New Delhi, Feb 20 (IANS): The Centre has received 5 proposals for 'Semiconductor' and 'Display Fabs' manufacturing worth $20.5 billion.

Accordingly, the proposals were received during the first round of application submission for the Centre's 'Semicon India Programme'.

Last year, the Union Cabinet approved the Semicon India Programme with an outlay of Rs 76,000 crore to ensure development of 'Semiconductor and Display' ecosystem in the country.

"India Semiconductor Mission, which has been set up as a dedicated institution for 'Semicon India Programme', has received 5 applications for Semiconductor and Display Fabs with total investment to the tune of $20.5 billion," the Ministry of Electronics & IT said.

As per the ministry, three companies -- Vedanta in JV with Foxconn; IGSS ventures PTE, Singapore; ISMC, have submitted applications for 'Semiconductor Fabs'.

"The applications have been received for setting up 28 nm to 65nm 'Semiconductor Fabs' with capacity of approx. 120,000 wafers per month and the projected investment of $13.6 billion wherein fiscal support from the Central Government is being sought for nearly $5.6 billion."

In 2020, the Indian semiconductor market stood at $15 billion and is estimated to reach $63 billion by 2026.

Besides, the ministry pointed out that two companies -- Vedanta and Elest -- have submitted applications for 'Display Fabs' with projected investment of $6.7 billion, wherein fiscal support from the Central Government is being sought for nearly $2.7 billion.

"Under the Scheme' for setting up of 'Display Fabs' in India, applications have been filed for setting up 'Gen 8.6 TFT LCD Display Fab' as well as '6th Generation Display FAB' for the manufacture of State-of-art 'AMOLED' display panels that are used in the advanced smartphones."

India's display panel market is estimated to be $7 billion and is expected to grow to $15 billion by 2025.