In the digital age, where technology is the driving force behind economic growth and societal progress, the role of semiconductors cannot be overstated. These materials, with their unique ability to control and manage electric currents, form the backbone of electronic devices that permeate our daily lives. As the global demand for semiconductors continues to surge, it becomes imperative for regions to tap into this lucrative industry. Assam and Northeast India, with their rich resources and the recent introduction of the Assam Electronics (Semi-Conductor, etc.) Policy, 2023, stands at the threshold of a transformative opportunity.
Current Scenario: Global and Indian Perspective:
Semiconductors are omnipresent, powering everything from consumer electronics to critical infrastructure. In the global landscape, the semiconductor industry is witnessing unprecedented demand, primarily driven by the surge in consumer electronics, embedded systems, and the growing importance of semiconductors in emerging technologies like self-driving cars and renewable energy systems.
In India, the government recognises the strategic importance of the semiconductor industry and has taken steps to bolster its presence. However, challenges such as the reliance on imports and the need for indigenous manufacturing capabilities persist. The recent approval of the Assam Electronics (Semi-Conductor, etc.) Policy, 2023, marks a significant stride in addressing these challenges and positioning Assam as a key player in semiconductor manufacturing.
Future Opportunities in India:
The semiconductor industry presents immense opportunities for India's economic growth and technological self-reliance. The ambitious targets set by the Assam Electronics Policy aim to establish the state as a vibrant hub for semiconductor manufacturing and electronics production. By attracting semiconductor fabrication and design investments, the policy envisions a reversal of brain drain, export growth, and revenue generation.
The emphasis on ecosystem development and market resilience aligns with India's broader goal of fostering a robust electronics manufacturing sector. The semiconductor industry's ripple effect on job creation, skill development, and technology innovation can contribute significantly to India's vision of becoming a global manufacturing powerhouse.
Government Policy & Scope in Assam :
The Assam Electronics (Semi-Conductor, etc.) Policy, 2023, is a well-crafted initiative that recognizes the potential of the semiconductor industry in transforming Assam's industrial landscape. The eligibility criteria set for semiconductor-related ventures, including Compound Semi-Conductors, Silicon Photonics Sensors Fab, and Semiconductor Assembly, Testing, Marking, and Packaging facilities, demonstrate a forward-looking approach.
The policy's incentives play a crucial role in attracting investments. The provision of an additional 40 per cent of capital expenditure assistance by the Government of Assam, along with incentives such as SGST reimbursement, payoff assistance, and land-related benefits, enhances the state's competitiveness. These incentives, coupled with existing schemes under IIPA 2019, create a conducive environment for semiconductor manufacturing in Assam.
How Assam and Northeast India Can Benefit:
Assam and Northeast India, with their strategic location and abundant resources, are poised to emerge as significant players in the semiconductor industry. The region's skilled workforce and the government's proactive policies create an ideal setting for semiconductor companies to establish manufacturing units.
The semiconductor industry's growth in Assam can have a cascading effect on the entire Northeast region. The creation of job opportunities, skill development, and infrastructure development will contribute to the overall socio-economic development of the region. Additionally, the semiconductor industry can act as a catalyst for technology transfer and collaborations, fostering a culture of innovation in Assam and Northeast India.
Conclusion:
As we stand on the cusp of a digital revolution, the importance of semiconductor materials cannot be overstated. The global demand for semiconductors presents an unprecedented opportunity for Assam and Northeast India to position themselves as key contributors to this vital industry. The Assam Electronics (Semi-Conductor, etc.) Policy, 2023, sets the stage for realizing this potential, providing a roadmap for industrial growth, job creation, and technological advancement. By leveraging their strengths and embracing the semiconductor revolution, Assam and Northeast India can pave the way for a brighter, technologically empowered future.
(The author is a Entrepreneurship & Industry Activist. All views and opinion expressed in the opinion are author's own)
