Cabinet Approves INR 3,900 Crore Semiconductor Projects to Boost Chip Manufacturing
May 6 (BNP): The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved two new semiconductor manufacturing projects under the India Semiconductor Mission (India Semiconductor Mission), further strengthening India’s push towards becoming a global chip manufacturing hub.
The approved projects involve a combined investment of around ₹3,936 crore and will be set up in Gujarat, generating employment for over 2,200 skilled professionals.
One of the key projects will see Crystal Matrix Limited establish an integrated compound semiconductor facility in Dholera. The unit will focus on Mini and Micro-LED display manufacturing using advanced GaN technology, with applications ranging from televisions and commercial displays to smartphones, tablets, and emerging devices like AR/VR glasses and smartwatches.
The second project, being developed by Suchi Semicon Private Limited in Surat, will be an Outsourced Semiconductor Assembly and Test (OSAT) facility. It will produce over one billion chips annually, catering to sectors such as automotive, industrial automation, power electronics, and consumer devices.
With these approvals, the total number of projects under the India Semiconductor Mission has reached 12, with cumulative investments of around ₹1.64 lakh crore. Several projects are already under execution, with some expected to begin commercial production soon.
Officials said the latest approvals mark another step forward in building a strong domestic semiconductor ecosystem, supported by expanding chip design capabilities across academic institutions and startups in the country.
