Vedanta has decided to locate its semiconductor production facility in Gujarat and has identified suitable land. According to Reuters, a formal signing of a memorandum of understanding (MoU) between the state government and the corporation is planned later this week.
The Vedanta Group intends to invest $2 billion in the semiconductor business initially, increasing to $20 billion as the project progresses. “Several state governments have approached us about offering land for the project, and we are in discussions with a number of them.” We’ll figure out where to put the unit soon. We want to test which state can build a full cluster of units.” Anil Agarwal, Vedanta chairman said
Vedanta is one of five companies that have applied for the government’s Rs 76,000-crore incentive plan for the development of the country’s semiconductor and display manufacturing ecosystem.
In truth, the corporation has submitted two proposals: one in which it has formed a joint venture with Foxconn to manufacture chips, and the second in which it has formed its own joint venture for display fabs.
Vedanta is hopeful of receiving global orders once its semiconductor manufacturing unit in India is operational. It currently manufactures fab glasses and optic fibre on a global scale, so this will not be a new venture for the corporation. “We currently create fab glasses in Japan, South Korea, and Taiwan and employ 20,000 people, so we’re in the business,” Agarwal added.
