Odisha Gets ₹3,406 Crore SiC Semiconductor Facility

Odisha has received approval for its second semiconductor unit, a silicon carbide device manufacturing facility by M/s SiCSem Private Limited, on 15 September 2026. The project involves an investment of ₹3,406.25 crore and will come up at IDCO Infovalley-II in Arisol Mouza under Jatni tehsil of Khordha district, within the Falta Special Economic Zone.

Silicon Carbide Devices

Silicon carbide is a wide bandgap semiconductor material used in high-power and high-temperature applications. SiC devices are used in electric vehicles, renewable energy systems, railways, and defence electronics because they can operate at higher voltages and temperatures than many conventional silicon-based devices.

Project Features and Capacity

The facility will manufacture SiC semiconductor devices, including SiC diodes and SiC MOSFETs. It is designed for an annual output of 4.8 million SiC diodes and 91.2 million SiC MOSFETs, and the project area covers 21.889 acres.

Approvals, Funding and Employment

The project received approval in the 217th meeting of the Unit Approval Committee on 29 August 2026. It is projected to create about 1,270 direct jobs and is proposed to be funded through a central capital subsidy of ₹700 crore, an Odisha government subsidy of ₹350 crore, and promoter contribution of ₹1,956.25 crore.

Important Facts for Exams

• Silicon carbide is a compound semiconductor made of silicon and carbon.
• SiC MOSFETs are power semiconductor switches used in high-efficiency electronic systems.
• Falta Special Economic Zone is a notified special economic zone in India.
• Net Foreign Exchange is a standard measure used in export-oriented industrial projects.

Export and Industrial Context

The facility is expected to generate an export turnover of around ₹7,043 crore in the first five years of operations. It is also projected to earn Net Foreign Exchange of approximately ₹4,523 crore during the same period.