New Delhi: US-based computer memory chip maker Micron is all set to set up its semiconductor assembly and testing plant in Gujarat for an investment of Rs 22,540 crore, the company said on Thursday.
The company will invest around Rs 6,760 crore while the remaining funds will come through the government in two phases.
“We are encouraged by the steps India is taking to develop the local semiconductor ecosystem,” said Micron’s President and CEO.
Mehrotra further said that Micron’s new assembly and testing plan in India will provide an opportunity to grow its global manufacturing base and better services its target audience in India as well as across the globe.
Micron’s Gujarat plans have been approved under the government’s revised Assembly, Testing, Marking and Packaging (ATMP) scheme.
The scheme will provide Micron 50 percent financial assistance from the Indian central government towards the total project cost, with an incentive of 20 percent of the total project cost coming through the state of Gujarat.
“Phase construction of the new assembly and test facility in Gujarat is expected to begin in 2023. Phase 1, which will include 500,000 square feet of planned cleanroom space, will be operational in late 2024,” Micron said in a statement.
The company further said, “The combined investment by Micron and the two government entities during both phases will be up to US$2.75 billion. Government support will help fund the project and facilitate access to the semiconductor infrastructure and resources needed to foster innovation and enhance local talent development.
The chip maker plans to create 15,000 community jobs as well as 5,000 new direct jobs over the next few years.
Earlier, Union IT and Telecom Minister Ashwini Vaishnav informed that Micron’s investment to set up manufacturing plant in India will give a new platform to India’s semiconductor industry by creating high-tech and manufacturing jobs.