The India Semiconductor Association (ISA) has welcomed the Indian finance minister's decision to fully exempt raw materials used in manufacturing specified electronic components from basic customs duty.
The association observed that the decision would result in higher value addition, Business Standard reports.
In a statement, the ISA said: "The government's plan to come out with National Manufacturing Policy and increase share of manufacturing in GDP from the present level of 16 per cent to 25 per cent over a period of ten years is noteworthy."
The association added that reduction in basic customs for a few more materials used in the manufacturing of solar cells/modules to nil would correct the distortions in the duty structure.
It would also further strengthen solar PV manufacturing in India, the ISA said.
Meanwhile, International Rectifier Corporation (IR) has agreed to acquire the privately held CHiL Semiconductor Corporation.
The acquisition broadens IR's technology by adding a leading digital power management platform that improves energy efficiency in a wide variety of applications.