UP Semiconductor Policy 2024 — Incentive Assistance

5% interest subsidy up to ₹7 crore/unit, 75% land subsidy on the first 200 acres, and duty exemptions for fabs, ATMP/OSAT and semiconductor design units — we handle eligibility checks and filing.

The Uttar Pradesh Semiconductor Policy, 2024 is a state incentive policy for semiconductor fabrication, compound semiconductors, silicon photonics, sensors, discrete semiconductors, and assembly/testing/marking/packaging (ATMP/OSAT) operations. It is administered by the IT & Electronics Department, with UP Electronics Corporation Limited (UPECL) and Invest UP as the nodal agencies.

Projects qualified under any scheme of the Central government's India Semiconductor Mission are eligible under this policy too, with capex assistance disbursed in line with the Central benefit — the state incentives sit on top of, not instead of, the central ones.

Key incentives

Interest subsidy: 5% per annum for units with investment up to ₹200 crore, capped at ₹1 crore/year per unit for 7 years (max ₹7 crore per unit)
Land subsidy: 75% subsidy on the first 200 acres purchased from state agencies
Capital subsidy: aligned to the Central benefit under the India Semiconductor Mission
Duty exemptions: stamp duty and electricity duty exemption
Infrastructure: power and water infrastructure support

Who it's for

Fabs, compound semiconductor, silicon photonics, sensor, and discrete semiconductor units
ATMP/OSAT (assembly, testing, marking, packaging) operations
Projects that must be placed in exactly one of UP's overlapping electronics policies — this one, the Electronics Manufacturing Policy, the Electronics Component Manufacturing Policy, or the data centre/IT frameworks — not more than one

Downstream, this feeds mobile phones, consumer electronics, automotive, telecom, defence equipment, and medical devices — sectors that already have a manufacturing base in parts of the state.

How we help

The two things that trip projects up here are less about the incentive math and more about positioning: which single overlapping policy to file under, and how the pipeline gets represented to investors. We help you get both right:

Confirming whether your project qualifies under an India Semiconductor Mission scheme, or the state policy independently
Working out which one electronics policy (not multiple) your project should be filed under
Preparing your application for UPECL / Invest UP
Setting realistic expectations on timelines — official guidance is explicit that proposals shouldn't be presented as approved or operational before they are

Message us your project stage and investment size, and we'll tell you — free of charge — whether you qualify and what the next step looks like.