying ceremony, Chief Minister Mohan Charan Majhi described the project as a “historic milestone” for Odisha’s industrial growth and India’s push toward technological self-reliance. He noted that “activities which once took years are now being accomplished in months,” reflecting the fast-paced progress of “New India.”
Majhi added that after Bengaluru, Odisha is fast emerging as the next electronics and IT capital of India, crediting the vision and leadership that have accelerated the state’s transformation.
Building a Technology Ecosystem in Eastern India
The Chief Minister emphasised that Odisha’s foray into semiconductor manufacturing marks a new era of technological empowerment for eastern India. Backed by progressive policies, skilled talent, and modern infrastructure, the project is expected to generate around 5,000 direct and indirect jobs. It will create high-value technical and manufacturing roles while strengthening the local supply-chain ecosystem and attracting ancillary industries and start-ups focused on semiconductor design, testing, and packaging.
Policy Framework and Institutional Support
To reinforce its ambitions, the Odisha government is aligning its Semiconductor, Electronics, and AI policies to position the state as a preferred destination for global tech investors. Majhi highlighted the importance of synergy between industry, academia, and governance to sustain innovation.
A Research and Innovation Centre has already been established at IIT Bhubaneswar with an investment of ₹64 crore. Additionally, ₹5 crore from the MPLAD (Member of Parliament Local Area Development) fund has been allocated for setting up the NAMO Semiconductor Laboratory at IIT Bhubaneswar. The lab aims to train students and researchers in chip design, nanofabrication, and next-generation materials.
Strategic Location and Market Potential
The Info Valley-II technopolis in Bhubaneswar offers advanced infrastructure, high-speed connectivity, and strong policy support—factors that make it ideal for semiconductor manufacturing. Officials emphasise that the upcoming fabrication and ATMP (Assembly, Testing, Marking & Packaging) unit will play a crucial role in supporting India’s EV and renewable-energy sectors, where the demand for compound semiconductors continues to surge.
Expanding India’s Chip Manufacturing Footprint
Under the India Semiconductor Mission, the Ministry of Electronics & Information Technology (MeitY) aims to reduce India’s reliance on imports and build full-chain semiconductor manufacturing capabilities. The Odisha project stands out as one of the first major private investments in chip manufacturing outside Gujarat and Karnataka—marking a strategic expansion of India’s semiconductor geography.
The Road Ahead
With strong state and central support, Odisha is set to attract both domestic and international investors in the coming years. Chief Minister Majhi encapsulated the vision succinctly: “The chip revolution will not just power devices; it will power dreams. Odisha is ready to lead India’s next technological leap.”
