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Semiconductor Momentum Accelerates in Dholera with New Policy Support

Semiconductor Momentum Accelerates in Dholera with New Policy Support Semiconductor manufacturing
Semiconductor Momentum Accelerates in Dholera with New Policy Support
By Tushar Patyal | Published on January 14, 2026

Dholera, GujaratDholera Special Investment Region (SIR) is emerging as a major semiconductor manufacturing hub in India following the rollout of the expanded semiconductor policy (ISM 2.0). The policy is designed to boost domestic chip manufacturing, attract global investments, and strengthen the electronics supply chain, focusing on high-tech clusters like Dholera that combine industrial infrastructure, logistics, and smart city governance.

The Tata Electronics semiconductor fabrication facility, currently under construction, is a key anchor project in the region. Alongside OSAT (Outsourced Semiconductor Assembly & Test) suppliers, the facility is set to benefit from fiscal incentives, subsidies, R&D support, and ease-of-doing-business measures introduced under ISM 2.0. Industry analysts expect these measures to accelerate production timelines, improve wafer output capacity, and enhance supply chain resilience, positioning India as a competitive player in the global semiconductor ecosystem.

Integrated infrastructure and smart governance in Dholera SIR make it particularly attractive for semiconductor firms. The city offers plug-and-play industrial zones, uninterrupted power supply, dedicated water and waste management systems, and advanced logistics connectivity including expressways and the upcoming Dholera International Airport. Officials from Dholera Industrial City Development Limited (DICDL) and National Industrial Corridor Development Corporation (NICDC) highlighted that these facilities reduce project setup time, making Dholera an ideal destination for high-tech manufacturing and allied services.

The ISM 2.0 policy also encourages research, design, and innovation in semiconductor technology, making Dholera a potential hub for R&D centers, chip design labs, and high-tech electronics startups. Global investors, particularly from Taiwan, Japan, and South Korea, are closely monitoring developments, reflecting strong confidence in Gujarat’s policy environment and infrastructure readiness.

Experts project that, with the combination of policy incentives, skilled workforce availability, and state-of-the-art industrial infrastructure, Dholera could host multiple semiconductor fabs, assembly and testing units, and supporting electronics manufacturing clusters in the next 3–5 years. The region is expected to generate thousands of high-skilled jobs, attract multinational electronics firms, and contribute significantly to India’s semiconductor self-reliance initiative.

Furthermore, the government’s focus on sustainable development ensures that these industrial expansions are environmentally responsible, incorporating energy-efficient manufacturing, renewable energy usage, and green logistics planning. Analysts suggest that Dholera SIR’s growth as a semiconductor hub will strengthen India’s position in the global chip market, reduce dependence on imports, and stimulate economic growth in the state of Gujarat.

With ongoing investor interest, infrastructure upgrades, and policy support, Dholera SIR is set to become a model semiconductor ecosystem, showcasing India’s ambition to become a global semiconductor and electronics manufacturing destination.

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