New Delhi | February 26, 2026
The latest edition of the IRIS MSME Newsletter (February 26) has spotlighted the government’s Semiconductor Mission 2.0, focusing on exclusive incentives for electronics and chip manufacturing MSMEs as part of Bharat’s ambitious $1 trillion technology economy target by 2035.
The initiative is seen as a major step toward strengthening domestic semiconductor capabilities and reducing dependency on imports in the electronics and chip manufacturing ecosystem.
Semiconductor Mission 2.0: Targeted Support for MSMEs
Under Semiconductor Mission 2.0, the government aims to provide financial incentives, infrastructure support, and policy backing specifically for MSMEs operating in:
- Semiconductor fabrication
- Chip design and testing
- Electronics manufacturing services (EMS)
- Component manufacturing
The program seeks to empower small and medium enterprises to become integral contributors to Bharat’s high-tech manufacturing value chain.
Driving Bharat’s $1 Trillion Tech Vision by 2035
The semiconductor push is aligned with the broader objective of building a $1 trillion technology-driven economy by 2035. MSMEs are expected to play a crucial role in:
- Expanding domestic electronics production
- Boosting exports
- Enhancing R&D capabilities
- Generating high-skilled employment
Industry experts believe that focused incentives for chip and electronics MSMEs could accelerate Bharat’s positioning as a global semiconductor hub.
Strengthening the Electronics Ecosystem
The newsletter emphasized that strengthening the MSME segment in semiconductor manufacturing will:
- Improve supply chain resilience
- Encourage innovation in deep-tech sectors
- Attract global investment partnerships
- Support startup-led chip design initiatives
With global semiconductor demand continuing to rise, the government’s targeted approach is expected to create new growth opportunities for technology-focused MSMEs
