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India needs to gear up, has the opportunity to tap USD 500 billion Semiconductor Manufacturing Supply Chain market: IESA

Semiconductors are the heart of today’s digital (AI, 5G, quantum computing and beyond) world. In this context, IESA has released its latest report on India’s 85 Billion USD opportunity in the USD 500 Billion Semiconductor Manufacturing Supply chain comprising of Materials (Gases, Chemicals, Minerals, Equipment and Services, providing deep industry insights to drive Indian players and partner with the government for setting direction and enabling the Indian Industry to make a significant contribution to the global semiconductor manufacturing supply chain.

Semiconductor Supply Chain has become a national interest from a security and economic perspective. The ongoing disruptions in the semiconductor industry and ESDM (Electronic System Design and Manufacturing) Supply Chain have reiterated the importance of diversified and reliable resources. Consequently, national governments and big corporations worldwide are working strenuously to fortify the Semiconductor and ESDM Supply Chain. They are also adding futuristic manufacturing capabilities such as FABs and ATMPs to fuel the widespread national semiconductor independence trend creating regional chip manufacturing hubs.

The IESA Semiconductor Manufacturing Supply chain report has highlighted that semiconductor manufacturing requires a broad spectrum of inputs like wafer materials, special chemicals and gasses, processing tools, final testing materials, and packaging resources. The companies supplying these resources and ingredients are spread across the world map. Needless to say, the dynamic geopolitical landscape creates complexity for the Semiconductor manufacturing and ESDM Supply Chain.

To sustain the current accelerated market demand for semiconductors and ultra-volatile market, the growing number of semiconductor manufacturing facilities worldwide are constantly looking to diversify their supply chains. This new-age need opens tremendous opportunities for Indian industries to tap on and thrive. The Indian semiconductor industry can build materials, equipment and services capabilities, thereby making notable contributions to the global Semiconductor Manufacturing Supply Chain. By simply tapping into the wide world of semiconductors, the Indian industries can benefit from an economic, business and supply chain perspective.

To support and guide Indian industries to participate productively in the global Semiconductor Manufacturing Supply Chain, the IESA Semiconductor Manufacturing Supply chain CIG is making significant contributions. It is an industry think tank which will assess the hurdles in the Semiconductor Manufacturing Supply Chain and cull out the opportunities for the Indian market. The CIG members are industry thought-leaders and maestros from leading semiconductor companies, equipment suppliers, and service providers.

The IESA Semiconductor Manufacturing CIG met at the Bengaluru Campus of Applied materials to discuss several key topics and initiatives relevant to creating a sustained industry capability in India to service the requirements related to Semiconductor Manufacturing Materials (Chemicals, Gases, Minerals), Semiconductor Manufacturing Equipment and Services. The CIG came up with concrete plans for working with the state and central governments and the Industry in India. The idea is to create an ecosystem that can enable the Indian Industry to make significant contributions to the Global Semiconductor Manufacturing Supply Chain.

Jitendra Chaddah, Country Manager, Global Supply Chain, Intel India and Chairperson of IESA CIG on Global Semiconductor Supply Chain, said, “The Indian semiconductor manufacturing supply chain ecosystem is at a nascent stage. With the unprecedented demand for semiconductors coupled with the rapidly changing landscape of the global semiconductor ecosystem, India has an opportunity to become a critical player in the semiconductor supply chain globally. To help enable the Indian ecosystem to cater to the global demands and create value for India, a CIG has been formed with experts from the industry, government and academia who will lead the semiconductor manufacturing supply chain ecosystem development by augmenting policy support, skill development and forging global alliances. I call upon leaders from the ecosystem to join and participate in the CIG.”

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