Sanand/New Delhi: Union Minister for Electronics and Information Technology Ashwini Vaishnaw, along with Gujarat Chief Minister Bhupendra Patel, inaugurated one of India’s first end-to-end Semiconductor OSAT Pilot Line Facilities of CG Power at Sanand, Gujarat, on Thursday. The launch marks a historic milestone in India’s semiconductor journey under the vision of Prime Minister Narendra Modi.
Building India’s Semiconductor Ecosystem
Vaishnaw said the OSAT Pilot Line represents a decisive step in strengthening India’s design-to-manufacturing capabilities. Chips produced at the facility will be used for customer qualification, enabling commercial plants to scale up production with certified products.
Empowering Students with Advanced Tools
The Minister underlined that developing talent is a key pillar of the mission. By 2032, the world is expected to face a shortage of one million semiconductor professionals, creating a global opportunity for India. To address this, the government has partnered with 270 universities and equipped them with state-of-the-art semiconductor design tools.
In 2025 alone, these tools recorded over 1.2 crore usages. As a direct outcome, 20 chips designed by 17 institutions have already been fabricated at the Semi-Conductor Laboratory (SCL), Mohali. Vaishnaw said that very few countries offer such advanced access to students, and this initiative will empower youth, strengthen the technical ecosystem, and position India as a global talent hub.
State Support and Industry Collaboration
Chief Minister Bhupendra Patel lauded the facility’s launch, noting its role in making Gujarat a pivotal hub in semiconductor design and manufacturing. State Industries Minister Balwant Singh Rajput, MLA Kanhubhai Patel, and senior MeitY and CG Semi officials were also present.
CG Power Chairman Vellayan Subbiah described the facility as a “national milestone,” demonstrating how government and industry can unite to deliver on the Prime Minister’s vision. He said each chip produced here represents a step towards India’s technological sovereignty.
About CG Semi OSAT Facility
The Sanand-based CG Semi facility is among India’s first full-scale Outsourced Semiconductor Assembly and Test (OSAT) plants. It provides end-to-end services, including assembly, packaging, testing, and post-test solutions, covering both advanced and traditional technologies.
Backed by central and state support, CG Semi is investing over ₹7,600 crore to develop two world-class facilities in Sanand, G1 and G2. The G1 facility, inaugurated today, will operate at a peak capacity of 0.5 million units per day. Equipped with advanced automation, reliability labs, and high-yield equipment, it is expected to begin commercial production in 2026.
The G2 facility, located nearby, is under construction and will scale up to 14.5 million units per day once operational in late 2026. Together, the plants will generate over 5,000 jobs in the coming years.
Strengthening Atmanirbhar Bharat
CG Semi, a joint venture between CG Power and Industrial Solutions Ltd. (Murugappa Group), Renesas Electronics Corporation, and Stars Microelectronics, brings global expertise to India’s semiconductor sector. With a team of veterans holding over 1,000 years of combined experience, the company has also trained Indian engineers and technicians in Malaysia to ensure readiness for high-volume operations.
With the launch of this OSAT Pilot Line, India takes another step towards Atmanirbhar Bharat, reinforcing its position as an emerging global hub for semiconductors.
