By ndia’s push to become a major player in the global semiconductor industry received a significant boost on Friday as Prime Minister Narendra Modi inaugurated Micron Technology’s semiconductor assembly and testing facility in Sanand, Gujarat. The project, built with an investment of around ₹22,516 crore, is expected to strengthen India’s position in the global electronics supply chain and support the country’s ambitions in artificial intelligence and advanced technology manufacturing.
Addressing the gathering at the inauguration ceremony, the Prime Minister said that while oil shaped the geopolitics of the 20th century, microchips would define the technological and economic order of the 21st century. He described the Sanand project as an important milestone in India’s journey to build a robust semiconductor ecosystem and emphasized that the country is increasingly becoming a reliable destination for high-tech manufacturing.
The new facility, developed by Micron Technology under India’s semiconductor mission, will focus on the assembly, testing, marking and packaging (ATMP) of memory chips. These chips are widely used in data centres, smartphones, servers and artificial intelligence systems, making them a critical component of modern digital infrastructure.
During his visit, Modi toured the state-of-the-art facility and reviewed the operations of the advanced chip packaging plant. The plant features an ultra-clean environment designed for precision semiconductor manufacturing and incorporates sustainability measures such as large-scale water recycling systems.
Highlighting the rapid progress of the project, the Prime Minister noted that the memorandum of understanding for the plant was signed in mid-2023 and commercial production began in early 2026. According to him, the project’s quick turnaround reflects India’s growing capability to execute high-tech industrial projects within tight timelines.
Gujarat Chief Minister Bhupendra Patel described the facility as a cornerstone in building a semiconductor ecosystem in the state. He said Gujarat had taken early steps to attract chip manufacturing investments by introducing a dedicated semiconductor policy in 2022, positioning itself as a key destination for emerging technologies.
Union Minister for Electronics and IT Ashwini Vaishnaw said the project represents the realization of India’s long-standing ambition to enter the semiconductor manufacturing space. Over the past decade, India’s electronics manufacturing sector has expanded rapidly, and the government now aims to develop the entire chip value chain—from design and materials to manufacturing and packaging.
Sanand, once known primarily for automobile manufacturing investments including projects backed by industrialist Ratan Tata, is gradually transforming into a high-technology hub. With the Micron plant now operational and more semiconductor projects expected in Gujarat’s industrial corridors, the region is emerging as a focal point of India’s technology-driven industrial growth.
The facility is also expected to generate significant employment opportunities. Currently employing around 2,000 people, the workforce is projected to grow to more than 5,000 in the coming years, alongside thousands of indirect jobs across the supply chain.
Industry experts say the Sanand facility could play a vital role in strengthening India’s electronics manufacturing ecosystem and reducing dependence on imported semiconductor components, a challenge that became evident during global chip shortages in recent years.
