Semicon India Programme (ISM 1.0)

About the Scheme

The Scheme for setting up of Semiconductor Fabs in India provides fiscal support of 50% of the project cost on a pari-passu basis to the approved applicants.

Apply Application Closed

Latest

Notifications

Amendment to the Guidelines of Semiconductor manufacturing related schemes notified under the Modified Programme for Semiconductors and Display Manufacturing Ecosystem in India 08 Sep, 2025
Guidelines for Modified Scheme for setting up of Semiconductor Fabs in India 29 May, 2023
Modified Scheme for setting up of Semiconductor Fabs in India 4 October, 2022
Guidelines for Scheme for setting up of Semiconductor Fabs in India 30 December, 2021
Scheme for setting up of Semiconductor Fabs in India 21 December, 2021

More About

Semiconductor Fabs Scheme

  • Electronics permeates all sectors of the economy and the electronics industry has cross-cutting economic and strategic importance. Currently valued at around USD 2 Trillion (₹150 lakh crore), the global electronics market is expected to grow significantly given the increasing penetration of emerging technologies including 5G, IoT, Artificial Intelligence, Robotics, Smart Mobility, Smart Manufacturing, etc.
  • Semiconductors are building blocks of electronic devices. Semiconductors are used to power a vast array of electronic devices ranging from smartphones and cloud servers to modern cars, industrial automation, critical infrastructure and defence system.
  • The vision of National Policy on Electronics 2019 (NPE 2019) is to position India as a global hub for Electronics System Design and Manufacturing (ESDM) and create an enabling environment for the industry to compete globally. One of the main strategies of NPE 2019 is to facilitate setting up of semiconductor wafer fabrication facilities and its eco-system for design and fabrication of chip components.
  • In case of fiscal support being provided as equity either in part or in full, Government of India’s share will not exceed 49% of total project equity.
  • The structure and quantum of the fiscal support will be negotiated by the India Semiconductor Mission with the applicants who are selected on the basis of technological and financial evaluation of their proposals.
  • Additional financial support, if any, offered by the State Government or any of its agencies or local bodies may also be availed.
  • Expenditure Finance Committee shall determine the structure and quantum of fiscal support to be provided under the scheme in consultation with Ministry of Electronics and Information Technology and the Nodal Agency.
Objective
To attract large investments for setting up semiconductor wafer fabrication facilities in the country to strengthen the electronics manufacturing ecosystem and help establish a trusted value chain.
Eligibility
Companies / Consortia / Joint Ventures proposing to set up a Silicon CMOS based Semiconductor Fab in India for manufacturing Logic / Memory / Digital ICs / Analog ICs / Mixed Signal ICs / SoCs
Tenure of the Scheme
Support under the scheme shall be provided for a period of six years. The tenure of the actual fiscal support outflow may be extended based on the approval of the Minister of Electronics and Information Technology.

Procedure to Apply

Registration

Submission of relevant information to register with ISM and submit application

Proposal

Detailed Project Report

Payment of Fee

Application fee as per Scheme and Guidelines.

*Fee shall be inclusive of GST however the transaction charges are to be borne by the Applicant independently

Fiscal Support

The tenure of the fiscal support shall be for a period of 6 years

About the Scheme

The Scheme for setting up of Display Fabs in India provides fiscal support of 50% of the project cost on a pari-passu basis to the approved applicants.

Apply Application Closed

Latest

Notifications

Amendment to the Guidelines of Semiconductor manufacturing related schemes notified under the Modified Programme for Semiconductors and Display Manufacturing Ecosystem in India 08 Sep, 2025
Guidelines for Modified Scheme for setting up of Display Fabs in India 29 May, 2023
Modified Scheme for setting up of Display Fabs in India 4 October, 2022
Guidelines for Scheme for setting up of Display Fabs in India 30 December, 2021
Scheme for setting up of Display Fabs in India 21 December, 2021

