Mains Answer Writing - 26 Jul, 2026

GS3

Economy

15 marks

The global race for Artificial Intelligence is reshaping the semiconductor industry and increasing the cost of electronics worldwide. Examine the economic implications of rising chip prices for India. Suggest measures to strengthen India's semiconductor ecosystem.

Tips for your answer

  • Go beyond higher gadget prices. Explain how rising chip costs affect manufacturing, inflation, digital inclusion, strategic autonomy and industrial competitiveness.
  • Remember value addition like the India Semiconductor Mission, Production Linked Incentive (PLI) Scheme, Semicon India Programme, AI-driven demand for HBM and advanced chips, and trusted semiconductor supply chains.
  • Avoid treating this as only a Science & Technology issue. Frame it as an Economy question involving industrial policy, trade, supply chain resilience, technological sovereignty and India's manufacturing ambitions.

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