On India's Semiconductor Aspirations, Ashwini Vaishnaw's Progress Report

India's semiconductor ambitions have moved from aspiration to execution, but the next phase will require a deeper manufacturing ecosystem, more investment and the ability to compete globally, Union Minister Ashwini Vaishnaw told NDTV in an exclusive interview.

Speaking with NDTV's Padmaja Joshi at Semicon India in New Delhi, Vaishnaw said India had moved beyond its earlier ambitions and was now gaining confidence from the execution of projects on the ground. Vaishnaw recalled the observations of a chief executive officer (CEO) who had visited India for the first time two years earlier, when the country was viewed as a place to develop a semiconductor industry.

"I will start with what one of the CEOs said. When he came here for the first time, he came here thinking that, yes, this is a country which has an intention to develop the semiconductor industry. And in just two years from the first visit, he is looking at execution which has happened. Five plants already doing commercial production out of the 12 plants which we approved in the Semicon 1.0. A lot of ecosystem partners are coming here already. There is very good progress on the talent development," he said. 

The minister pointed to the training of 70,000 design engineers as another indicator of the progress made during the first phase. He said the scale of the developments had helped build confidence within the international semiconductor industry.

"The magnitude that we have seen in the first phase of the Semicon gives the entire world the confidence that India is ready to be a major player in the semiconductor industry. And that's not just one person or two persons. The entire semiconductor industry who have visited. The difference from, let's say, the four years before when we started this entire programme to now is from dreams or aspirations to intention to confidence. That change we have seen in the last few years," Vaishnaw told NDTV. 

The minister said that the Semicon event featured 600 exhibits and pavilions, with countries including Singapore, Japan and South Korea participating in large numbers. 

"This magnitude you will not find in many countries. Maybe in Japan or South Korea or China you will find similar but no other country would find this kind of value chain that is present here today," Vaishnaw said.

According to the minister, the feedback from the industry had been positive because companies believed the government had delivered on its commitments. He referred to what one participant had described as a high "say-do ratio", meaning that the government's execution had matched or exceeded its promises.

"The feedback is very positive. People believe that whatever we said, we have delivered. So somebody was saying the say-do ratio is very high. More has been done than what we actually promised in Semicon 1.0. So that is what gives confidence. But frankly, I believe, that this is just the foundation," Vaishnaw said.