An 870-acre semiconductor hub at Naraj has pulled in roughly ₹23,600 crore in investment proposals during SEMICON India 2026. It’s a direct push to turn a mining-led state into a deep-tech manufacturing cluster.
The India Semiconductor Mission began in December 2021 with ₹76,000 crore and a 50% capex subsidy. Its second phase expands the outlay to ₹1.275 lakh crore, targeting advanced nodes and local supply-chain inputs by 2035.
Under its 2023 semiconductor policy, amended in 2024 and 2025, Odisha adds 25% capex support to the central 50% for eligible projects, taking total support up to 75%. It also covers equipment, gases and raw materials.
The Naraj site is deliberate. It sits near the Mahanadi river for water, along the Cuttack–Bhubaneswar corridor, with links to Paradip and Dhamra ports. IIT Bhubaneswar and NIT Rourkela sit nearby, creating a plug-and-play industrial zone.
Odisha is building a Silicon Carbide supply chain for EV power chips. QuadQuantum signed on for substrate wafers, RIR Power has installed epitaxial reactors in Bhubaneswar, and SiCSem is building an integrated fab in Khordha.
A 3D Glass Solutions facility with Intel will make embedded glass substrates in Bhubaneswar’s Info Valley. The ₹1,943 crore plant targets 70,000 panels and 50 million chip units yearly, with offtake interest above 100% of capacity.
At SEMICON India 2026, Odisha secured about ₹23,600 crore in proposals, expected to add over 6,100 specialised jobs. The state also aims to incubate 100–120 chip design startups and generate 5,000–6,000 high-end design jobs over seven years.
By pairing subsidies with land, water, ports and a design pipeline, Odisha is positioning itself inside two high-growth vectors: EV power electronics and AI hardware packaging. It is not just an assembly base; the goal is deep-tech capability.
Capex commitments and MoUs do not guarantee commercial fabs. Low production yields, delays, subsidy dependence and global demand cycles could hurt. Fabless startups also depend on foreign foundries, leaving them exposed to capacity queues.
Odisha’s chip hub is a serious test of whether policy, ports and niche technologies can rewrite a state’s industrial story. For the full breakdown of projects, incentives and risks, read the full article.
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