Six semiconductor projects worth ₹1.24 lakh crore to generate 50,000+ jobs in Gujarat: Govt

Gandhinagar: Under the India Semiconductor Mission, six major semiconductor projects have been approved in the state, with a combined investment of about ₹1.24 lakh crore. These projects are expected to generate over 50,000 direct and indirect employment opportunities, significantly strengthening India’s semiconductor manufacturing capabilities and accelerating the country’s journey towards self-reliance in this strategically important sector, the Gujarat Government said in a press release.

Semiconductor plants of Micron Technology, Kaynes Semicon operational in Gujarat; others to start soon

The six semiconductor projects approved in Gujarat under the India Semiconductor Mission include Tata Electronics, Micron Technology, CG Power & Industrial Solutions, Kaynes Semicon, Suchi Semicon and Crystal Matrix. Several of these projects have already made significant progress.

Micron Technology and Kaynes Semicon have established their OSAT (Outsourced Semiconductor Assembly and Test) facilities at Sanand GIDC. The Micron Technology and Kaynes Semicon plants were inaugurated by Prime Minister Narendra Modi in February and March this year, respectively, and are now fully operational. Further strengthening Gujarat’s semiconductor manufacturing ecosystem, CG Semi will begin commercial production at its OSAT facility from today, i.e., July 4.

Suchi Semicon’s OSAT pilot plant is already operational in Surat, contributing to the growth of India’s semiconductor packaging and testing capabilities. The company’s OSAT facility has also been approved under the India Semiconductor Mission.

Tata Electronics’ semiconductor fabrication (Fab) facility at Dholera is in an advanced stage of construction and is set to become India’s first commercial semiconductor foundry. Additionally, Crystal Matrix has been approved under the India Semiconductor Mission to establish the country’s first commercial mini- and micro-LED display fabrication and packaging unit. Construction of this project is expected to begin shortly at Dholera SIR.

Together, these projects position Gujarat at the forefront of India’s efforts to build a resilient and globally competitive semiconductor value chain, spanning fabrication, assembly, packaging, testing and advanced electronics manufacturing.

Semiconductor ecosystem is shaping up in Gujarat

In addition to the approved semiconductor projects, a broader semiconductor ecosystem is rapidly taking shape in Gujarat through the growth of supporting industries and allied infrastructure. Several global and domestic companies have already established operations in the state or announced plans to do so, including Linde, Taiwan’s TSMT, Japan’s TNSI, Fujifilm, Nippon Express, Germany’s Infineon Technologies, and Malaysia’s Hotayi, among others. Their presence is helping create an integrated semiconductor cluster capable of supporting large-scale fabrication and packaging work.

The Gujarat Electronics Policy, aligned with the Government of India’s SPECS (Scheme for Promotion of Electronic Components and Semiconductors), further strengthens this ecosystem by supporting the entire value chain of semiconductor and electronics manufacturing. This includes component manufacturing, semiconductor fabrication, packaging and testing facilities, as well as material suppliers, equipment providers, and manufacturers of ultra-high-purity gases and specialty chemicals required for the sector.

Notably, the Union Finance Ministry has recently approved an outlay of ₹1.25 lakh crore for ISM 2.0, which is expected to be placed before the Union Cabinet for final approval. This will further deepen India’s semiconductor capabilities and accelerate sectoral growth. DeshGujarat