PM Modi to inaugurate CG Semi OSAT facility in Sanand, Gujarat eyes leadership in semiconductor manufacturing

Gandhinagar/Ahmedabad, July 3 (IANS) Ahead of Prime Minister Narendra Modi’s visit to Gujarat on Saturday, State Science and Technology Minister Arjun Modhwadia said on Friday that the inauguration of the CG Power Semiconductor Outsourced Semiconductor Assembly and Test (OSAT) facility at Sanand marks another step in establishing Gujarat as the country’s leading semiconductor manufacturing hub.

The facility, developed with an investment of more than Rs 7,500 crore under the ‘India Semiconductor Mission’, is among the first four semiconductor projects approved by the Centre.

It will commence commercial production following its inauguration by the Prime Minister.

Speaking on the inauguration, Minister Modhwadia said India had no semiconductor manufacturing ecosystem until recent years but had since made significant progress.

“There was no semiconductor manufacturing ecosystem in India. However, due to the initiative taken by our successful Prime Minister Narendra Modi, around 12 semiconductor plants have now been approved in the country,” he added.

He said that Gujarat was at the forefront of the sector under Chief Minister Bhupendra Patel.

“Under the guidance of Chief Minister Bhupendra Patel, Gujarat is leading this semiconductor revolution. Out of these 12 plants, six are to be established in Gujarat. Among them, this is the third plant, belonging to CG Power Semicon, which will be inaugurated by Prime Minister Narendra Modi and brought into the production line,” Minister Modhwadia added.

According to the Minister, the six semiconductor projects approved for Gujarat together represent investments of about Rs 1.70 lakh crore.

He said that the Prime Minister had previously inaugurated the Micron Semiconductor and Kaynes facilities, while the CG Power OSAT plant at Sanand would become the third operational project.

Minister Modhwadia said the Tata semiconductor fabrication plant at Dholera, being developed with an investment of Rs 91,000 crore, is expected to begin production in 2027.

He added that the remaining approved projects include Crystal Matrix at Dholera and Suchi Semicon in Surat.

“In this way, an investment of Rs 1.70 lakh crore is taking place, enabling Gujarat to lead the entire sunrise sector. This is the kind of development currently taking place in Gujarat in this field. It will provide employment and livelihood opportunities to lakhs of young men and women, especially technocrats. In addition, through backward and forward integration, many more industries and plants will come to Gujarat. As a result, Gujarat will provide leadership to India in the field of technology,” he said.

The CG Semi OSAT facility at Sanand will provide end-to-end semiconductor assembly and testing services, including wafer sorting, assembly, testing, package design, failure analysis, test programme development, product characterisation and logistics support.

Once fully ramped up, it is expected to have an annual production capacity of up to five billion semiconductor chips, catering to customers in the automotive, industrial, telecommunications, 5G and Internet of Things sectors.

The project forms part of the Mission, through which the Centre is seeking to build domestic semiconductor manufacturing capabilities and strengthen India’s position in the global electronics supply chain.

Gujarat has emerged as a key destination for these investments, with multiple fabrication, assembly and packaging projects under development across Sanand, Dholera and Surat.

–IANS

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