Sanand, Gujarat, July 4: India achieved a significant milestone in its semiconductor journey as CG Semi officially commenced commercial semiconductor production at its Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat. The development marks one of the country’s first large-scale commercial semiconductor packaging and testing operations under the Government of India’s Semicon India Programme, strengthening the vision of building a self-reliant semiconductor ecosystem.
The launch is expected to enhance India’s electronics manufacturing capabilities, reduce dependence on imported semiconductor packaging services, and position the country as an emerging global hub for semiconductor production.
Major Milestone for India’s Semiconductor Mission
The Sanand OSAT facility represents an important step in India’s efforts to establish a complete semiconductor value chain—from design and fabrication to assembly, testing, marking, and packaging.
Commercial operations at the plant are expected to cater to domestic demand while also supporting global electronics and semiconductor supply chains.
State-of-the-Art OSAT Facility
The facility is equipped with advanced semiconductor packaging and testing technologies capable of serving industries such as consumer electronics, automotive, telecommunications, industrial automation, artificial intelligence, and Internet of Things (IoT).
Officials said the plant has been developed with a focus on international quality standards and high-volume manufacturing capabilities.
Boost to ‘Make in India’ and Employment
The commencement of production is expected to generate thousands of direct and indirect employment opportunities while encouraging the growth of ancillary industries, logistics, research, and semiconductor design services.
The project also aligns with flagship initiatives such as Make in India, Digital India, and Aatmanirbhar Bharat, aimed at strengthening domestic manufacturing and reducing import dependence in strategic sectors.
Strengthening India’s Electronics Ecosystem
India has been actively promoting semiconductor investments through the India Semiconductor Mission (ISM) and the Semicon India Programme, offering incentives to global and domestic companies to establish fabrication, assembly, and testing facilities.
Experts believe the operationalisation of the Sanand OSAT plant will improve supply-chain resilience, attract further foreign investment, and accelerate the development of India’s electronics manufacturing ecosystem.
Step Towards Becoming a Global Semiconductor Hub
With commercial production now underway, the CG Semi facility is expected to play a key role in supporting India’s ambition to become a trusted global destination for semiconductor manufacturing.
Industry observers say the milestone reflects growing confidence among investors and technology companies in India’s long-term semiconductor strategy and its expanding role in the global electronics supply chain.
Source: Ministry of Electronics and Information Technology (MeitY), India Semiconductor Mission (ISM)
Original Report:
https://www.meity.gov.in/
https://ism.gov.in/
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