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Micron Technology to Start Production at Sanand Chip Facility, Gujarat, Boosting India’s Semiconductor Push

Prime Highlights:

  • Micron Technology will begin commercial production at its semiconductor ATMP facility in Sanand by the end of February, marking the first approved chip project in India to enter production.
  • The ₹22,516 crore plant is expected to scale in phases and eventually produce nearly 14 million units per week, strengthening Gujarat’s role in India’s semiconductor ecosystem.

Key Facts:

  • The Sanand facility is part of India’s broader semiconductor plan covering 10 projects with a proposed total investment of about ₹1.6 lakh crore, with four units already in pilot operations.
  • Under the IndiaAI Mission, the Ministry of Electronics and Information Technology is providing subsidised access to thousands of GPUs to support AI startups, researchers and academic institutions.

Background:

Micron Technology is set to begin production at its semiconductor assembly, test, marking and packaging (ATMP) facility in Sanand by the end of February, marking a major milestone for Gujarat’s industrial landscape and India’s chip ambitions.

A senior official from the Ministry of Electronics and IT confirmed that the plant will be the first among the approved semiconductor projects in the country to enter commercial production. The development places Gujarat at the centre of India’s emerging semiconductor manufacturing ecosystem.

The Sanand unit involves an investment of ₹22,516 crore and will scale up in phases. Once fully operational, the plant will have the capacity to produce nearly 14 million units per week. Officials said the facility will also move towards high-bandwidth memory production in the future, a key component for artificial intelligence infrastructure and advanced computing.

The project forms part of a larger national plan that includes 10 semiconductor initiatives with a total proposed investment of about ₹1.6 lakh crore. Four units have already begun pilot operations, signalling steady progress in building domestic chip capabilities.

Government support remains strong for both the semiconductor and AI sectors. Under the IndiaAI Mission, authorities are providing subsidised access to thousands of graphics processing units for startups, researchers, and academic institutions. The programme aims to strengthen computing infrastructure and encourage private sector participation in data centres and advanced technology projects.

Gujarat has emerged as a preferred destination for electronics and semiconductor investments due to its infrastructure, policy support, and industrial base. The start of production at the Sanand plant is expected to generate skilled jobs, attract ancillary industries and enhance the state’s position in global supply chains.

Industry experts believe the move will accelerate India’s transition from a semiconductor design hub to a manufacturing destination, while giving Gujarat a leading role in the country’s high-tech growth story.

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