India’s Semiconductor Push Enters Next Phase; 5-6 Projects May Go Commercial by End of 2026

As per a Times of India news report, India could have five to six semiconductor projects in commercial production by the end of 2026, MeitY secretary S Krishnan said.
Three projects approved under the first phase of the India Semiconductor Mission (ISM 1.0) have already started commercial production.
The first of the three projects was inaugurated on February 28, 2026. Two more have since started production, while other projects could be inaugurated before the end of 2026.
ISM 2.0 Expands the Programme
The Union Cabinet has approved the second phase of the India Semiconductor Mission. ISM 2.0 will cover chip design, manufacturing, advanced packaging, equipment, materials, research and development, and semiconductor training.
The government also plans to support work in areas including silicon photonics and power semiconductors. Research and the use of newer technologies will form part of the programme.
Manufacturing Workforce Under Focus
India has a large semiconductor design workforce, but the manufacturing side still requires more trained personnel, Krishnan said. Developing skills for semiconductor manufacturing will therefore be part of the next phase.
The training is to address India's own requirement for manufacturing workers. Krishnan also noted that it could create a trained workforce that may be relevant to semiconductor companies in other countries.
Domestic Demand Seen at $200 Billion
India's domestic semiconductor demand is expected to reach around $200 billion, compared with $100 billion currently. This comes as the country works on building capacity across manufacturing and other areas of the industry.
The government expects the move of more projects into commercial production to show how the first phase of the semiconductor mission is progressing on the ground.
Semicon India 2026 in September
The fifth edition of Semicon India 2026 will be held on September 17 at Yashobhoomi in New Delhi. Prime Minister Narendra Modi is scheduled to inaugurate the event.
More than 240 international companies, over 150 speakers and delegations from more than 40 countries are expected. Six country-specific pavilions are also planned.
Read More: Commerce Minister Piyush Goyal to Visit Japan from August 24–27, 2026, for Trade and Investment Talks!
Conclusion
Five to six semiconductor projects may reach commercial production by the end of 2026, while ISM 2.0 expands the focus to newer areas of the industry.
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Published on: Aug 19, 2026, 2:49 PM IST

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