More About

Display Fabs Scheme

  • Electronics permeates all sectors of the economy and the electronics industry has cross-cutting economic and strategic importance. Currently valued at around USD 2 Trillion (₹150 lakh crore), the global electronics market is expected to grow significantly given the increasing penetration of emerging technologies including 5G, IoT, Artificial Intelligence, Robotics, Smart Mobility, Smart Manufacturing, etc.
  • The vision of National Policy on Electronics 2019 (NPE 2019) is to position India as a global hub for Electronics System Design and Manufacturing (ESDM) and create an enabling environment for the industry to compete globally. One of the main strategies of NPE 2019 is to facilitate setting up of display fabrication facilities.
  • Expenditure Finance Committee shall determine the structure and quantum of fiscal support to be provided under the scheme in consultation with Ministry of Electronics and Information Technology and the Nodal Agency.
  • In case of fiscal support being provided as equity either in part or in full, Government of India’s share will not exceed 49% of total project equity.
  • Additional financial support, if any, offered by the State Government or any of its agencies or local bodies may also be availed.
Objective
To attract large investments for setting up semiconductor wafer fabrication facilities in the country to strengthen the electronics manufacturing ecosystem and help establish a trusted value chain.
Eligibility
Companies / Consortia / Joint Ventures proposing to set up a Silicon CMOS based Semiconductor Fabs in India for manufacturing Logic / Memory / Digital ICs / Analog ICs / Mixed Signal ICs / SoCs
Tenure of the Scheme
Support under the scheme shall be provided for a period of six years. The tenure of the actual fiscal support outflow may be extended based on the approval of the Minister of Electronics and Information Technology.

Procedure to Apply

Registration

Submission of relevant information to register with ISM and submit application

Proposal

Detailed Project Report

Payment of Fee

Application fee as per Scheme and Guidelines.

*Fee shall be inclusive of GST however the transaction charges are to be borne by the Applicant independently

Fiscal Support

The tenure of the fiscal support shall be for a period of 6 years

About the Scheme

The Scheme for setting up of Compound Semiconductors / Silicon Photonics / Sensors (including MEMS) Fabs / Discrete Semiconductors Fab and Semiconductor ATMP / OSAT facilities in India shall provides fiscal support of 50% of the of the Capital Expenditure on a pari-passu basis to the approved applicants.

Application Closed Apply

Latest

Notifications

Amendment to the Guidelines of Semiconductor manufacturing related schemes notified under the Modified Programme for Semiconductors and Display Manufacturing Ecosystem in India 08 Sep, 2025
Revised Guidelines for effective functioning of the Modified scheme for setting up of Compound Semiconductors / Silicon Photonics / Sensors Fab/ Discrete Semiconductors Fab and Semiconductor Assembly, Testing, Marking and Packaging (ATMP)/ Outsourced Semiconductor Assembly and Test (OSAT) facilities in India 30 June, 2023
Modified scheme for setting up of Compound Semiconductors 4 October, 2022
Guidelines for effective functioning of the Modified scheme for setting up of Compound Semiconductors 10 October, 2022
Scheme for setting up of Compound Semiconductors 21 December, 2021
Guidelines for effective functioning of the Scheme for setting up of Compound Semiconductors 30 December, 2021

