Fujifilm Eyes New Chip Supply Deals in India as ₹800 Crore Dholera Plant Takes Shape

September 24, 2026 gouravkamboj443 0 Comments

India’s semiconductor ambitions are beginning to create opportunities beyond chip fabrication itself.

Japanese technology company Fujifilm is exploring agreements to supply specialised semiconductor chemicals and raw materials to chip manufacturers in India, as it prepares to establish a roughly ₹800 crore manufacturing facility in Dholera, Gujarat.

The latest development was reported on September 24, with Fujifilm India Managing Director Koji Wada indicating that the company sees opportunities to serve multiple semiconductor manufacturers as India’s chip ecosystem expands.

The development matters because semiconductor factories require far more than silicon wafers and expensive manufacturing equipment. They depend on extremely pure chemicals and specialised materials at almost every stage of production.

Building some of that supply chain inside India could therefore become an important part of the country’s attempt to develop a domestic semiconductor manufacturing ecosystem.

Fujifilm Looks Beyond Tata Electronics

Tata Electronics is expected to be an important initial customer for Fujifilm’s semiconductor-materials business in India.

However, Fujifilm does not appear to be designing its Indian operation around only one customer.

Wada told Business Standard that the company expects additional front-end semiconductor manufacturing facilities to emerge in India and also sees potential demand from chip-packaging companies.

That creates a potentially much larger market for materials used during chip manufacturing and packaging.

The approach suggests Fujifilm is positioning itself early for an Indian semiconductor industry that is still being built.

₹800 Crore Semiconductor Materials Plant Planned in Dholera

Fujifilm plans to invest approximately ₹800 crore, or about $83 million, in phases to establish a semiconductor-materials manufacturing facility in the Dholera Special Investment Region.

The plant is intended to improve the availability and movement of critical materials required by semiconductor manufacturers.

Fujifilm’s official announcement says the company will be among the early participants developing the semiconductor-materials ecosystem around Dholera.

The project is particularly significant because Dholera is also where Tata Electronics is constructing its major semiconductor fabrication facility.

What Will Fujifilm Manufacture in India?

Semiconductor manufacturing requires chemicals and materials with exceptionally strict purity standards.

Fujifilm’s semiconductor portfolio includes products used across different stages of chip production, including photoresists, photolithography-related materials, CMP slurries, post-CMP cleaners, thin-film materials and high-purity process chemicals.

These materials may not receive the same attention as processors or memory chips, but they are essential to manufacturing them.

For example, photoresists are light-sensitive materials used during photolithography, a process that helps transfer extremely small circuit patterns onto semiconductor wafers.

CMP-related materials are used during processes that help create extremely flat wafer surfaces as chips move through multiple manufacturing stages.

Without reliable access to such specialised inputs, operating a semiconductor fab becomes considerably more difficult.

Why Dholera Is Becoming Important for India’s Chip Industry

Dholera is emerging as one of India’s most important semiconductor manufacturing locations.

Tata Electronics is building a 300 mm semiconductor fab there with a planned investment of approximately ₹91,000 crore.

According to Tata Electronics and Fujifilm, the fab is intended to manufacture chips across 28nm to 110nm technology nodes.

Those chips could eventually serve applications including automobiles, consumer electronics, computing, data storage, wireless communications and artificial intelligence.

Fujifilm establishing a materials operation close to such a large fabrication facility could reduce the distance some critical supplies need to travel.

That proximity is especially relevant in semiconductor manufacturing, where supply reliability and material quality can be crucial.

Fujifilm Could Work With Indian Chemical Companies

Another interesting part of Fujifilm’s India strategy involves domestic chemical manufacturers.

The company and Tata Electronics have said their collaboration will support Indian chemical companies with areas such as technology, quality assurance and manufacturing-process expertise to help produce chemicals meeting semiconductor-grade requirements.

Fujifilm has separately been exploring different forms of cooperation with local chemical manufacturers.

This is important because building semiconductor fabs alone does not create a completely local chip supply chain.

Equipment, gases, chemicals, wafers, packaging materials and numerous specialised components are required around the fabrication process.

Developing local suppliers for some of those inputs could reduce dependence on overseas supply chains over time.

The Plant Is Expected to Develop in Phases

Fujifilm’s planned Indian facility is not expected to reach its complete scale immediately.

The company has described a phased investment strategy aligned with customer demand and development of India’s semiconductor industry.

The first phase is expected to concentrate on materials used in front-end semiconductor processes.

A subsequent phase is expected to expand into areas including surface-conditioning materials and high-purity chemicals. Commercial production has been targeted for fiscal 2028.

This phased approach gives Fujifilm room to expand its Indian manufacturing operation as domestic chip production grows.

India’s Semiconductor Opportunity Is Moving Beyond Fabs

Much of the public discussion around India’s semiconductor push has focused on fabrication plants.

But a functioning semiconductor industry requires a much broader ecosystem.

A fab needs reliable suppliers of chemicals, gases, manufacturing equipment, components, packaging services, logistics and highly trained workers.

That makes developments such as Fujifilm’s investment particularly relevant.

Rather than simply importing every specialised semiconductor material, the emergence of domestic production could gradually increase the amount of the semiconductor value chain located inside India.

What Happens Next?

The next important development will be whether Fujifilm converts its discussions with additional Indian semiconductor companies into formal supply agreements.

Its relationship with Tata Electronics already provides an anchor for the Dholera project, while India’s developing fabrication and packaging industry could create additional customers.

Fujifilm’s planned ₹800 crore investment is relatively small compared with the tens of thousands of crores required to build a semiconductor fab, but it addresses a different part of the challenge: supplying the highly specialised materials needed to actually manufacture chips.

If India’s semiconductor manufacturing capacity continues to expand, the companies supplying those materials could become an increasingly important part of the country’s emerging chip ecosystem