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DEFENCE INDUSTRYTECHNOLOGY

Prime Minister Narendra Modi inaugurates the CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat

  • A landmark day for India’s semiconductor journey; the CG SEMI OSAT facility in Sanand will strengthen the chip manufacturing ecosystem, boost technological self-reliance and enhance India’s position in the global semiconductor value chain: PM

  • The Semicon India programme is gathering rapid momentum; Step by step, Brick by brick, Chip by chip: PM

  • The expansion of the semiconductor industry in India did not happen overnight; it is the next step in the electronics revolution that has taken place in India over the past decade: PM

  • First products, then components and now semiconductors; India is building the entire electronics value chain, This is the roadmap to Viksit Bharat, This is the next phase of Make in India: PM

  • Our goal is to build a complete semiconductor ecosystem in India, from chip design to fabrication and packaging: PM

  • India’s youth will power the AI, robotics and next-gen tech revolution with Made in India chips: PM

PM addressing at the inauguration of the CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility at Sanand, in Gujarat July 4, 2026.

New Delhi. Prime Minister Narendra Modi on July 4, 2026 inaugurated the CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat. Highlighting the significance of the occasion, the Prime Minister framed the launch as a testament to the nation’s unwavering commitment to its goals. He emphasized that the country consistently translates its strong resolutions into tangible realities without hesitation. “Today’s event is proof that whatever India resolves to do, it firmly accomplishes,” asserted Modi.

Tracing the strategic vision initiated half a decade ago, the Prime Minister recalled the core objective of transforming the nation into a global hub for advanced technology. Driven by the overarching strategies of domestic design and localized manufacturing, he celebrated the official commencement of commercial chip packaging at this third major facility. “We successfully moved forward with the foundational mantra of Design in India and Make in India,” noted Modi.

Reflecting on the rapid developmental timeline of the project, the Prime Minister recalled laying the foundation stone in 2024 and acknowledged the prompt initiation of chip testing by August 2025. He credited this incredibly swift journey from inception to full-scale production directly to the relentless dedication and focus of numerous project associates. “This remarkable journey from foundation stone to production is definitely the result of the immense hard work of many colleagues,” observed Modi.

Recounting his personal interactions just moments before addressing the gathering, the Prime Minister shared his experiences speaking with the dedicated workforce stationed at the facility. Having engaged directly with numerous young professionals during his exhibition tour, he praised their palpable energy, optimism, and positive outlook. “Every young colleague I interacted with today is completely full of self-confidence,” remarked Modi.

PM inaugurates the CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility at Sanand, in Gujarat July 4, 2026.

Positioning the newly inaugurated facility as a beacon of international collaboration, the Prime Minister lauded the joint efforts bridging domestic, Japanese, and Thai industry partners. He described the venture as far more than a simple commercial enterprise, highlighting it instead as a robust model of technological trust and cross-border partnership. “This integrated partnership is going to give entirely new momentum to India’s semiconductor journey,” affirmed Modi.

Acknowledging the monumental scaling achieved over the past two and a quarter years, the Prime Minister praised the transition into active commercial production capable of delivering 20 crore units annually. Expressing absolute confidence in the team’s ambitious target to reach 500 crore units annually, he attributed this rapid progress to the accelerating momentum of the nationwide technology program. “I congratulate the entire team, the state government, and the whole country for building this step by step, brick by brick, and chip by chip,” remarked Modi.

Addressing the gathered industry experts and youth, the Prime Minister drew pivotal lessons from global industrial history to emphasize that true manufacturing power does not stem from isolated factories. Citing legendary tech hubs like Silicon Valley, Hsinchu Science Park, and Tsukuba Science City, he underscored the absolute necessity of developing comprehensive, integrated ecosystems. “Today, Sanand is firmly taking its steps in the same direction to establish such powerful clusters,” observed Modi.

