Whalesbook
Key Suppliers Emerge for India's Chip Drive
The Indian government's drive for semiconductor self-reliance, spearheaded by the India Semiconductor Mission, is rapidly developing. Beyond substantial investments in fabrication plants (fabs), a complex network of raw material suppliers, chemical makers, and gas providers is vital for its success. Three companies are finding key roles to support this ₹10 lakh crore ambition:
Acutaas Chemicals: Photoresist Leader for Chipmaking
Acutaas Chemicals is growing its role as a key supplier for semiconductor manufacturing inputs. Its subsidiary, Baba Fine Chemicals, is India's sole producer of semiconductor-grade photoresist chemicals. These ultra-pure substances are essential for chip manufacturing's photolithography steps. Acutaas is also expanding its semiconductor work through its joint venture, Indichem, with South Korea's J & Materials. This venture is investing ₹130-140 crore to supply advanced semiconductor chemicals to key Asian markets. The company reported strong growth, with FY26 revenue reaching ₹1,339 crore (a 33% year-on-year increase) and net profit soaring 122% to ₹356 crore.
Archean Chemicals: Silicon Carbide for Green Tech
Archean Chemicals, a leader in specialty marine chemicals, is investing heavily in silicon carbide (SiC) power devices through its subsidiary, SiCSem Private. This facility in Odisha will produce SiC power devices and MOSFETs, key components in electric vehicles, renewable energy systems, and data centers. Archean's strategic investment in the UK-based Clas-SiC Wafer Fab grants it access to advanced SiC technology. While its recent financials show mixed results with a 15% EBITDA dip to ₹217 crore in 9MFY26, its focus on these high-growth semiconductor applications makes it a key player in India's move towards technological independence.
Stallion India: Supplying High-Purity Gases
Stallion India, a manufacturer of refrigerants and industrial gases, is entering the high-purity gas market, including liquid helium, which is critical for semiconductor manufacturing. The company is expanding its facilities in Khalapur and Mambattu to meet this demand, targeting a 1,200 metric ton annual processing capacity for liquid helium. Strategic partnerships with international firms for technology and sourcing aim to build a robust supply chain. Stallion India's revenue grew 42% year-on-year to ₹321 crore in 9MFY26, with net profit surging 63% to ₹31 crore. Its expansion into high-margin semiconductor gases is expected to greatly boost its profits.
Execution is Key
Achieving this substantial market opportunity depends on strong execution. Companies must add capacity on time, win clients, and manage complex global supply chains. Investors are watching these firms as they pursue ambitious growth within India's expanding semiconductor sector.