Never before from the point of development of technology, penetration by intelligent devices, 5G, artificial intelligence, and electric vehicles has the industry experienced this kind of unprecedented growth within the semiconductor industry. In this global scenario, there’s a mad rush by nations and corporations worldwide to get a share of this gold rush, and India is well positioned to take a prime spot in establishing its presence and viability in semiconductor manufacturing. Among the rising hubs, Dholera Smart City, Gujarat was considered to be a good contender, and Mirrikh Infratech has played a vital role in the development process.
This report discovers why Dholera Smart City is on the verge of becoming the next semiconductor hub and in what manner Mirrikh Infratech plans to take advantage of this emerging hub by providing world-class infrastructure and support to worldwide giants of semiconductors.
The Global Semiconductor Industry
Semiconductors form the basis of modern electronics. From a cellphone to a laptop, automobiles, and medical devices, these small chips have powered a wide array of devices that are very much integral to everyday life. As such, the global semiconductor industry will be approximately $556 billion by 2021 and is expected to grow beyond one trillion dollars by 2030 with demand in the areas of consumer electronics, automotive, and telecommunications.
However, the industry faces a few challenges:
Supply Chain Bottlenecks: Apart from the already posed supply chain bottlenecks by the COVID-19 pandemic, a significant number of vulnerabilities in the process have been found where most of the chip manufacturing processes occur through a few key countries.
Geopolitical Tensions: On the other hand, trade disputes between several countries have only depicted the paradigm of having diversified sources for the locations of semiconductor chip manufacturing.
Technological Advancement: The technologies of 5G and AI are rapidly increasing at present. This increases the demand for the latest semiconductors in this era.
Vision of India for Semiconductor Manufacturing
Considering the potential of semiconductors for transforming its economy, India has ventured into a dreamy journey to transform into one of the world’s major semiconductor manufacturing hubs. The Indian government, under the “Make in India” initiative and the PLI scheme specific to large-scale electronics manufacturing, has proposed billions of dollars in incentives to encourage companies to establish semiconductor fabs in India.
India holds the strategic advantage in:
Youthful and well-skilled labour: On average, it supplies engineers to the job market yearly, and therefore, India can rely on its talent to offer support for semiconductor manufacturing.
Domestic large market: The expansion of India’s digital and technological industries increases the domestic demand for semiconductors.
Good policies: The proactive method that the government is taking to provide financial and policy support to develop infrastructure makes it an attractive destination for global semiconductor companies.
Why Dholera Smart City?
Dholera Smart City, in the state of Gujarat, is the first Greenfield smart city initiative of the country for the combination of the latest infrastructure and smart technologies for sustainable growth. There are many reasons why Dholera is perfectly situated to become India’s next semiconductor hub.
1. Strategic Location and Connectivity
Dholera’s location is close to major cities, ports, and airports, which makes it an ideal site for logistics and supply chains. Highways connect this city, and an international airport is under construction. In addition, Dholera’s location in Gujarat is known for its business-friendly policies, which provide quick access to the domestic and international markets for the movement of raw materials as well as finished semiconductor products.
2. World Class Infrastructure
The infrastructure in Dholera has been designed and developed carefully to cater to the needs of industries, particularly high-tech ones, such as the semiconductor sector. All the amenities of a world-class city, for example, power and water supply, high-speed internet connectivity, and green energy supplies are to be made available in the smart city. It will have ready-to-use industrial land and pre-built industrial sheds that facilitate the quick setup of semiconductor companies.
3. Tech-Driven Ecosystem
Dholera is a smart city with technology embedded in every single level of its infrastructure, starting right from transport to utilities. For the semiconductor industry, access to such a tech-driven environment is critical for testing and developing new technologies. The in-place research centres, education institutions, and innovation hubs create a collaborative environment that fosters semiconductor startups, propels innovation, and adds true value.
