The government has approved the Memorandum of Cooperation (MoC) signed between India and Japan in July 2023. This MoC is a significant step in strengthening collaboration between the two nations, with a specific focus on enhancing the semiconductor supply chain. Semiconductors play a vital role in advancing various industries and digital technologies, making this partnership crucial.
The MoC became effective upon its signing and will remain in force for five years. It encompasses both Government-to-Government (G2G) and Business-to-Business (B2B) cooperation to explore opportunities for reinforcing the resilient semiconductor supply chain, leveraging each other’s strengths.
This is a result of the ‘Programme for Development of Semiconductor and Display Manufacturing Ecosystem in India,’ initiated by the Ministry of Electronics and Information Technology (MEITy). The program provides financial support for establishing various semiconductor facilities, including semiconductor fabs, display fabs, fabs for compound semiconductors, silicon photonics, sensors, discrete semiconductors, and semiconductor assembly, testing, marking, and packaging (ATMP)/Outsourced Semiconductor Assembly and Test (OSAT) facilities.
In addition, the India Semiconductor Mission (ISM) under Digital India Corporation (DIC) aims to advance India’s strategies for developing the semiconductor and display manufacturing ecosystem. MEITy has a crucial role in promoting international cooperation in emerging and frontier areas of Information Technology through bilateral and regional frameworks. They have entered into various agreements with counterpart organizations and agencies from different countries to facilitate bilateral cooperation, information exchange, and the establishment of resilient supply chains.
As reported by Swarajya, building on the ongoing IJDP and India-Japan Industrial Competitiveness Partnership (IJICP), the MoC on Japan-India Semiconductor Supply Chain Partnership aims to further improve and expand cooperation within the electronics ecosystem. Recognising the critical role of semiconductors in advancing industries and digital technologies, this MoC is expected to enhance the resilience of the semiconductor supply chain.
