Understanding the India Semiconductor Mission

What is the India Semiconductor Mission (ISM)?

The India Semiconductor Mission (ISM) is an independent agency operating under the Digital India Corporation. Its primary focus is on enhancing India's semiconductor manufacturing and design capabilities. The mission aims to establish a sustainable semiconductor and display industry within the country.

Key Objectives of ISM

• Develop long-term strategies for semiconductor and display manufacturing.
• Build a secure and trusted semiconductor supply chain.
• Support the growth of Indian semiconductor design.
• Promote intellectual property creation, technology transfer, and economies of scale.
• Fund cutting-edge semiconductor research and collaborative efforts.

ISM's Role in the Semicon India Programme

ISM serves as the principal agency managing the Semicon India Programme. This programme is designed to provide financial incentives for investments in semiconductor and display manufacturing. ISM is responsible for reviewing applications for these incentives, aiming to attract significant industry investment.

Key Schemes under the Semicon India Programme

• Modified Scheme for Setting Up Semiconductor Fabs in India: This scheme provides financial support for establishing semiconductor fabrication facilities across the country.
• Modified Scheme for Setting Up Display Fabs in India: It offers incentives specifically targeted at display panel manufacturing.
• Modified Scheme for Setting Up Compound Semiconductor Facilities in India: This initiative supports various manufacturing plants related to semiconductor production.
• Semicon India Future Design: Design Linked Incentive (DLI) Scheme: This scheme provides financial and infrastructural support for the development of semiconductor design.

Frequently Asked Questions (FAQs)

Q1. What is the purpose of the India Semiconductor Mission?
Answer: The India Semiconductor Mission aims to enhance semiconductor manufacturing and design capabilities in India, establishing a sustainable industry and supply chain.

Q2. What kind of support does ISM provide for semiconductor design?
Answer: ISM supports the growth of semiconductor design in India through financial incentives and infrastructure development, particularly via the Design Linked Incentive scheme.

Q3. What are semiconductor fabs?
Answer: Semiconductor fabs are facilities where semiconductor devices are manufactured. The ISM provides financial support to set up these fabs in India.

Q4. How does the Semicon India Programme benefit investors?
Answer: The Semicon India Programme offers financial incentives to attract investments in semiconductor and display manufacturing, enhancing industry growth.

Q5. What role does technology transfer play in ISM?
Answer: Technology transfer is crucial for promoting innovation and efficiency within India's semiconductor industry, which ISM actively encourages through its initiatives.

UPSC Practice MCQs

Question 1: What is the main goal of the India Semiconductor Mission?
A) To reduce imports of electronic goods
B) To enhance semiconductor manufacturing and design capabilities
C) To promote local software development
D) To establish a digital currency
Correct Answer: B

Question 2: Which scheme supports the establishment of semiconductor fabrication facilities in India?
A) Display Linked Incentive Scheme
B) Modified Scheme for Setting Up Semiconductor Fabs
C) Technology Transfer Initiative
D) Semiconductor Research Fund
Correct Answer: B

Question 3: What does the Design Linked Incentive Scheme focus on?
A) Manufacturing of electronic gadgets
B) Development of semiconductor design
C) Import of semiconductor technologies
D) Promotion of digital financial services
Correct Answer: B

Question 4: What is a key objective of the India Semiconductor Mission?
A) To increase foreign exchange reserves
B) To build a secure semiconductor supply chain
C) To enhance tourism in India
D) To promote renewable energy sources
Correct Answer: B

Question 5: How does ISM support technology transfer?
A) By providing incentives for software development
B) By promoting research collaborations and IP creation
C) By reducing taxes on imports
D) By establishing foreign partnerships only
Correct Answer: B