India must fast-track chip self-reliance as import bill and security risks mount, says NITI Aayog

India needs to accelerate efforts to build a domestic semiconductor ecosystem, with self-reliance in chip manufacturing becoming critical for economic resilience, national security and inclusive growth, according to a new report by NITI Aayog.

The report said that while government initiatives such as the India Semiconductor Mission are helping lay the foundation for a domestic industry, India’s semiconductor manufacturing base remains at a nascent stage. With global supply chains undergoing a major realignment, the report cautioned that the country has a narrowing window to establish itself as a meaningful player in the sector.