More About

Compound Semiconductor & ATMP

  • The electronics industry is the world’s largest and fastest growing industry with applications in all sectors of the economy. Semiconductors have been a key enabler in the advancement of electronics for the past 50 years and will continue to play an even greater role with the introduction of new applications including IoT, artificial intelligence, 5G, smart cars, smart factories, data centres, robotics, etc.
  • Semiconductor manufacturing is a complex and research-intensive sector, defined by rapid changes in technology which require significant and sustained investment. In the micro-electronics industry, integrated circuits (ICs) and discrete semiconductor devices are produced in a wafer Fabrication facility, commonly known as a Fab. Semiconductors are at the heart of electronic products and constitute a significant part of the Bill of Materials (BOM).
  • The vision of National Policy on Electronics 2019 (NPE 2019) is to position India as a global hub for Electronics System Design and Manufacturing (ESDM) and create an enabling environment for the industry to compete globally. One of the main strategies of NPE 2019 is to facilitate setting up of semiconductor Fab facilities and its eco-system for design and fabrication of chips and chip components
  • Fiscal support: The scheme shall extend a fiscal support of 50% of the Capital Expenditure for setting up of Compound Semiconductors / Silicon Photonics (SiPh) / Sensors (including MEMS) Fab/ Discrete Semiconductor Fab and Semiconductor ATMP / OSAT facilities in India
  • Additional financial support, if any, offered by the State Government or any of its agencies or local bodies may also be availed. However, an applicant under this Scheme will not avail incentive under the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) under the Semiconductor Fab, Compound Semiconductors Fab and ATMP category
Objective
To attract large investments for setting up semiconductor wafer fabrication facilities in the country to strengthen the electronics manufacturing ecosystem and help establish a trusted value chain.
Eligibility
Companies / Consortia / Joint Ventures proposing to set up a Silicon CMOS based Semiconductor Fab in India for manufacturing Logic / Memory / Digital ICs / Analog ICs / Mixed Signal ICs / SoCs
Tenure of the Scheme
Support under the scheme shall be provided for a period of six years. The tenure of the actual fiscal support outflow may be extended based on the approval of the Minister of Electronics and Information Technology.

Procedure to Apply

Registration

Submission of relevant information to register with ISM and submit application

Proposal

Detailed Project Report

Payment of Fee

Application fee as per Scheme and Guidelines.

*Fee shall be inclusive of GST however the transaction charges are to be borne by the Applicant independently

Fiscal Support

The tenure of the fiscal support shall be for a period of 5-6 years

About the Scheme

The Design Linked Incentive Scheme aims to offer financial incentives as well as design infrastructure support across various stages of development and deployment of semiconductor design(s) for Integrated Circuits (ICs), Chipsets, System on Chips (SoCs), Systems & IP Cores and semiconductor linked design(s) over a period of 5 years.

Apply Application Closed

Latest

Notifications

Design Linked Incentive Scheme 21 December, 2021
Guidelines for Design Linked Incentive Scheme 30 December, 2021
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More About

Design Linked incentive Scheme

  • Semiconductors are at the heart of all electronic products and constitute a significant share in the Bill of Material (BOM). The National Policy on Electronics 2019 aims to position India as a global hub for Electronics System Design and Manufacturing (ESDM) and envisions creation of a vibrant semiconductor chip design ecosystem in the country. With an exceptional talent pool of 20% of world's semiconductor design engineers and thousands of chips designed by them every year in the country, India is poised for growth to achieve self-reliance and technology leadership in semiconductor design sector.
  • Ministry of Electronics and Information technology has announced the Design Linked Incentive Scheme to offset the disabilities in the domestic industry involved in semiconductor design in order to not only move up in value-chain but also strengthen the semiconductor chip design ecosystem in the country. CDAC is responsible for implementation of the DLI Scheme as Nodal Agency.
Objective
To attract large investments for setting up semiconductor wafer fabrication facilities in the country to strengthen the electronics manufacturing ecosystem and help establish a trusted value chain.
Eligibility
Companies / Consortia / Joint Ventures proposing to set up a Silicon CMOS based Semiconductor Fab in India for manufacturing Logic / Memory / Digital ICs / Analog ICs / Mixed Signal ICs / SoCs
Tenure of the Scheme
Support under the scheme shall be provided for a period of six years. The tenure of the actual fiscal support outflow may be extended based on the approval of the Minister of Electronics and Information Technology.

Procedure to Apply

Registration

Submission of relevant information to register with ISM and submit application

Proposal

Detailed Project Report

Payment of Fee

Application fee as per Scheme and Guidelines.

*Fee shall be inclusive of GST however the transaction charges are to be borne by the Applicant independently

Fiscal Support

The tenure of the fiscal support shall be for a period of 6 years

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Last Updated On : 17.04.2026