Gujarat:PM Modi inaugurates the CG Semi OSAT facility in Sanand

Prime Minister Narendra Modi on Saturday launched commercial semiconductor chip production at CG Semi's Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat, marking a significant milestone in India's efforts to build a domestic semiconductor manufacturing ecosystem under the India Semiconductor Mission.
Developed by CG Semi Pvt. Ltd., a subsidiary of CG Power and Industrial Solutions Ltd., the facility has been established with an investment of more than Rs7,600 crore over five years in partnership with Japan's Renesas Electronics and Thailand's Stars Microelectronics.The launch marks the transition of the Sanand plant from the commissioning stage to full commercial operations. The facility has already begun exporting assembled semiconductor chips to Malaysia to serve customers of its joint venture partner, Renesas Electronics, making it among the first commercial semiconductor package exports from India's emerging OSAT industry.
Prime Minister Modi toured the manufacturing facility and interacted with engineers during the inauguration ceremony. Gujarat Chief Minister Bhupendra Patel and Union Electronics and IT Minister Ashwini Vaishnaw were also present.The state-of-the-art OSAT facility is equipped to undertake semiconductor chip assembly, packaging, testing and post-test services. It will manufacture both conventional and advanced semiconductor packages for applications across artificial intelligence (AI), automotive, telecommunications, 5G, Internet of Things (IoT), industrial equipment, power management and consumer electronics.

LIVE: PM Modi inaugurates the CG Semi OSAT facility in Sanand, Gujarat https://t.co/dPHI5OPncb

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According to officials, the project is expected to strengthen India's position in the global semiconductor value chain while supporting the country's vision of becoming a global technology and manufacturing hub.The operational Sanand facility is one of India's first full-scale OSAT plants and is designed to manufacture up to five billion semiconductor chips annually. A second CG Semi facility, currently under construction in Sanand, is expected to be completed by the end of 2026. Once both plants are operational, their combined production capacity is projected to reach around 15 million chips per day.The expansion is also expected to generate around 5,000 direct and indirect employment opportunities over the next five years.

(State Correspondent)