R MANICKAVASAGAM
AHMEDABAD, JULY 5
“Step by step, brick by brick, chip by chip, India is building its technological future.” With this powerful declaration, Prime Minister Narendra Modi on Saturday inaugurated the CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility at Sanand, on the outskirts of Ahmedabad, positioning the project as a defining milestone in India’s quest to become a global semiconductor powerhouse and a pivotal force in the next industrial revolution.
- Prime Minister inaugurates CG Semi’s OSAT facility, declaring India’s semiconductor mission a defining pillar of Viksit Bharat and technological sovereignty
- ‘Step by step, brick by brick, chip by chip,’ India is creating a complete electronics value chain—from design and fabrication to packaging and advanced manufacturing
- Sanand emerges as India’s next semiconductor powerhouse as global partnerships, indigenous manufacturing and AI-ready talent converge in Gujarat
- Facility to manufacture 20 crore chips annually in first phase, with expansion target of 500 crore units, strengthening India’s global semiconductor footprint
- PM says Made-in-India chips will power the nation’s AI, robotics and next-generation technology revolution while creating thousands of high-skilled jobs
Calling the occasion “a landmark day for India’s semiconductor journey,” the Prime Minister said the Sanand facility represents far more than another manufacturing unit—it embodies India’s determination to build a complete semiconductor ecosystem capable of powering the world’s fastest-growing digital economy.
“Today’s event is proof that whatever India resolves to do, it firmly accomplishes. The Semicon India programme is gathering rapid momentum—step by step, brick by brick, chip by chip,” Modi declared.
He described the facility as a crucial milestone in India’s transformation from an electronics manufacturing destination into a nation capable of producing critical semiconductor components that will drive artificial intelligence, robotics, electric mobility, telecommunications and advanced computing.
“The expansion of the semiconductor industry in India did not happen overnight; it is the next step in the electronics revolution that has taken place in India over the past decade. First products, then components and now semiconductors. India is building the entire electronics value chain. This is the roadmap to Viksit Bharat. This is the next phase of Make in India,” the Prime Minister said.
The CG Semi OSAT facility, developed through a strategic partnership involving Indian, Japanese and Thai collaborators, marks India’s third major semiconductor manufacturing project to commence commercial operations under the Semicon India programme.
Commercial chip packaging has already begun, with the facility expected to manufacture 20 crore semiconductor units annually in its initial phase while targeting an expansion to 500 crore units every year.
Recalling the project’s rapid execution, Modi said the foundation stone was laid only in 2024, followed by chip testing in August 2025 before commercial production commenced this year.
“This remarkable journey from foundation stone to production is definitely the result of the immense hard work of many colleagues,” he said.
After interacting with engineers and young professionals at the facility, the Prime Minister praised their enthusiasm and confidence.
“Every young colleague I interacted with today is completely full of self-confidence,” he remarked.
Highlighting the significance of international collaboration, Modi described the venture as a model of technological trust.
“This integrated partnership is going to give entirely new momentum to India’s semiconductor journey,” he said.
Drawing parallels with globally renowned innovation hubs such as Silicon Valley, Hsinchu Science Park and Tsukuba Science City, the Prime Minister said Sanand is steadily evolving into India’s own semiconductor ecosystem where manufacturing, research, design, testing and ancillary industries will flourish together.
“This is the true power of a cluster, where one industry gives birth to ten, ultimately changing the economy of the entire region,” he observed.
The Prime Minister noted that semiconductor manufacturing represents the natural progression of India’s electronics revolution, pointing to the country’s rise from an importer of mobile phones to the world’s second-largest producer and exporter of smartphones.
He said electronics production has increased nearly seven-fold since 2014, while exports have expanded almost eleven-fold, laying the foundation for India’s semiconductor ambitions.
“Our goal is to build a complete semiconductor ecosystem in India—from chip design to fabrication and packaging,” Modi asserted.
Looking ahead, he said India is now focusing on securing critical minerals, advanced materials and resilient supply chains that will support long-term technological self-reliance.
Expressing confidence in India’s youth, Modi declared, “Our youth will power the AI, robotics and next-generation technology revolution with Made-in-India chips.”
He urged young Indians to continuously acquire new skills and embrace emerging technologies, saying the semiconductor and AI revolution will generate unprecedented opportunities in research, design, manufacturing, logistics and innovation.
In one of the most inspiring moments of his address, the Prime Minister highlighted the achievements of young women from tribal communities who are now working at the Sanand facility after receiving advanced technical training in Malaysia.
“These daughters with truly extraordinary dreams are today an integral part of the Made-in-India chip manufacturing process,” he said.
Concluding his address, Modi reaffirmed the government’s commitment to policy stability, faster reforms and ease of doing business.
“With complete commitment to ease of doing business, 140 crore Indians will definitely make the nation developed by 2047,” he said.
Industry experts believe the commissioning of the CG Semi OSAT facility significantly strengthens India’s semiconductor value chain by reducing dependence on imports, attracting global investments, creating high-value employment and positioning Gujarat at the heart of India’s ambition to emerge as a trusted global semiconductor manufacturing destination.
