Noida: Yamuna Expressway Industrial Development Authority (YEIDA) is planning to allot 50 acres to Bharat Semi Systems Pvt Ltd — a startup — for a semiconductor manufacturing unit in Sector 10.
This project — part of an agreement between India and the US that was part of an agreement signed between PM Modi and US President Joe Biden — aims at producing chips for national security.
According to the Indo-US joint factsheet following the meeting, Bharat Semi and 3rdiTech of India will enter into a strategic technology partnership with US Space Force for the fabrication plant, which will manufacture infrared, gallium nitride, and silicon carbide semiconductors under the Centre’s India Semiconductor Mission.
YEIDA will set the land aside for the semiconductor unit for the next one year, during which Bharat Semi Systems is expected to complete all formalities required by UP govt and YEIDA, such as signing of land lease agreement, securing environmental clearances and submitting detailed project reports.
Officials said the company planned to invest Rs 2,350 crore. Of this, Rs 800 crore will be used for necessary approvals over the next 12 months.
On July 8 this year, Bharat Semi Systems wrote to YEIDA, expressing interest to set up a semiconductor facility off Yamuna Expressway. Vinayak Dalmia, the company MD, highlighted the group’s operations in Delhi in sectors such as electronic manufacturing and electronics system design, and spoke about plans to expand to Delhi.
“We are now keen to expand our footprint by piloting our semiconductor division project in Uttar Pradesh as well. We have incorporated Bharat Semi Systems Pvt Ltd to advance our semiconductor vertical,” he wrote.
Dalmia, through the letter, sought the availability of 50 acres in Sector 10, and that it should be reserved for a year until the final approval came from the govt.
The group also outlined key infrastructure it needed for the manufacturing unit, such as water and power requirements.
According to the letter, Bharat Semi Systems will need 1.5 lakh litres of water every hour initially. This would increase to 2.5 lakh litres in the later phases.
The company also enquired about YEIDA’s plans for water recycling and zero-liquid discharge, which would be crucial for the project. The facility would require power substations providing around 50MW to support its operations. It was on Sept 30 that YEIDA CEO Arun Vir Singh responded to the group’s letter seeking land. In its reply to Bharat Semi Systems, YEIDA assured full support to the company in facilitating a smooth transition through procedural requirements and in establishing the semiconductor unit.
The Centre, meanwhile, has approved an application by Hiranandani Group’s Tarq Semiconductors Pvt Ltd to set up another semiconductor park off the expressway. The proposal will now be presented to the UP cabinet for approval. Tarq Semiconductors had filed an application under the ISM scheme in April last year.