Modi government to exempt high-tech sectors from getting BIS certification
What's the story
Commerce and Industry Minister Piyush Goyal has announced that the government is working on a framework to exempt certain sectors from Bureau of Indian Standards (BIS) certification requirements. This is a major boost to high-tech manufacturing in India. The proposed framework will especially benefit semiconductor and artificial intelligence (AI) companies looking to set up manufacturing units in India.
Minister's promise
Goyal assures Japanese firms of full support
Speaking at a roundtable on semiconductors and AI in Tokyo, Goyal assured Japanese firms of full support from both central and state governments.
He emphasized India's ambition to become a global electronics manufacturing hub and promised assistance in identifying potential partners and investors within the country.
This comes as part of India's efforts to strengthen its semiconductor ecosystem and attract global tech manufacturers/suppliers.
Exemption details
Proposed framework could provide exemptions at various levels
Goyal said he had noted the concerns raised by industry participants over BIS certification requirements.
He revealed that the Commerce Ministry and BIS have been asked to prepare a framework that would facilitate high-tech industries in bringing equipment and components into India for manufacturing.
The proposed framework could provide exemptions at the sector, company, product, or project level.
Supply assurance
Timely supplies, strategic complementarity key for cooperation
Goyal stressed on the need for timely supplies of products, goods, and services for companies setting up manufacturing in India.
He also highlighted the growing strategic complementarity between India and Japan as an opportunity to deepen cooperation in advanced technology and manufacturing.
This is a part of India's broader strategy to make it easier for high-tech industries such as semiconductors and technology firms to invest in the country.
Market potential
Domestic semiconductor demand to reach $150B by 2032
Goyal also pitched Japan's semiconductor industry to invest in India, noting that domestic demand is expected to touch $150 billion by 2032.
The government has already committed $15 billion in Semicon 2.0 and plans to invest more under the scheme.
He said this policy could attract up to $50 billion of investment into semiconductor manufacturing and related activities.