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India Clears Two Gujarat Chip Projects, Completing ISM 1.0

The move closes ISM 1.0 with execution now the priority.

Overview

  • India’s Union Cabinet, which met Tuesday, approved two semiconductor units worth Rs 3,936 crore in Gujarat under the India Semiconductor Mission, completing the first phase of sanctioned projects.
  • Crystal Matrix will build a GaN-based mini/micro‑LED display fabrication and ATMP unit in Dholera, slated as India’s first commercial facility in this display class, with planned output of 72,000 sq m of panels and 24,000 RGB epitaxy wafer sets a year.
  • Suchi Semicon will open an OSAT plant in Surat to package and test discrete chips, targeting about 1,033 million chips per year for uses such as power electronics, autos, factory gear and consumer devices; OSAT turns bare wafers into finished, tested components.
  • The two projects are expected to create about 2,230 skilled jobs, with officials saying the packaging line aims to start output in 8–10 months while display fabrication will phase in over roughly 1.5–3 years after product qualification.
  • With these approvals, ISM reaches 12 projects and about Rs 1.64–1.65 lakh crore in committed investment, as the government readies an ISM 2.0 push focused on equipment, specialty materials and stronger design incentives.