IT Minister Inaugurates First Semiconductor OSAT Pilot Line Facility in Gujarat

Sanand: Union Minister of Electronics and Information Technology Ashwini Vaishnaw, along with Gujarat Chief Minister Bhupendra Patel, inaugurated one of India’s first end-to-end Semiconductor OSAT (Outsourced Semiconductor Assembly and Test) Pilot Line Facilities at Sanand on 28 August.

Developed by CG Power, the facility marks a landmark step in India’s semiconductor journey under the leadership of Prime Minister Narendra Modi.

Calling it a “historic milestone” for the India Semiconductor Mission (ISM), Vaishnaw said the pilot line will enable chips manufactured at the unit to undergo customer qualification, paving the way for commercial plants to scale up production.

He noted that the ISM has already cleared ten projects and emphasised that the OSAT pilot line is among its most significant achievements.

The Minister highlighted the government’s push to build a global semiconductor talent pool, noting that the world could face a shortage of one million professionals by 2032. India, he said, is positioned to bridge this gap, having partnered with 270 universities and provided advanced semiconductor design tools that were used over 1.2 crore times in 2025 alone.

Already, 20 chips designed by 17 institutions have been fabricated at the Semi-conductor Laboratory (SCL) in Mohali.

Vaishnaw praised Gujarat’s role in fostering this ecosystem, while CM Patel described the Sanand facility as a major step in positioning India as a leader in chip design and manufacturing.

CG Semi is investing over Rs 7,600 crore across two facilities in Sanand. The newly inaugurated G1 unit will initially operate with a peak capacity of 0.5 million units per day, offering full-scale chip assembly, packaging, testing, and post-test services.

Commercial production is expected to begin in 2026 after customer qualification runs. The upcoming G2 facility, located nearby, is slated to be completed by late 2026 and will scale capacity to 14.5 million units per day. Together, the plants are projected to generate more than 5,000 jobs.

CG Power Chairman Vellayan Subbiah called the project a “national milestone,” crediting government-industry collaboration for advancing India’s technological sovereignty. With trained Indian engineers and cutting-edge infrastructure, the Sanand facilities are expected to bolster the Atmanirbhar Bharat vision and strengthen India’s role in the global semiconductor supply chain.

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