Vedanta to make Apple iPhone in India, says chairman Anil Agarwal
Anil Agrawal revealed that Vedanta will manufacture the iPhone in India. See details here.
Foxconn and Vedanta have announced a $19.4 billion (Rs 1.54 lakh crore) deal to manufacture semiconductors in India. First semiconductor plant to be set up in Gujarat. “Vedanta-Foxconn’s 60:40 joint venture will set up a semiconductor factory, a display factory and a semiconductor assembly and testing unit on 1,000 acres of land in the Ahmedabad region,” the report informed. Chairman Anil Agarwal also told CNBC TV18 that Vedanta will set up a manufacturing center for Apple iPhones and TV equipment. It can also venture into the electric vehicle sector. Live Mint reports that the center is likely to be in Maharashtra. Agarwal added that it would be “kind of an advanced integration for the Gujarat joint venture”.
“The plant will start production in two years,” Agarwal said after signing the Memorandum of Understanding (MoU) with the Gujarat government on Tuesday. You may know that semiconductors are essential parts of many electronic products, from cars to mobile phones, ATMs and kitchen appliances. The semiconductor supply chain has been affected due to the outbreak of the coronavirus pandemic and hence the shortage of semiconductors has further affected many industries including electronics and automotive.
The Indian semiconductor market was valued at $27.2 billion in 2021 and is expected to grow at a healthy CAGR of nearly 19 percent to reach $64 billion in 2026. However, none of these chips are manufactured in India so far. The Indian government has introduced a fiscal stimulus scheme for semiconductor manufacturing in the country, mainly to reduce dependence on imports from nations such as Taiwan and China.
The Vedanta chairman said, “this is the biggest investment in Gujarat… ours will be the first semiconductor plant in the country”, adding that local chip manufacturing will make laptops and tablets affordable. He further informed that the Gujarat unit will produce 40,000 wafers and 60,000 panels per month initially.
Prime Minister Narendra Modi welcomed the MoU and said it would boost the economy and create jobs. “This MoU is an important step in accelerating India’s semiconductor manufacturing ambitions. The investment of ₹1.54 lakh crore will create a significant impact to boost the economy and jobs. It will also create a huge ecosystem for ancillary industries and help our MSMEs,” he tweeted.