4. Government Support and Incentives
The Government of Gujarat has been proactive in giving lucrative incentives to businesses willing to set up operations at Dholera. The SIR Act gives tax exemptions and subsidies with simplified regulatory processes for companies, especially those related to high-tech industries such as semiconductors. This infrastructure development as well as the industry-friendly policies of the government make Dholera an attractive FDI destination.
5. Sustainability
The semiconductor industry is power-intensive, and Dholera so happens to be at the cutting edge of developing sustainable energy solutions. The sources are solar and wind, which are vital for Dholara in this regard because they lessen the footprint that semiconductor manufacturing creates on the environment. Green energy focus so happens to be aligned with the burgeoning importance of sustainability in global corporations and their operations.
Role of Mirrikh Infratech in Semiconductor Ambitions of Dholera
Mirrikh Infratech is uniquely well-positioned to play a vital role in the Dholera Smart City journey that would take it towards becoming a Semiconductor hub. With the expertise in building infrastructure, the company is ready to lay down the foundation of semiconductor manufacturing in Dholera. Our vision fundamentally aligns with India’s larger ambition to be the world leader in the production of semiconductors, and we firmly commit to building a world-class infrastructure that would attract multinational corporations to this region.
1.Semiconductor-Friendly Industrial Zones
In particular, Mirrikh Infratech concentrates on semiconductor-friendly industrial zones that cater to the special needs of FABs. Such specific requirements include clean rooms, controlled environments, and special industrial buildings that facilitate the production, testing, and assembly of chips. Our infrastructure is, therefore, designed in international standards, which puts Dholera on equal footing with global semiconductor campuses.
2. Partnership with International Players in the Semiconductors Industry
We would be keen to partner with global semiconductor majors and offer them the infrastructure and enablement that they would need to establish their presence within Dholera. Through such facilitation, we could pace up the development of a semiconductor ecosystem in the city, which is sure to benefit Dholera but also be on course for India’s vision of being self-sufficient in semiconductor production.
3. Sustainability and Innovation
Sustainability would be at the core of the infrastructure development of Mirrikh Infratech. Concentrating on renewable sources of energy, efficient waste management systems, and adopting environmentally friendly practices should help bring down carbon footprint among semiconductor companies. We are planning innovation hubs in Dholera to promote research and development in semiconductor fields. By fostering an innovative culture, we strive to have an ecosystem that thrives with talent and fosters technological advancement.
4. Infrastructure for the Supply Chain
The infrastructure of logistics and warehousing would be so designed to be efficient, catering to the entire semiconductor supply chain from raw material imports to exports of the product. Seamless connectivity with sophisticated logistics facilities will make Dholera a critical node of the global semiconductor supply chain.
Challenges and the Way Forward
Despite this golden opportunity offered by Dholera Smart City, it comes with a package of challenges to be overcome to turn this dream project into a semiconductor hub. Some of them are the following:
Skilled workforce: India does have a huge talent pool, but given the highly specialized training in semiconductor manufacturing, considerable skilled centres may be developed in collaboration with global semiconductor firms.
Technological Expertise: High technical competence in manufacturing semiconductors It would require entering alliances with multinational firms in the same field, to transfer knowledge and best practices.
Investment and Infrastructure: High investment and very specialized infrastructure are required for semiconductor fabs. Although Dholera provides ready industrial land, continuous investments in infra and technology are required.
Conclusion: Bright Future for Dholera and Mirrikh Infratech
With the expansion, the global semiconductor industry is poised for Dholera Smart City to emerge as a key location for the manufacturing of semiconductors. Being strategically located, and possessing world-class infrastructure, government support, and sustainability initiatives, Dholera offers a unique opportunity for global firms in semiconductors to set up shop in India.
Mirrikh Infratech, the infrastructure development company with a strong intent on innovation, is ready to play a pivotal role in shaping Dholera’s semiconductor ecosystem. Creating semiconductor-friendly industrial zones, and fostering global partnerships while advancing sustainability, we are committed to transforming Dholera into India’s future technological centre.