PM Modi Says India’s Semiconductor Push Will Create Countless Jobs, Launches New Chip Facility in Gujarat
Prime Minister Narendra Modi on July 4, 2026, inaugurated the CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat, describing it as another milestone in India’s journey toward becoming a global semiconductor manufacturing hub.
During the inauguration, the Prime Minister said India’s growing semiconductor ecosystem will create countless employment opportunities, accelerate economic transformation, and strengthen the country’s ambition of becoming a Viksit Bharat by 2047.
India Building Semiconductor Clusters Across the Country
Addressing the gathering, PM Modi said semiconductor manufacturing is no longer limited to one location. Instead, multiple semiconductor clusters are taking shape across India.
According to him, the country is developing the complete electronics value chain—from product design and component manufacturing to semiconductor packaging and chip production.
He said this integrated ecosystem will help India become one of the world’s leading electronics manufacturing destinations.
CG Semi OSAT Facility Begins Commercial Production
The newly inaugurated CG Semi facility marks an important step under the India Semiconductor Mission.
Key highlights include:
- Commercial production has officially started.
- Chip testing began in August 2025.
- Foundation stone was laid in 2024.
- Facility focuses on chip assembly, packaging and testing.
- Semiconductor chips manufactured here will be exported to Japan and several international markets.
PM Modi received the first semiconductor chips produced at the plant during the inauguration ceremony.
Massive Chip Production Capacity
The Prime Minister revealed the impressive production targets of the facility.
Production Capacity
| Specification | Details |
|---|---|
| Annual Production Capacity | 20 Crore Chips |
| Future Target | 500+ Crore Chips Per Year |
| Daily Target | Around 1.5 Crore Chips |
He expressed confidence that the company would achieve these ambitious production goals step by step.
India Eyes Complete Semiconductor Ecosystem
PM Modi reiterated that the government’s objective extends far beyond chip packaging.
India aims to establish an end-to-end semiconductor ecosystem covering:
- Chip Design
- Wafer Fabrication
- Semiconductor Assembly
- Packaging
- Testing
- Electronics Manufacturing
He said the project demonstrates the success of the government’s Design in India and Make in India initiatives.
Partnership with Japan and Thailand
The semiconductor project has been developed in collaboration with technology partners from Japan and Thailand.
The Prime Minister described this international partnership as a symbol of:
- Technology
- Trust
- Global Collaboration
He added that such partnerships would significantly strengthen India’s semiconductor industry.
PM Modi Encourages Youth to Join AI Revolution
Highlighting the rapid growth of Artificial Intelligence and advanced technologies, PM Modi urged Indian youth to prepare themselves for the next technological revolution.
He said:
“Your ideas, my support.”
According to him, AI, robotics, semiconductor manufacturing, and emerging technologies will generate enormous employment opportunities in the coming years.
He encouraged students and young professionals to acquire future-ready technical skills.
Women Driving India’s Chip Manufacturing Growth
The Prime Minister also highlighted the increasing participation of women in India’s semiconductor sector.
Many women employed at the Sanand facility completed ITI training before receiving advanced semiconductor manufacturing training in Malaysia.
He described their journey as an example of India’s changing industrial landscape and growing opportunities for skilled workers.
Electronics Revolution Continues
PM Modi linked India’s semiconductor ambitions with the country’s broader manufacturing success.
He noted that India has evolved through multiple technological revolutions:
- IT Revolution
- Smartphone Manufacturing Boom
- Electronics Manufacturing Expansion
- Semiconductor Revolution
- Artificial Intelligence Era
He said India has transformed from a mobile phone importer into one of the world’s leading mobile phone manufacturers and exporters.
Ease of Doing Business Supporting Manufacturing
The Prime Minister credited government reforms and improvements in ease of doing business for attracting major investments into India’s manufacturing sector.
He encouraged industries to set ambitious production targets while assuring continued government support for innovation and industrial growth.
According to him, the semiconductor sector will play a critical role in achieving the vision of Viksit Bharat 2047.
Key Highlights
- PM Modi inaugurated CG Semi OSAT facility in Sanand, Gujarat.
- Commercial chip production has officially begun.
- Plant can produce 20 crore chips annually.
- Future production target exceeds 500 crore chips per year.
- Chips will be exported to Japan and other international markets.
- India aims to build a complete semiconductor ecosystem.
- Youth encouraged to prepare for AI and semiconductor careers.
- Women technicians trained abroad are now contributing to India’s chip industry.
- Semiconductor Mission expected to generate thousands of high-skilled jobs.
- Project supports the vision of Viksit Bharat 2047.
