India’s first semiconductor unit lanched in Bhiwadi, Rajasthan

The first Semiconductor unit of India has been launched in the Bhiwadi industrial hub of Alwar district of Rajasthan on Friday.

Rajasthan Chief Minister Bhajan Lal Sharma virtually inaugurated the Small & Medium Enterprises (SME)-led Semiconductor facility for assembly, testing, and packaging (OSAT/ATMP), including memory products, on Friday from Jaipur. Union Ministers Aswini Vaishnaw (Railways, IT, Electronics, and Information Technology) and Bhupendra Yadav (Environment and Forest) joined the inauguration virtually from New Delhi. Sahasra Semiconductors Private Limited is launching the facility.

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Addressing the gathering, Union Minister Vaishnaw called it a historic day for the state of Rajasthan as it enters the semiconductor industry – a strategically critical industry globally from a geopolitical perspective.

He highlighted India’s rapid progress in electronics manufacturing over the last 12 years, with production growing 6 times to nearly Rs 13 lakh crore and exports rising to around Rs 4.24 lakh crores. He underscored that mobile phones have now become India’s top export commodity.

Chief Minister Sharma underlined that the state government released the Rajasthan Semiconductor Policy in March 2026 and outlined a priority to develop the region near Delhi NCR as a manufacturing hub.

Union Minister Yadav also noted that earlier, Bhiwadi region was known mainly for the automobile sector, but now semiconductor and electronics industries are also being promoted.

This plant marks Rajasthan’s entry into the strategic semiconductor industry, supported by a new state policy aiming to develop a full ecosystem in Rajasthan.

The facility handles memory chips for products such as Micro SD and flash storage, along with LED driver ICs, eSIMs and RFID products.
The unit currently has an annual packaging capacity of 60 million semiconductor units. SPECS-supported capacity is projected to be about 43 million units. It plans to scale up to nearly 400-600 million units annually over the next two to three years.

The facility is already exporting more than 60% of its production to global markets including the United States, Germany, France and Eastern Europe, China and Nepal.

The facility is now moving towards its own product R&D, including LED driver chips and other semiconductor products. It will also support training of youth in semiconductor packaging and high-tech manufacturing in collaboration with ESSCI and technical institutes.

Electronics Manufacturing Cluster (EMC) developed by ELCINA at Salarpur Bhiwadi, Khushkhera, was also inaugurated today.