Odisha Pushes Full Chip Ecosystem With ₹23,600 Cr Investment Pipeline

Odisha is stepping up its semiconductor ambitions with plans for an 870-acre “Silicon Valley” at Naraj near Cuttack, alongside investment proposals worth approximately ₹23,600 crore received during SEMICON India 2026. The state government says those proposals could generate around 6,100 jobs, although a company-wise breakdown of the proposed investments has not yet been disclosed.

A key part of the strategy is a ₹452 crore National Industry Co-Development Hub on Integrated Power Electronics at IIT Bhubaneswar. The project will be jointly funded by the Ministry of Electronics and Information Technology, the Odisha government, the Anusandhan National Research Foundation and industry partners. It is intended to create industry-led centres that can move semiconductor research closer to commercial deployment.

Odisha has already approved five semiconductor manufacturing projects representing about ₹10,899 crore in cumulative investment. They span silicon carbide semiconductors, advanced packaging, glass-substrate packaging, memory-module assembly and power electronics, with the state estimating more than 4,500 direct and 16,000 indirect jobs. Two projects — SiCSem and HIPS/3DGS — have been approved under the India Semiconductor Mission.

The pipeline is widening further. QuadQuantum has signed a letter of intent for a silicon carbide substrate-wafer facility, while discussions are underway around additional glass-substrate packaging, advanced packaging and combined silicon carbide and gallium nitride manufacturing projects. RIR Power Electronics has also installed silicon carbide epitaxial-wafer reactors at its Bhubaneswar facility and is expected to begin commercial production soon.

The broader strategy is to build a cluster rather than attract isolated factories. Odisha is offering additional capital support for eligible semiconductor projects while also targeting equipment, chemicals, gases, materials, R&D and workforce development. The execution test now is whether the proposed investments translate into operating facilities — and whether research at institutions such as IIT Bhubaneswar can connect directly with manufacturers and suppliers at commercial scale.