PM  To Launch ₹3,300 Crore Kaynes Semiconductor Unit In Sanand

The development follows the launch of the Micron Technology plant earlier this year, reinforcing Sanand’s growing role in India’s chip manufacturing landscape

Prime Minister Narendra Modi is set to inaugurate Kaynes Semicon’s OSAT (Outsourced Semiconductor Assembly and Test) facility in Sanand on March 31.

The ₹3,300 crore project, approved by the Union Cabinet on September 23, 2024, under the India Semiconductor Mission, is expected to further strengthen the region’s semiconductor ecosystem.

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Highlighting the sector’s importance, the Prime Minister noted that India’s semiconductor push could mark a defining turning point for the country’s technological future. The new facility will handle chip packaging and testing before market delivery and is projected to produce around 60 lakh chips per day.

The development follows the launch of the Micron Technology plant earlier this year, reinforcing Sanand’s growing role in India’s chip manufacturing landscape. Modi had previously underlined the speed of execution, noting that while such projects typically take years globally, India completed key milestones, from signing an MoU in June 2023 to commercial production by February 2026—in just 900 days.

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Sanand, once primarily known as an automobile hub, is rapidly transforming into a semiconductor cluster. Alongside Micron Technology and Kaynes Semicon, another facility is being developed by CG Semi. The region is now positioning itself as India’s first chip packaging hub, drawing comparisons with global semiconductor centres like Hsinchu City and Gyeonggi.

Emphasising a broader vision, the Prime Minister stated that India aims to build a complete semiconductor ecosystem—from design and manufacturing to logistics. He added that the upcoming ‘India Semiconductor Mission 2.0’ will further accelerate this growth, creating significant opportunities for domestic industries as demand for materials and components rises.

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Nitisha Dubey
Nitisha Dubey
Nitisha Dubey is a journalist at EFY. She focuses on startups and innovations with a deep interest in new technologies and business models.

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