Gujarat Emerging as ‘Silicon State’ with ₹3,936 Cr Semiconductor Projects in Dholera and Surat

Ahmedabad | Gujarat —Gujarat is rapidly emerging as the hub of chip manufacturing in the country under the Government of India’s ‘India Semiconductor Mission’. In the recent Union Cabinet meeting, two additional state-of-the-art semiconductor projects worth Rs. 3,936 crore were approved for Gujarat under the India Semiconductor Mission (ISM), providing a major boost towards making the state an integral part of the semiconductor ecosystem and a true ‘Silicon State’. Of these two projects, Crystal Matrix Limited will invest Rs. 3,068 crore in Dholera SIR, while Suchi Semicon Private Limited (SSPL) will invest Rs. 868 crore in Surat. These projects will prove to be a new milestone in the industrial development of the state, said Minister of Science and Technology Arjunn Modhwadia.

Minister further stated that under the leadership of Chief Minister and Deputy Minister Shri Harsh Sanghavi, Gujarat has announced a dedicated policy for the semiconductor sector, as a result of which four major projects worth nearly Rs. 1.24 lakh crore are taking shape in the state. In addition, two more semiconductor projects will now be established in Gujarat. To accelerate this ecosystem, the Gujarat State Electronics Mission (GSEM) is functioning as a single-window facilitator, making administrative processes easier for investors.

Welcoming the approval granted by the Government of India, the Minister stated that Gujarat had taken a pioneering step by announcing the country’s first semiconductor policy. As a result, 06 out of the total 12 semiconductor projects approved under the India Semiconductor Mission in India have come to Gujarat, making the state the leader in this sector. These two new projects will not only bring investments worth Rs. 3,936 crore but will also generate more than 2,230 high-tech employment opportunities for youth along with thousands of indirect employment opportunities. This decision of the Government of India has strengthened the entire value chain in Gujarat, from chip designing to fabrication and packaging. He added that, the Gujarat State Electronics Mission (GSEM) is fully committed to ensuring timely operationalisation of both projects by providing complete support in terms of land, water, electricity, and other infrastructure facilities.

Providing detailed information about these two semiconductor projects approved by the Union Cabinet in Gujarat, Minister stated that Dholera Special Investment Region has now joined the league of the world’s most advanced chip manufacturing centres. Crystal Matrix Limited will establish the country’s first compound semiconductor fabrication facility in Dholera SIR with an investment of Rs. 3,068 crore. Highlighting the uniqueness of this plant, the Minister added that the facility to be established by Crystal Matrix will manufacture Mini/Micro-LED displays based on Gallium Nitride (GaN) technology, which until now were only imported. This facility will annually manufacture 72,000 square metres of display panels and 24,000 sets of RGB wafers. With the Mini/Micro-LED displays to be manufactured in Dholera, smartphones, electric vehicle dashboards, and high-end TV screens in the future will be equipped with ‘Made in Gujarat’ chips.

In addition, Surat, which is known for its diamond and textile industries, will now also manufacture high-tech semiconductor chips. Suchi Semicon Private Limited (SSPL) will establish a Semiconductor Assembly and Test (OSAT) facility in Surat at a cost of Rs. 868 crore. He added that, the facility will manufacture more than 103.03 crore chips annually, which will help meet the demands of the automobile and industrial automation sectors.