From Sanand to the world, India takes a decisive leap in semiconductors with CG Semi’s OSAT pilot line. Minister Vaishnaw signals scale, skills, and self-reliance at the opening.
One of India’s first end-to-end outsourced semiconductor assembly and test (OSAT) pilot line facilities was inaugurated on Thursday in Sanand, Gujarat. The facility by CG Semi is a joint venture between CG Power, Renesas Electronics, and Stars Microelectronics.
was jointly opened by the Union Minister for Electronics and Information Technology, Ashwini Vaishnaw, and the Gujarat Chief Minister, Bhupendra Patel.
In a government press release, the event was described as a milestone in the India Semiconductor Mission (ISM), launched to build a domestic ecosystem for chip design, manufacturing, and testing.
CG Semi is a joint venture between CG Power, Renesas Electronics, and Stars Microelectronics. The facility is being developed with an investment of ₹76 billion over five years.
The G1 plant, opened this week, will initially handle 0.5 million units a day. It will provide end-to-end assembly, packaging, and testing, with automation systems and in-house reliability labs. Commercial production is planned for 2026.
A second plant, G2, is under construction nearby and is expected to scale up capacity to 14.5 million units a day by the end of 2026. Together, the two sites are expected to generate more than 5000 jobs.
At the inauguration, Minister Vaishnaw stated that the Sanand site would enable the production of chips for customer qualification. Once validated, these chips would smooth the path for full-scale commercial production.
He stressed that the pilot line is among the most important achievements of the ISM, which has already cleared ten projects.
Vaishnaw also underlined the urgent need to build a skilled workforce. He noted that by 2032, the global semiconductor sector could face a shortage of one million professionals, and India has the potential to meet a large part of this demand.
To support training, he mentioned that the government has partnered with 270 universities and supplied advanced semiconductor design tools. These tools logged over 120 million uses in 2025 alone, leading to the successful fabrication of 20 chip designs from 17 institutions at the Semi-Conductor Laboratory in Mohali.
