The state government has also approved special incentives under the Andhra Pradesh Semiconductor and Display Fab Policy.
The Andhra Pradesh Government has recently announced its first semiconductor project approved under the India Semiconductor Mission (ISM).
The newly announced facility will be ready with a total investment of ₹2,387.81 crore in two phases. The first phase will see an investment of ₹542.19 crore, while the second phase will account for ₹1,845.61 crore.
An Outsourced Semiconductor Assembly and Test (OSAT) facility proposed by Advanced System In Package Technologies Private Limited will be established at Tarluvada village in Anandapuram mandal of Visakhapatnam district.
To expedite project development, the state government has announced the allocation of 30 acres of land at a nominal rate of ₹1 per acre, citing the project’s strategic significance as Andhra Pradesh’s first semiconductor venture under the national semiconductor initiative.
This facility will provide approximately 1,000 employment opportunities, including 200 in the first phase and 800 in the second.
The state government has also approved special incentives under the Andhra Pradesh Semiconductor and Display Fab Policy (4.0) 2024-29. The incentives, capped at 40% of the project cost, will be disbursed on a pari passu basis, in line with the 50% grant support provided by the Central Government under the India Semiconductor Mission.
