₹3,300cr semiconductor unit approved in Gujarat, can produce 60L chips/day
The Union Cabinet, led by Prime Minister Narendra Modi, has given its approval for the establishment of a Kaynes ATMP semiconductor unit in Sanand, Gujarat. The project is expected to require an investment of approximately ₹3,300 crore, as per the government's press release. The proposed facility will have the capacity to produce over 60 lakh chips daily and will be spread across a 46-acre site that has already been secured in Sanand.
Kaynes ATMP plant to cater diverse sectors
The chips manufactured at the new Kaynes ATMP facility will cater to a broad range of applications. These include sectors such as industrial, automotive, electric vehicles (EVs), consumer electronics, telecom, and mobile phones. This initiative is part of the government's broader strategy to boost India's semiconductor industry and develop a robust manufacturing ecosystem in the country.
A step toward India's semiconductor mission
The approval of the Kaynes ATMP plant is a significant move toward India's Semiconductor Mission. The government had previously announced its Programme for Development of Semiconductors and Display Manufacturing Ecosystem in India in December 2021, with a total budget of ₹76,000 crore. This program aims to strengthen the country's position in the global semiconductor market and reduce dependence on imports.
Government's ongoing efforts in semiconductor industry
The government had previously approved the establishment of a semiconductor plant in Sanand, Gujarat, in June 2023. Since then, three more units have been given the green light: a Tata Electronics unit in Dholera, Gujarat; one in Morigaon, Assam; and another by CG Power in Sanand. These facilities are expected to attract investments nearing ₹1.5 lakh crore and have a combined production capacity of about seven crore chips per day.
