Vedanta Limited, along with its joint-venture (JV) partner Foxconn, have signed a memorandum of understanding (MoU) with the government of Gujarat to set up a semiconductor unit and display production plants in the state. The companies will invest Rs 1.54 trillion for establishing the facility. As per the agreement, Foxconn is acting as the technical partner, while oil-to-metals conglomerate Vedanta is financing the project.
According to the state government, Vedanta will set up a display manufacturing unit with an investment of Rs 945 billion ($19.5 billion) and separate chip-related production units by investing Rs 600 billion ($7.58 billion).
According to Prime Minister Narendra Modi, the MoU is an important step in accelerating India’s semiconductor manufacturing ambitions. It will create a huge ecosystem for ancillary industries and help micro, small and medium enterprises (MSMEs) in the country.
Meanwhile, Anil Agarwal, founder and chairman, Vedanta, said that the project would reduce the country’s electronics imports and provide 100,000 direct skilled jobs to people.
