Delhi Begins Drafting Semiconductor Policy

Aiming to join India’s semiconductor push, Delhi plans a policy targeting design, R&D, packaging and startups, with incentives to attract investment and build talent.

The Delhi Government has initiated work on a dedicated semiconductor policy to position the capital as a hub for chip design, research and development (R&D), and related manufacturing activities.

Chief Minister Rekha Gupta said the proposed framework is intended to ensure Delhi’s participation in India’s expanding semiconductor sector, which is increasingly seen as a critical component of the global economy.

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The policy will include a mix of financial and non-financial incentives designed to improve ease of doing business, encourage innovation and support industry-led growth.

According to officials, the draft policy will be structured around five core areas. These include semiconductor design and intellectual property development; research, development and innovation; manufacturing support activities such as assembly, testing, marking and packaging (ATMP) and outsourced semiconductor assembly and testing (OSAT); talent development and skilling; and the strengthening of startups and the broader industrial ecosystem.

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The government expects the policy to enhance Delhi’s role in higher-value segments of the semiconductor value chain, particularly in design, R&D and advanced packaging. It is also aimed at attracting investment from fabless semiconductor firms, startups and companies involved in ATMP and OSAT operations.

In addition, the framework is expected to support ancillary industries linked to semiconductor production, including those involved in testing, packaging and input materials.

Officials indicated that this could contribute to the development of a more integrated ecosystem within the region.

The Delhi government also said the policy could generate skilled employment opportunities, particularly in technology and engineering fields, as demand for semiconductor expertise continues to grow.

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Shubha Mitra
Shubha Mitra
Shubha Mitra is an Assistant Editor at EFY, keenly interested in policies and developments shaping the electronics business.

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