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India's First Large Silicon Fab by Tata Electronics and PSMC at Dholera Targeted for 2028 Wafer Production Under ₹1.275 Lakh Crore Semicon 2.0

Manufacturing Sep 19,2026

Speaking at Semicon India 2026 in New Delhi, Union Electronics and IT Minister Ashwini Vaishnaw gave a status update on India's semiconductor programme. Semicon 2.0 has an approved outlay of ₹1.275 lakh crore. It has six pillars: chip design, semiconductor machinery and materials, fabs, advanced packaging, applied research and development, and talent.

 

India's first large silicon fab is being developed by Tata Electronics and PSMC at Dholera. It is targeted to begin wafer production in 2028, and a substantial portion of its capacity is already booked. The source does not state the project's investment size.

 

Five semiconductor units under the programme have started commercial production. They are exporting and supplying Indian companies.

 

The Minister said the next phase must go beyond fabs and advanced packaging. It should add domestic manufacturing of machinery, components, chemicals and other inputs. Indian companies have begun making machine modules that were previously imported.

 

The government is also setting up precision manufacturing institutes. The first is expected to begin operations soon, and more are planned. A multi-level training programme will start with a 240-hour Level 1 course. The target of training 1 lakh technicians under Semicon 2.0 could be expanded.

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