The upcoming Silicon Valley Tech Hub will be completed by 2025, aiming to generate approximately 100,000 direct jobs.
After much anticipation, state IT and Electronics Minister Babul Supriyo announced plans to introduce policies focused on Global Capability Centres (GCCs) and the semiconductor sector. These initiatives aim to attract leading technology firms by offering incentives such as full waivers on electricity and stamp duties, along with a 50 percent property tax exemption.
This strategic move follows the announcement of India’s first national security semiconductor fabrication plant in Kolkata, a collaborative effort between India and the United States. West Bengal Chief Minister Mamata Banerjee has assured full support for this project, highlighting the state’s commitment to fostering knowledge-based industries. The Bengal Silicon Valley Tech Hub, an ongoing project in New Town, Kolkata, is central to these developments. Spanning 250 acres, the hub is projected to be completed by 2025, aiming to generate approximately 100,000 direct jobs. As of 2022, the total investment in the hub stands at Rs. 1 trillion.
Global Capability Centers (GCCs) are offshore units or subsidiaries of multinational corporations in different countries that support various business functions, from IT and finance to research and development, HR, and even core operations. By centralizing these capabilities, GCCs help streamline processes, reduce costs, and enable efficient operation scaling. These centres are increasingly sophisticated, handling more than basic functions and taking on complex, high-value tasks like advanced analytics, AI development, and innovation projects.
The state cabinet in Bengal is developing these policies after analyzing the requirements for chip industries and crafting a sophisticated digital infrastructure. On the other hand, in September 2024, following discussions between Prime Minister Narendra Modi and U.S. President Joe Biden, it was announced that GlobalFoundries (GF), a leading semiconductor manufacturer, plans to establish a semiconductor fabrication plant in Kolkata. This initiative is part of a broader India-U.S. collaboration to enhance semiconductor supply chains and advance technological capabilities.
