Cabinet Clears Semiconductor Units, Cotton Plan, FRP Hike for Sugarcane & More

Sugarcane Price

• The Cabinet approved a Fair and Remunerative Price of ₹365 per quintal for sugarcane for the 2026–27 season at a base recovery rate of 10.25%.
• The approved price is about 2.81% higher than the 2025–26 season.
• Semiconductor Units 
• The Union Cabinet approved two semiconductor projects under the India Semiconductor Mission with a total investment of ₹39.36 billion, expected to generate 2,230 jobs.
• Crystal Matrix Limited will set up a compound semiconductor and Mini and Micro-LED display facility in Dholera, Gujarat, with capacity for 72,000 square metres of panels and 24,000 GaN wafer sets annually.
• Suchi Semicon Private Limited will establish an OSAT facility in Surat with capacity to produce 1,033.2 million chips annually for automotive, industrial, and consumer applications.

• The Cabinet approved Emergency Credit Line Guarantee Scheme 5.0 with ₹2.55 trillion in targeted credit flow.
• The scheme includes ₹50 billion in support for airlines.
• It offers 100% guarantee for micro, small and medium enterprises and 90% for others.

• The Cabinet approved ₹56.59 billion for the Mission for Cotton Productivity for 2026–27 to 2030–31.
• The scheme targets productivity gaps, quality concerns, and stagnation in cotton output.
• It focuses on high-yielding, climate-resilient, and pest-resistant seed development.
• It includes promotion of advanced production and crop protection technologies.
• The mission aims to strengthen the cotton value chain and farmer incomes.

• The Cabinet approved development of a ship repair facility at Vadinar, Gujarat, with an investment of ₹15.7 billion, to be implemented by Deendayal Port Authority and Cochin Shipyard Limited.
• The project includes a 650-metre jetty, two floating dry docks, and associated marine infrastructure at a brownfield site with deep draft and proximity to major ports.
• The facility will enable repair of large vessels up to 300 metres, addressing a gap in domestic capacity for ships exceeding 230 metres.
• The project aims to reduce reliance on foreign shipyards, lower foreign exchange outflows, and improve turnaround time for vessel repairs.
• It is expected to generate about 290 direct and 1,100 indirect jobs while supporting ancillary industries and aligning with Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047.

• The Cabinet approved three railway multi-tracking projects with a total investment of ₹234.37 billion to expand capacity across six states.
• The projects include Nagda–Mathura, Guntakal–Wadi, and Burhwal–Sitapur corridors, adding about 901 km to the existing rail network and covering 19 districts.
• The expansion is expected to improve operational efficiency, reduce congestion, and enhance service reliability for passenger and freight movement.
• The projects will improve connectivity for around 4,161 villages with a population of about 83 million and support access to key industrial and tourist centres.
• Additional capacity is expected to handle around 60 million tonnes of freight annually, while reducing logistics costs, fuel consumption, and carbon emissions.