Vedanta Foxconn Re-Submit Application To Set Up Semiconductor Plant

Vedanta Foxconn JV has re-submitted an application to set up an electronic chip manufacturing plant, the joint venture company said on Tuesday.

The company had earlier announced that the plant would be set up with an investment of around Rs 1.5 lakh crore and start making revenue by 2027.

"We have submitted the application as per the revised guidelines. We are committed to building a world-class fab in India," Vedanta Foxconn Semiconductor Ltd. said in a statement.

The company has resubmitted the application under the modified semiconductor programme.

Under the modified programme, the government has increased the fiscal incentive to 50% of the project cost for setting up semiconductor Fabs in India for any node (including mature nodes).

Similarly, a fiscal incentive of 50% of the project cost is available for setting up Display Fabs of specified technologies in India.

Earlier, the scheme offered fiscal support of 30% of capital expenditure to approved units for setting up compound semiconductors, silicon photonics, sensor fabs, and semiconductor assembly test marking and packaging facilities in India.

The company's CEO, David Reed, had earlier said that the company will make 28-nanometer and 40-nanometer wafers.

It will start at 5,000 wafers in the first part of 2027 and later scale production capacity to up to 40,000 wafers a month.