Noida: Yamuna Expressway Industrial Development Authority (YEIDA) has allocated an alternative land parcel of 48 acres for a semiconductor project after issues over acquisition and lack of infrastructure created hurdles at the previous plot.
The new plot that was allocated to Vama Sundari Investments — a joint venture of HCL Group and Taiwanese electronics manufacturer Foxconn Hon Hai Technology India Megadevelopment — is in Sector 28, which already has the required infrastructure because of the Medical Device Park and other industries present there.
On Thursday, YEIDA issued a fresh letter of intent to Vama Sundari, offering the new plots in Sector 28. Vama Sundari — which plans to invest Rs 3,706 crore in an outsourced semiconductor assembly and test (OSAT) facility, generating close to 4,000 jobs — accepted the proposal and signed the document.
Last month, Vama Sundari requested YEIDA for a fresh letter of intent, saying that infrastructure issues at the site in Sector 10 had prevented the company from going ahead with its project.
“Considering the ongoing land acquisition and the anticipated delay in establishing the basic infrastructure in Sector 10, we understand from YEIDA that an alternate land parcel of 50 acres located in Sector 28 is being proposed in place of the original allocation at Sector 10, YEIDA. We have been informed that this alternate land parcel located in Sector 28 has mostly been acquired by YEIDA, with only a few small portions still under acquisition,” it wrote to the Authority.
Pawan Kumar Danwar, the company’s CFO and company secretary, agreed that the Sector 28 land parcel was more suitable. “We, along with our joint venture partner, visited this alternative land parcel as proposed by YEIDA in Sector 28 and found it suitable for our purpose of establishing the OSAT facility,” Danwar wrote.
YEIDA CEO Arun Vir Singh — in a response to Vama Sundari — confirmed the revised allocation on March 6. “In response to your request, we are pleased to inform you that a revised land pocket of around 48 acres is planned for your project in Sector 28,” he wrote.
In Nov 2024, UP govt approved incentives worth over Rs 8,500 crore for two semiconductor manufacturing projects in the YEIDA region, including Hiranandani’s Tarq Semiconductors and Vama Sundari. Currently, the applications of both companies are awaiting approval from the Centre. Vama Sundari, officials said, will have to submit the fresh letter of intent to the Centre to apprise them of the latest developments.