Two New Gujarat Based Semiconductor Projects Worth ₹3,936 Cr Cleared

Ø  India Semiconductor Mission: Momentum accelerates further as India advances into Compound Semiconductor based Mini/Micro LED Display Manufacturing

·         The Union Cabinet led by Narendra Modi approved two semiconductor projects under the India Semiconductor Mission (ISM).

·         Projects to be set up in Gujarat with ₹3,936 crore investment and 2,230 skilled jobs expected.

First Mini/Micro-LED Facility (GaN Technology)

·         Crystal Matrix Limited to establish facility in Dholera.

·         India’s first commercial Mini/Micro-LED display plant using Gallium Nitride (GaN) technology.

·         Key outputs:

o    72,000 sq. meters of display panels annually

o    24,000 sets of RGB GaN wafers

·         Applications:

o    TVs, commercial displays, smartphones

o    Automotive displays

o    XR glasses and smartwatches

Semiconductor Packaging (OSAT) Facility

·         Suchi Semicon Private Limited to set up plant in Surat.

·         Focus on Outsourced Semiconductor Assembly and Test (OSAT).

·         Capacity: 1,033 million chips per year

·         Use cases:

o    Power electronics, analog ICs

o    Automotive, industrial automation, consumer electronics

Broader Impact

·         Total approved projects under ISM now 12, with ₹1.64 lakh crore investment.

·         Boost to India’s semiconductor ecosystem and self-reliance.

·         Supported by government-backed design ecosystem:

o    315 academic institutions

o    104 startups

Sector Momentum

·         Several semiconductor projects already underway.

·         2 projects have begun commercial shipments, with 2 more nearing launch.

·         The approvals mark a major step in building India’s chip manufacturing and advanced display capabilities, reducing import dependence and strengthening high-tech manufacturing.

 

[ABS News Service/06.05.2026]

The Union Cabinet chaired by the Prime Minister Narendra Modi approved two more semiconductor projects under India Semiconductor Mission (ISM) which includes country’s first commercial Mini/Micro-LED display facility based on GaN (Gallium Nitride) Technology and a semiconductor packaging facility on 5 May, 2026.

The two approved proposals will set up semiconductor manufacturing facilities in Gujarat with a cumulative investment of around Rs.3,936 crore and are expected to generate cumulative employment for 2,230 skilled professionals.

The details of the two approved proposals are as follows:

I.        Crystal Matrix Limited (CML) will establish an integrated facility for compound semiconductor fabrication and ATMP in Dholera, Gujarat for manufacturing Mini/Micro-LED display modules. The integrated facility will also provide GaN foundry services, including epitaxy on 6” wafers. The annual proposed production capacity for Mini/Micro-LED Display Panels is 72,000 sq. meters, and for Mini-Micro-LED GaN Epitaxy Wafers is 24,000 sets of RGB wafers. The proposed products will have applications in large displays for TVs and signages/commercial displays, Medium-sized displays for tablets, smartphones, and in-car displays, and Micro-displays for Extended Reality (XR) glasses and smart watches.

II.        Suchi Semicon Private Limited (SSPL) will be setting up an Outsourced Semiconductor Assembly and Test (OSAT) facility in Surat, Gujarat for manufacturing discrete semiconductors. The proposed production capacity of the Suchi Semicon is 1033.20 million chips per annum. The target applications include power electronics, analog ICs, and industrial systems, serving end markets such as automotive, industrial automation, and consumer electronics.

With these two approvals, semiconductor ecosystem in the country would get a significant boost as the total number of approved projects under India Semi-conductor Mission (ISM) reaches 12, with cumulative investments of around Rs.1.64 lakh crore.

These would complement the growing world class chip design capabilities coming up in the country which are propelled by design infrastructure support provided by Government to 315 academic institutions and 104 start-ups.

Momentum is building up further in the semiconductor ecosystem in India with the ten approved projects already in various stages of execution. Two projects have already started commercial shipments from India and Two more are expected to start commercial shipments soon.