Detailing the rapid emergence of a robust domestic ecosystem, the Prime Minister highlighted the concurrent production launches by major firms like Micron, Kaynes, and CG Semi in the region over just a few months. Envisioning the imminent arrival of specialized chemical producers, testing labs, design centers, and dynamic new startups, he illustrated how localized industries exponentially multiply broader economic and employment opportunities. “This is the true power of a cluster, where one industry gives birth to ten, ultimately changing the economy of the entire region,” asserted Modi.

Addressing the immense nationwide and global excitement surrounding this sectoral boom, the Prime Minister corrected the misconception that this rapid growth is an isolated phenomenon. He explained that the current expansion is actually a carefully planned progression stemming from long-term technological policies set over the past ten years. “This is the natural next step of the electronics revolution that has arrived in India over the last decade,” noted Modi.

Tracing the roots of this localized manufacturing success, the Prime Minister contrasted the past reliance on imported smartphones with the current production boom. Noting a staggering thirty-three-fold increase in output, he proudly recognized the nation’s new status as the world’s second-largest producer and exporter in the mobile sector. “We deliberately started our journey with mobile phone manufacturing to eventually achieve these incredible milestones,” observed Modi.

Quantifying the broader success of the domestic ecosystem over recent years, the Prime Minister shared remarkable growth statistics across the entire sector. He revealed that total production has surged nearly seven times compared to 2014 levels, alongside an impressive eleven-fold explosion in overall exports. “We have successfully and comprehensively strengthened the entire electronics manufacturing ecosystem,” affirmed Modi.

Expanding on the government’s strategic roadmap, the Prime Minister clarified that the ultimate goal extends far beyond self-reliance in final consumer products to encompass the foundational components themselves. By committing to manufacture the very chips that power global technology, he outlined a complete, end-to-end domestic value chain. “First the product, then components, and now the semiconductor; this is the definitive next phase of Make in India,” asserted Modi.

Mapping out the future phases of the ecosystem, the Prime Minister emphasized the critical need for self-reliance in high-tech materials and critical minerals to secure the entire supply chain. Envisioning a localized network spanning from design to packaging, he expressed immense faith in the younger generation to leverage these domestic chips for advanced revolutions in AI and robotics. “Our youth will actively accelerate the next-gen tech revolution strictly utilizing Made in India chips,” affirmed Modi.

Directing his message toward the younger demographic, the Prime Minister highlighted historical precedents showing how major industrial shifts consistently generate unprecedented employment prospects. Drawing parallels to the massive opportunities unlocked by the previous IT and smartphone manufacturing booms, he forecasted similar vast horizons emerging from the current technological wave. “The era of the semiconductor and AI revolution is bringing countless opportunities spanning from research and design to supply chain management,” remarked Modi.

Challenging the future workforce to continuously adapt, the Prime Minister stressed that modern relevance is strictly dependent on acquiring fresh expertise and cultivating innovative ideas. Pointing to the vast new paradigms unlocked by artificial intelligence, he urged the younger generation to seize these emerging prospects with immense passion. “The youth of India must absolutely not lose this incredible opportunity to learn and execute something new,” asserted Modi.

Showcasing the inclusive social impact of these technological strides, the Prime Minister shared the inspiring stories of young women from tribal communities actively working at the new facility. Deeply moved by their journey from ordinary backgrounds and ITI studies to receiving advanced technical training in Malaysia, he celebrated their crucial role in executing the world’s most modern manufacturing processes despite having never previously traveled out of their home regions. “These daughters with truly extraordinary dreams are today an integral part of the Made in India chip manufacturing process,” noted Modi.

Concluding his address by reaffirming the nation’s rapid momentum toward becoming a fully developed entity, the Prime Minister celebrated the on-time realization of multiple manufacturing facilities promised just months earlier. Assuring global investors of absolute policy stability, clear decision-making, and unmatched execution speed, he promised an even faster pace of systemic economic reforms. “With a complete commitment to the ease of doing business, 140 crore Indians will definitely make the nation developed by 2047,” affirmed Modi.

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