• Odisha is stepping up its push to become a major destination for semiconductor and electronics manufacturing with a stronger incentive package for investors.
• Under the Odisha Electronics Component Manufacturing Policy-2025, the state will provide a 35% capital subsidy for projects from the 11th project onwards.
• The first 10 large-scale projects can receive a capital subsidy of up to 50%, or investors can opt for a matching subsidy along with turnover-linked incentives and additional capital support.
• The policy also offers land allocation, rental assistance, a 10-year electricity-duty exemption and power-tariff reimbursements to eligible investors.
• Odisha’s semiconductor strategy is being backed by its Semiconductor Manufacturing & Fabless Policy, which provides additional state support alongside incentives available through the India Semiconductor Mission (ISM).
• The state has already begun building a semiconductor ecosystem, including a ₹2,000-crore silicon-carbide semiconductor project and India’s first advanced 3D semiconductor packaging facility in Bhubaneswar.
• The government expects these investments to strengthen domestic electronics manufacturing, reduce dependence on imported components and generate high-skilled employment.
• With semiconductor manufacturing, chip packaging, electronics components and chip-design initiatives developing together, Odisha is attempting to move beyond its traditional industrial base and establish itself as an eastern India technology-manufacturing hub.
