India and Singapore Forge Semiconductors Partnership

India and Singapore signed an agreement to cooperate in semiconductors, enhancing Singapore's role in the Indian market. The MoU was signed during PM Modi's visit, focusing on ecosystem development, supply chain resilience, and workforce development. Semiconductors are critical to India's business agenda, with a market expected to reach $63 billion by 2026.

The leaders of India and Singapore have entered into a significant agreement to collaborate on semiconductors, aiming to strengthen Singaporean companies' presence in the Indian supply chain market. This MoU was signed during Indian Prime Minister Narendra Modi's two-day visit to Singapore, marking his first visit since 2018.

Singapore's trade ministry highlighted the joint effort to leverage complementary strengths in the semiconductor ecosystems of both nations to build resilience in their supply chains. The partnership will involve government-led policy exchanges focusing on ecosystem development, supply chain resilience, and workforce development.

India has earmarked a $10 billion package to grow its semiconductor industry, anticipating a market worth $63 billion by 2026. In February, India approved the construction of three semiconductor plants with a combined investment of over $15 billion. Modi also engaged with Singapore Prime Minister Lawrence Wong, President Tharman Shanmugaratnam, and former premier Lee Hsien Loong, signing additional agreements on digital technologies, education, and health.

(With inputs from agencies.)