Vedanta-Foxconn to set up India’s first semiconductor manufacturing facility at Dholera, Gujarat

Ahmedabad, Feb 20 A joint venture between Indian conglomerate Vedanta and electronics manufacturing giant Foxconn has finalized the Dholera Special Investment Region near Gujarat’s Ahmedabad city to set up their semiconductor and display manufacturing facility. A senior official of the state government gave this information on Monday.

In the biggest ever corporate investment in the history of independent India, a joint venture of Vedanta and Foxconn signed an MoU with the Gujarat government in September last year to invest Rs 1,54,000 crore to set up the plant in Gujarat. (MOU) was signed. State. This will be the first manufacturing facility for semiconductors in India.

At the time, the JV company did not disclose the exact location of the facility.

“After a detailed site analysis in consultation with Gujarat government officials, the joint venture unit of Vedanta and Foxconn has selected Dholera SIR to set up its semiconductor and display manufacturing facility. The project is in advanced stage of evaluation by the Government of India,” said the official.

The MoU was signed in September last year in Gandhinagar in the presence of Minister of Railways, Communications, Electronics and Information Technology, Ashwini Vaishnav.

Gujarat Chief Minister Bhupendra Patel had said on the occasion that the two companies would invest Rs 1,54,000 crore to set up the facility in Gujarat, which would create one lakh job opportunities. Patel had also said that his government would provide cooperation to set up the facility and make it a success.

Notably, Prime Minister Narendra Modi, while addressing an election rally in Bhavnagar in November ahead of the assembly elections, had given a clear indication that the mega semiconductor plant would be set up at Dholera SIR, about 100 km from Ahmedabad.

The project is likely to get huge subsidies and incentives, such as zero stamp duty on land purchase and subsidized water and electricity, under the ‘Gujarat Semiconductor Policy 2022-27’ announced by the state government in July last year.

A government official had earlier said that Gujarat has become the first state in the country to have such a dedicated policy for the semiconductor and display fabrication sector.

Under this policy, eligible projects will be given 75 percent subsidy on the purchase of first 200 acres of land for setting up a manufacturing unit. Eligible projects will be provided good quality water at the rate of Rs 12 per cubic meter for the first five years.

To encourage investors under the policy, the state government has also announced 100 per cent reimbursement of stamp duty that investors would pay for taking land on lease, sale or land transfer for the first time.

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(This story has not been edited by News18 staff and is published from a syndicated news agency feed)