In a significant move, the Union Cabinet of India approved a memorandum of cooperation (MoC) between India and Japan aimed at bolstering the semiconductor supply chain. This partnership, signed in July, underscores the strategic importance of semiconductors in advancing industries and digital technologies.
Enhancing Cooperation for Five Years:
The MoC, set to be in effect for five years from the date of its signing, seeks to strengthen collaboration between India and Japan in the semiconductor domain. Recognizing the pivotal role of semiconductors, both nations are committed to fostering technological advancements in various industries.
Building on the India-Japan Digital Partnership:
The roots of collaboration in the semiconductor sector between India and Japan trace back to the India-Japan Digital Partnership (IJDP), initiated during Prime Minister Modi’s visit to Japan in October 2018. The IJDP aimed at fostering cooperation in digital ICT technologies, creating synergies and complementarities between the two nations.
Comprehensive Cooperation:
The current MoC on the Japan-India Semiconductor Supply Chain Partnership adds another layer to the existing collaboration, which includes the IJDP and India-Japan Industrial Competitiveness Partnership (IJICP). This comprehensive approach is poised to deepen cooperation in the electronics ecosystem, strengthening ties in semiconductor development.
India’s Push for Indigenous Electronics Manufacturing:
In line with the partnership, the Indian government, through the Ministry of Electronics and Information Technology, is actively working towards establishing an indigenous electronics manufacturing ecosystem. The Programme for Development of Semiconductor and Display Manufacturing Ecosystem has been introduced to provide fiscal support for various semiconductor facilities, including Semiconductor Fabs, Display Fabs, and more.
India Semiconductor Mission (ISM):
Under the Digital India Corporation (DIC), the India Semiconductor Mission (ISM) has been established to drive the country’s strategies for the development of the semiconductor and display manufacturing ecosystem. This initiative reflects India’s commitment to achieving self-sufficiency in semiconductor production.
Conclusion:
The India-Japan partnership in the semiconductor supply chain marks a significant stride towards technological collaboration and self-reliance. As both nations join forces to advance their semiconductor capabilities, this alliance is poised to have far-reaching effects on the electronics ecosystem, contributing to the growth and innovation of industries in the digital age. The memorandum of cooperation, coupled with India’s proactive measures for indigenous electronics manufacturing, sets the stage for a promising future in semiconductor development and technological self-sufficiency.
