Odisha's Semiconductor Industry to Reach Commercial Production by March 2026: Principal Secretary

RIR Power Electronics Ltd. is expected to start full-fledged commercial production of electronic chips by March 2024, according to Odisha's Principal Secretary for IT, Vishal Dev. The commencement of production is significant for the eastern Indian state. Other projects, SiCSem and 3D Glass Solutions, are expected to start production in two years. Odisha has a power surplus, adequate water resources, and the cheapest power in the country, making it an attractive location for semiconductor manufacturing. The state's semiconductor policy offers a 30% capital investment subsidy with no ceiling and recognizes skilling as a high priority sector.

Title: Odisha's Semiconductor Ambitions: A Boon for India's Electronics Sector

Odisha is making significant strides in the semiconductor industry, positioning itself as a key player in India's electronics and semiconductor journey. On the opening day of SEMICON India 2025, the Government of Odisha signed two major Memorandums of Understanding (MoUs) worth Rs. 2,655 crore. These agreements aim to attract substantial investments in the state, highlighting Odisha's strategic advantage in the semiconductor sector.

The first MoU, signed with TopTrack Hi-Tech PCB, involves an investment of Rs. 1,005 crore for an advanced printed circuit board (PCB) manufacturing facility. The second MoU, with Sancode Technologies Limited, entails a Rs. 1,650 crore facility with support from its global partners. These investments are part of Odisha's broader strategy to attract semiconductor manufacturing and foster innovation in the electronics sector.

The state's semiconductor policy offers a 30% capital investment subsidy with no ceiling, recognizing skilling as a high priority sector. This policy, along with Odisha's power surplus and adequate water resources, makes it an attractive location for semiconductor manufacturing. The state is also home to prestigious institutions like NIT Rourkela and PMEC Berhampur, which have played a crucial role in the development of India's semiconductor industry.

RIR Power Electronics Ltd. is expected to start full-fledged commercial production of electronic chips by March 2024, according to Odisha's Principal Secretary for IT, Vishal Dev. This is a significant milestone for the state, as it signals the commencement of commercial production in the semiconductor sector. Other projects, such as SiCSem and 3D Glass Solutions, are expected to start production in two years.

Odisha's semiconductor ambitions are not just limited to domestic production. The state is also engaged in high-level meetings with global semiconductor companies, including RIR Power Electronics, which briefed the Chief Minister on its upcoming SiC wafer fabrication facility. These collaborations aim to attract foreign investments and technology transfer, further bolstering Odisha's position in the global semiconductor market.

The state's commitment to becoming a powerhouse in India's electronics and semiconductor journey is evident in its policies and initiatives. The Electronics Component Manufacturing (ECM) Policy 2025 and the Odisha Semiconductor Manufacturing & Fabless Policy 2025 aim to attract investment across the electronics value chain with lucrative incentives and single-window clearances. These policies are designed to create a conducive environment for semiconductor manufacturing, ensuring that Odisha remains at the forefront of India's semiconductor revolution.

The success of Odisha's semiconductor initiatives is a testament to the state's strategic foresight and commitment to fostering innovation. As the semiconductor industry continues to grow, Odisha's role as a key player in India's electronics sector is set to become even more significant. The state's power surplus, adequate water resources, and favorable policies make it an attractive destination for semiconductor manufacturing, positioning it as a key player in the global semiconductor market.

References:
[1] https://www.tribuneindia.com/news/business/govt-of-odisha-signs-mous-worth-rs-2655-crore-at-semicon-india-2025/
[2] https://www.ainvest.com/news/tsmc-strategic-resilience-face-policy-shifts-blueprint-long-term-investment-viability-2509/