Archean Chemical Industries Limited’s step-down subsidiary, SiCSem Private Limited, has officially executed a Fiscal Support Agreement (FSA) with the India Semiconductor Mission. This milestone advances the establishment of India’s first Silicon Carbide (SiC) based compound semiconductor fabrication and ATMP facility in Bhubaneswar, Odisha. Representing an investment of Rs. 2,067 crore, the facility aims to produce 60,000 SiC wafers and 96 million SiC MOSFETs annually to power sectors like EVs, 5G, and renewable energy.
Advancing Semiconductor Manufacturing
On May 11, 2026, SiCSem Private Limited, a step-down subsidiary of Archean Chemical Industries, formally signed a Fiscal Support Agreement with the India Semiconductor Mission. This agreement operationalizes the government’s capital expenditure support framework, clearing the path for the development of a high-tech facility in Info Valley, Bhubaneswar.
Project Scale and Strategic Impact
The proposed manufacturing site is set to become a cornerstone of India’s semiconductor strategy, with a total project investment estimated at Rs. 2,067 crore. The facility will be equipped to provide end-to-end production capabilities, including both wafer fabrication and advanced packaging. Upon completion, it will target an annual production capacity of ~60,000 SiC wafers and ~96 million SiC MOSFETs and diodes.
Driving Innovation Across Critical Sectors
The facility is designed to support high-growth technological sectors that are central to the future of the Indian economy. Key industries set to benefit from this local production include Electric Vehicles (EVs), Renewable Energy, Smart Grids, 5G networks, Industrial Automation, and Data Centres.
Road to Execution
This agreement follows an earlier approval received from the India Semiconductor Mission on August 12, 2025. To ensure project momentum, Archean Chemical Industries previously extended inter-corporate funding to its subsidiary, Neun Infra Private Limited, to facilitate the procurement of long-lead machinery and equipment required for the facility’s construction.
Source: BSE
