'Semiconductor sector vital for India's strategy': Kumaraswamy clarifies misquote on US firm getting subsidy
Kumaraswamy's comments followed reports questioning the justification of investments such as the $2.5 billion semiconductor unit by US-based Micron Technology in Gujarat, potentially receiving subsidies amounting to Rs 3.2 crore per job created.
FollowHD Kumaraswamy, the Union Minister for Steel and Heavy Industries, on Saturday clarified recent statements attributed to him regarding subsidies for the US-based semiconductor giant, Micron Technology, for every job created in Gujarat. Claiming that he was misquoted, the JD(S) leader also emphasized on the strategic importance on bringing semiconductor sector in India.
"Bringing semiconductor sector in India is strategic, we require it. Parallelly, we have to create jobs for the second-line sector, our small-scale industry. We are thinking about it and working out on it. I have been misquoted. I have not mentioned any state. Why has my statement been picked up like this? I have to be very cautious in the future," the minister said.
Kumaraswamy's comments followed reports questioning the justification of investments such as the $2.5 billion semiconductor unit by US-based Micron Technology in Gujarat, potentially receiving subsidies amounting to Rs 3.2 crore per job created.
"The new manufacturing unit will generate about 5,000 jobs. For this, we are giving them $2 billion in subsidies. If you calculate, that’s 70% of the company’s total investment,” Kumaraswamy stated in Bengaluru, as reported by the Times of India.
During a live televised address to party workers, he mentioned the company's name but clarified afterward that he was not authorized to disclose this information, as reported.
According to the report, Kumaraswamy questioned officials on the justification for allocating such a substantial amount of funds.
"Conversely, there are small-scale industries... In Peenya (an industrial estate in Bengaluru), there are small-scale industries. How many lakh jobs have they created? What benefits have we provided to them? I am contemplating these matters, such as how to safeguard the nation’s wealth," he was quoted as saying.
Kumaraswamy assumed office as the Minister for Steel on June 10.
In the 2024 Lok Sabha elections, the JD(S) leader secured victory in the Mandya constituency of Karnataka, defeating Congress' Venkataramane Gowda, also known as Star Chandru. Kumaraswamy clinched the seat with a substantial margin of over 2.84 lakh votes, receiving more than 8.51 lakh votes. His closest competitor, Gowda, managed to garner 5.67 lakh votes.
