The Union Cabinet has approved the establishment of a new semiconductor unit by Kaynes Semicon Pvt Ltd in Sanand, Gujarat. This facility will be India’s fifth semiconductor plant.
The planned investment for the unit is Rs 33 billion, and it will have the capacity to produce 6 million chips per day. These chips will serve various industries, including automotive, electric vehicles, consumer electronics, telecom, and mobile phones. This initiative aligns with the Programme for Development of Semiconductors and Display Manufacturing Ecosystem in India, which was launched in December 2021 with a total budget of Rs 760 billion.
In addition to this new facility, Tata Electronics is setting up a semiconductor fab in Dholera, Gujarat, and another unit in Morigaon, Assam. CG Power is also building a semiconductor unit in Sanand, Gujarat. Together, these units represent an investment of nearly Rs 1,500 billion and will collectively produce around 7 crore chips per day.
In the same cabinet meeting, the government approved a Rs 139.66 billion package to boost the agriculture sector and enhance food security. Union Minister Ashwini Vaishnaw announced these decisions, highlighting seven major projects, including the Digital Agriculture Mission, which will be developed with an investment of Rs 208.17 billion to enhance the structure of digital public infrastructure for agriculture.