Vedanta, Foxconn to invest $19.5 bn in India’s Gujarat

Vedanta Ltd and Taiwan’s Foxconn will invest $19.5 billion (1.54 trillion rupees) under a pact signed on Tuesday to set up a semi conductor project in Gujarat, Indian Prime Minister Narendra Modi’s home state. It was first to reported on Monday that the joint venture obtained subsidies including on capital expenditure and electricity from Gujarat.

They plan to build separate units for semiconductor and display production near the western state’s largest city, Ahmedabad. Gujarat Chief Minister Bhupendrabhai Patel said the venture would create more than 100,000 jobs, and the state was prepared to extend any support to the project, which it won in a close race with India’s richest state, Maharashtra.

Gujarat Chief Minister Bhupendrabhai Patel said the venture would create more than 100,000 jobs, and the state was prepared to extend any support to the project, which it won in a close race with India’s richest state, Maharashtra.

Foxconn is acting as the technical partner, while oil-to-metals conglomerate Vedanta is financing the project as it looks to diversify into chip manufacturing. Foxconn said in a statement that the state’s infrastructure and the government’s active support “increases confidence in setting up a semiconductor factory”.

The Indian government has said it will expand incentives beyond an initial $10 billion plan for those investing in semiconductor manufacturing, as it aims to become a key player in the global supply chain for chips. (www. indianexpress.com)

Read More>>>

Author: shehan

Leave a Reply

Your email address will not be published. Required fields are marked *