Aiming for skill development, a strong supply chain, and the resolution of workforce issues, India and Singapore are set to sign a semiconductor pact during PM Narendra Modi’s visit.
India and Singapore are set to finalise an agreement on the semiconductor sector this week. The deal will be signed during Prime Minister Narendra Modi’s visit to Singapore on September 4-5. It aims to boost cooperation in talent development, facilitate knowledge exchange, and build a strong value chain.
PM Modi is also scheduled to meet with Singapore’s President Tharman Shanmugaratnam and Prime Minister Lawrence Wong at the same time.
According to sources who spoke to the Economic Times, the collaboration will also involve exchanging best practices for managing semiconductor industrial parks, known as Wafer Fab Parks in Singapore. Singapore faces constraints in land and labour, while India, with its ample land and skilled workforce, can contribute to Singapore’s semiconductor supply chain.
Moreover, universities in Singapore have created specialised courses for the semiconductor industry that might be a part of the discussion between the two countries.
In addition to the semiconductor pact, expected MoUs include agreements on skilling, health/medicine, and digital collaboration. As per reports, investment will be a key focus, with Singapore invited to invest in 12 new industrial parks in India.
As one of India’s prime foreign investors, according to ET, Singapore has contributed about 23% of its FDI equity inflows since 2000.
PM Modi’s last visit to Singapore was in 2018. Ahead of his upcoming visit, four Indian ministers participated in a ministerial roundtable in Singapore on August 26, discussing digitalisation, skills development, and healthcare with their Singaporean counterparts.
Simultaneously, India is enhancing its semiconductor partnerships globally, including with the US, Taiwan, the EU, and Japan.
Key initiatives include Purdue University’s collaboration with the India Semiconductor Mission, Tata Electronics’ partnership with Taiwan’s PSMC to establish India’s first commercial semiconductor fab in Gujarat, and an MOU with the EU under the Trade and Technology Council. India is also exploring ties with Japan to strengthen supply chains.
