India's minister of electronics and information technology is overseeing New Delhi's $10 billion chipmaking foray said US semiconductor company Micron Technology, which is setting up a chip assembly and test facility in Gujarat, would start construction in August on the $2.75 billion project, which includes government support.

Vaishnaw said the India Semiconductor Mission spearheaded by Narendra Modi's government was also doing "extensive work" to marshal support from other supply chain partners, including suppliers of chemicals, gases and manufacturing equipment, alongside companies interested in setting up silicon wafer fabrication plants.

Chatting to the Financial Times Vaishnaw said: “This is the fastest for any country to set up a new industry. I'm not just saying a new company -- this is a new industry for the country."

He added: "Eighteen months is when we have targeted for [the first] production to come out of this factory -- that is, December of '24."

The minister's remarks set a demanding timeline for Modi's government as it strives to build up India's capacity to produce smartphones, batteries, electric vehicles and other electronics. The country's tech manufacturing sector lags behind those of East Asia's export-led economies, notably China, which began earlier and offered more subsidies to industry.