PM Modi Inaugurates Semiconductor Facility in Gujarat's Sanand

On March 31, 2026, Prime Minister Narendra Modi inaugurated a semiconductor assembly and test facility for Kaynes Semicon in Sanand, Gujarat. During the event, he described the industrial town of Sanand as an emerging nexus within the global semiconductor landscape, likening it to a bridge linking India with Silicon Valley.

In his address, the Prime Minister heralded the ongoing growth of India's electronics sector, predicting that the semiconductor market could surpass $100 billion by the end of the decade. He emphasised the potential benefits of initiatives in areas such as technology and artificial intelligence for nations worldwide.

The semiconductor facility, which was developed at an estimated cost of ₹3,300 crore, represents a significant step forward for India’s semiconductor mission. Mr. Modi reaffirmed India’s commitment to becoming a dependable supplier within the global semiconductor market, stating that chips produced in Sanand will reach the United States and elsewhere.

Currently, India’s global semiconductor market is valued at approximately ₹4.5 lakh crore, with aspirations to double it to ₹9 lakh crore by 2030. Mr. Modi pointed out that geopolitical conflicts have caused disruptions in global supply chains, necessitating robust foundations for technology and energy security moving forward. He asserted that the Semiconductor Mission, launched in 2021, underscores this confidence and ambition on the international stage.

The Prime Minister praised the recent participation of India in the Pax Silica initiative, a coalition led by the United States that aims to secure supply chains for critical technologies, including semiconductors and artificial intelligence. He remarked on the government's ongoing efforts to sustain and enhance supply chains for essential raw materials through domestic initiatives like the National Critical Minerals Mission.

Additionally, he spoke about the introduction of a ‘rare earth corridor’ across Indian coastal states, which will contribute to strengthening the entire value chain of semiconductor manufacturing, from resource extraction to production.

Mr. Modi described this period as India’s ‘Techade’, asserting that technological advancements will define the nation's global leadership in the next few years. He hailed India as one of the leading adopters of artificial intelligence and highlighted the success of the Digital India initiative.

During his speech, the Prime Minister noted that the government is taking significant steps to improve ease of doing business and enhance manufacturing capabilities. This includes plans to train over 85,000 design professionals to support the growing semiconductor industry and initiatives like the chips-to-startup programme that aim to foster innovation in technology.

The inauguration event was attended by several key officials, including Bhupendra Patel, Chief Minister of Gujarat, and Ashwini Vaishnaw, Union Minister for Information Technology.

In summarising the importance of the new facility, Mr. Modi stated, “A new bridge has been built between Sanand and Silicon Valley. Intelligent power modules manufactured here will reach American companies and power the world.” He concluded by expressing optimism for the future of India's semiconductor industry under the continuing efforts of the Semiconductor Mission, which has over ₹1.60 lakh crore in projects planned across various states.